Wall Street seems to be pausing for a breather on Monday after the major averages climbed to multi-year closing highs last Friday on the back of a strong monthly non-farm payroll employment report. The apprehension stems from the fact that Greek political parties are negotiating to agree upon austerity measures demanded by the Troika - a consortium comprising of the IMF, ECB and the European Union, which is an essential pre-requisite for disbursing additional financing to the nation. Additionally, the thin economic calendar of the day may not provide much by way of trading cues.
As of 6:30 am ET, the Dow futures are slipping 45 points, the S&P 500 futures are moving down 5.80 points and the Nasdaq 100 futures are declining 8.50 points.
U.S. stocks advanced solidly in the week ended February 3rd, as positive data points lent support and helped the major averages scale multi-month closing highs.
Fed speeches are sprinkled over the economic calendar of the unfolding week. Other than these, there are very few Main Street events that the markets can look forward to. The Commerce Department's trade balance report for December and the results of the Reuters and the University of Michigan's consumer sentiment survey are among the closely watched reports of the week.
The Federal Reserve's consumer credit report for December, the Commerce Department's wholesale inventories report for December, the Treasury Budget for January and the Treasury auctions of 3-year and 10-year notes and 30-year bonds round up the economic events of the week.
Dallas Federal Reserve Bank President Richard Fisher is due to speak to the Institute of International Finance in Washington on the "Economic and Monetary Policy Outlook, a Trip Around the World," at 12:15 pm ET. The speech will be followed by a session with the media.
In corporate news, Brown & Brown (BRO) announced fourth quarter net income of 25 cents per share on revenues of $244.10 million. In the year-ago quarter, the company reported earnings of 22 cents per share on revenues of $229.94 million. The results were better than expected.
WGL Holdings' (WGL) first quarter non-GAAP earnings were in line, while revenues trailed estimates. The company also raised its 2012 GAAP earnings per share guidance to $2.64 - $2.76 per share, while the non-GAAP operating earnings guidance was affirmed at $2.46-$2.58 per share.
Humana (HUM) reported a rise in its fourth quarter profit to $1.20 per share from 63 cents per share last year. The company also raised its earnings per share forecast for the full year 2012.
Micron Technology (MU) announced the appointment of Mark Durcan as the CEO after its longtime Chairman and CEO Steven Appleton passed away in a February 3rd aircrash in Boise, Idaho.
Companies scheduled to release their results after the markets close include Amylin Pharma (AMLN), BRE Properties (BRE), Coinstar (CSTR), Dun & Bradstreet (DNB), Leggett & Platt (LEG), Owens & Minor (OMI), Partner Re (PRE), Pioneer Natural Resources (PXD), Sunoco (SUN), PMC-Sierra (PMCS), Unum Group (UNM), Vulcan Materials (VMC) and Yum Brands! (YUM).
The major Asian markets showed volatility before closing on a mixed note, as the Greek talks kept sentiment subdued despite an early lift the markets got from Friday's U.S. jobs data.
Japan's Nikkei 225 average advanced 97.27 points or 1.10 percent before closing at a 3-month high, with the average deriving comfort from the U.S. jobs data and some domestic corporate tidings.
Australia's All Ordinaries closed up 44.50 points or 1.03 percent at 4,365, as expectations that the Reserve Bank of Australia may cut interest rates as early as this week brought cheer to the markets. Meanwhile, Hong Kong's Hang Seng Index ended at 20,710, down 47.04 points or 0.23 percent.
A government report showed that Australia's retail sales fell unexpectedly in December compared to the previous month.
Meanwhile, sentiment in Europe is negative after the major averages in the region rallied to 6-month highs last week.
In economic news, Germany reported that factory orders rose 1.7 percent month-over-month compared to expectations for 1 percent growth. A report released by Sentix showed that investor sentiment in the eurozone improved more than expected in February, the second straight month of increase. The corresponding indicator rose to -11.1 in January from -21.1 in January.
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