Futures indicate towards a mixed opening of Wall Street

Posted by Michael Korte January 26, 2013 0 Comment 393 views

On Thursday, U.S. Stock Futures indicated towards a mixed opening of Wall Street. Futures indicated towards a 0.1% rise of S&P 500 Index, a 0.1% fall of NASDAQ and 0.2% decline of Dow Jones.

Boeing shares, just like recently, declined by 3.38% after India, Japan and Europe joined America and grounded the 787 Dreamliner Passenger Jets. Japan had already grounded those jets after the problems with battery and the window of a cockpit. On Wednesday India also did the same and said that jets won’t be able to fly now until Boeing satisfies everyone on security. In Asia, India is the only country after Japan where Dreamliner Passenger Jets are used. So after India grounded Dreamliners, Boeing’s jets are on the ground in whole Asia. As a result, more decline in Boeing shares is being expected for Thursday.

Earning reports from several major American companies like Intel, Blackrock, Bank of America and Citigroup remain due for Thursday, and they will also decide the direction of market for future. Report on “claims of jobless benefits for the week ended on January 2012” is also remaining to come out on Thursday at 13:30 GMT. Economists are expecting 365,000 new applications, compared to the 371,000 of last month.

The Commerce Department of America will also release housing starts and permits on Thursday at 13:30 GMT. Analysts are expecting issue of around 903,000 permits, compared to the 900,000 of the last month. Federal Reserve of Philadelphia will also release it’s business report at 15:00 GMT. Analysts are expecting a 5.8 mark instead of 4.6 that was seen in last month. All these due activities will decide the direction of market more precisely once they come out.

On the other hand, Goldman Sachs Inc. is considering deep pay cuts for it’s staff for at least two years. But the bank is also feared that many employees will leave the bank as soon as it happens, some sources familiar with bank told Reuters.

In Telecom Industry, AT&T is planning to acquire a company in Europe for offsetting growth limitations in it’s home market. According to sources, that company may be KPN. So KPN’s shares rose by 4% on Wednesday.

S&P 500 Index on Wednesday ended up being flat with a rise of 0.2% or 0.29 points after solid earnings of two major banks and an increase in the shares of Apple Inc. that brought the company’s share prices back in the range of $500. DJI was down by 0.17% or 23.66 points. NASDAQ Composite Index went up by 0.22% or 6.77 points.

About Michael Korte

Michael Korte an investigative reporter at GDP Insider and is a breaking news reporter. Michael work includes investigations of misconduct by federal prosecutors and industrial air pollution around the nation's schools. His reporting has been recognized with the Hillman Prize for Newspaper Journalism, the Grantham Prize for Excellence in Reporting on the Environment, and the Philip Meyer Journalism Award for reporting that incorporates social science methods.

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