US pre-open: Futures edge lower ahead of first quarter GDP data
US shares edged lower on Friday, as investors awaited a report on first quarter economic growth.
Dow Jones I.A.
37,815.92
04:30 15/10/20
Goldman Sachs Group Inc.
$426.95
11:09 01/05/24
Intel Corp.
$30.37
12:19 01/05/24
Morgan Stanley
$91.54
10:59 01/05/24
Nasdaq 100
17,318.55
12:15 01/05/24
The Dow Jones Industrial Average was expected to open down 19 points, while the S&P 500 and the Nasdaq were poised to begin the session four and nine points lower respectively.
European stocks were broadly lower as concerns over Greece’s situation continued to mount and threatened to influence the US session.
“The US market is separated from Europe by the Atlantic but the shock waves can be felt in Wall Street, and the prospect of an interest rate hike is also playing on dealers’ minds,” said IG’s market analyst David Madden.
“Traders have few reasons to buy into the falling US market because the latest Greek saga will last until August, and then the September Fed meeting could be the beginning of the end of record low interest rates.”
Friday data
The economic calendar sees the release of revised first quarter gross domestic product data at 13:30 BST, with growth expected to be downgraded from an original estimate of a 0.2% gain to a decline of 1%.
Connor Campbell, financial analyst at Spreadex, said that would be “bad for the dollar, potentially good for the Dow and an interesting complication for the Fed.”
The Chicago Purchasing Managers Index for May is released at 14:45 BST, followed by the reading May University of Michigan consumer sentiment index at 15:00 BST.
Altera surges on takeover rumours
In company news, Altera surged 6.34% ahead of the bell after the New York Post reported Intel was edging closer to a $15bn takeover of the chip maker.
Morgan Stanley and Goldman Sachs edged 0.28% and 0.03% higher respectively after Moody’s Investors Service raised its credit rating on the investment bank late on Thursday.
The dollar was broadly flat against the euro and the yen but gained 0.47% against the pound, while gold futures slid 0.01% to $1,188.70.
Oil prices advanced, as West Texas Intermediate gained 1.1% to $58.32 a barrel, while Brent climbed 0.97% to $63.19 a barrel.