PARIS, May 11 (Reuters) -
* U.S. stock index futures were down on Friday, pointing to
a lower open on Wall Street, after JPMorgan Chase & Co stunned
investors with news of "significant mark-to-market losses" that
it said could "easily get worse."
* Futures for the S&P 500 were down 0.42 percent, Dow
Jones futures down 0.63 percent and Nasdaq 100
futures down 0.18 percent at 0910 GMT.
* JPMorgan Chase & Co, the biggest U.S. bank by
assets, said it suffered a trading loss of at least $2 billion
from a failed hedging strategy, a disclosure that hit financial
stocks and the reputation of the bank and its CEO, Jamie Dimon.
While other gains partially offset the trading loss, the
bank estimates the business unit with the portfolio will post a
loss of $800 million in the current quarter, excluding private
equity results and litigation expenses. The bank previously
forecast the unit would make a profit of about $200 million.
JPMorgan's stock traded in Frankfurt were down 6.6
* European stocks were down 0.5 percent in morning trade,
dragged in part by a batch of disappointing earnings from
bellwethers such as Telefonica and Credit Agricole
* The telecom major posted a 54 percent drop in net profit
after the value of its stake in Telecom Italia plunged
and prices fell in recession-hit Spain, while the French bank
posted a 75 percent drop in quarterly profit, hit by 940 million
euros ($1.2 billion) in Greece-related write-downs.
* The European market trimmed losses, however, after Greek
conservative leader Antonis Samaras said there were still hopes
a government could be formed to avoid a repeat poll after
Sunday's inconclusive election.
* European heavyweight oil shares also rallied after a
report in the Middle East Economic Survey said Qatar's sovereign
wealth fund is in "very advanced talks" to buy a 3 to 5 percent
stake in Royal Dutch Shell and is also negotiating a
stake in Italy's ENI.
* Business management software maker CA Inc continued
its run of market-topping profit, helped by rising demand at its
North American business.
* Intel Corp Chief Executive Paul Otellini said he
was not seeing the unexpected weakness in enterprise technology
spending that Cisco Systems Inc CEO John Chambers cited
when he forecast quarterly earnings below estimates.
* Retailer Nordstrom Inc reported a quarterly
profit below Wall Street's expectations after pouring tens of
millions of dollars into its e-commerce business, and said it
would spend more on that during the rest of the year than
* Auction house Sotheby's posted a quarterly loss as
expenses grew in the seasonally weak January-March quarter that
also compared unfavorably to the year-ago period, when a private
sale helped drive revenue.
* Facebook Inc's record initial public offering is
already oversubscribed, a source familiar with the share listing
said, days after the world's largest social network embarked on
a cross-country roadshow.
* AT&T Inc has held talks to buy smaller rival Leap
Wireless International in recent months, according to
people familiar with the matter, in the latest sign U.S.
carriers are looking at acquisitions as a way to grow in a
* Investors pulled cash from U.S.-domiciled equity mutual
funds in the week ended May 9, reflecting market anxiety that
Europe might reverse course from austerity measures after voters
rejected politicians who pushed through spending cuts.
* On the macro front, investors awaited the April Producer
Price Index, due at 1230 GMT, as well as the Thomson
Reuters/University of Michigan's preliminary May consumer
sentiment index. Economists in a Reuters survey expect a reading
of 76.2 compared with 76.4 in the final April report.
* The Dow and the S&P 500 eked out a modest gain on
Thursday, limited by a disappointing outlook from tech
bellwether Cisco Systems and caution about Europe.
* The Dow Jones industrial average rose 19.98 points,
or 0.16 percent, to 12,855.04 at the close. The Standard &
Poor's 500 Index added 3.41 points, or 0.25 percent, to
1,357.99. But the Nasdaq Composite Index fell 1.07
points, or 0.04 percent, to close at 2,933.64.