WebSify
Follow us on
Mail
Print

US STOCKS-Futures edge lower as four-day run threatened

Source : REUTERS
Last Updated: Mon, Apr 30, 2012 19:00 hrs

* U.S. personal income, spending data on tap

* NYSE Euronext quarterly profit falls

* Barnes & Noble jumps on Microsoft deal

* Gen-Probe soars on takeover offer

* Futures off: Dow 12 pts, S&P 4 pts, Nasdaq 11.5 pts

By Chuck Mikolajczak

NEW YORK, April 30 (Reuters) - U.S. stock index futures edged lower on Monday, indicating the S&P 500 may snap a four-day winning streak after data showed Spain slipped into a recession and ahead of a report on U.S. consumer spending.

Spain's economy slipped into recession in the first quarter, data showed, with deep government spending cuts to reduce a massive public deficit and troubles in the banking sector likely to delay any return to growth.

"With four strong sessions bringing us back to near flat for the month, the market is pausing as a busy week of data lies ahead," said Andre Bakhos, director of market analytics at Lek Securities in New York.

"Last week's performance has bested the near-term consensus of market direction, as the recent consolidation was completed."

The S&P 500 is down 0.4 percent for April, putting the index on track for its first monthly decline since November as investors grappled with another flare-up of the euro zone debt crisis and domestic economic data that has hinted at a stalled recovery.

Investors will look at March personal income and consumption data, coming at 8:30 a.m. EDT (1230 GMT). Economists expect a 0.3 percent rise in income and a 0.4 percent increase in spending. In February, income rose 0.2 percent and spending was up 0.8 percent.

Also due at 8:30 a.m. is the Chicago Fed Midwest Manufacturing Index for March.

Other economic reports due Monday include the April index of manufacturing activity at 9:45 a.m. EDT (1345 GMT) from the Institute of Supply Management Chicago.

S&P 500 futures fell 4 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures slipped 12 points, and Nasdaq 100 futures lost 11.5 points.

NYSE Euronext said profit fell by almost one-third in the first quarter due to a difficult trading environment and costs from its failed merger with Deutsche Boerse.

A total of 12 S&P 500 companies were scheduled to report earnings on Monday, including Anadarko Petroleum Corp and McKesson Corp.

According to Thomson Reuters data through Friday, of the 275 S&P 500 companies that have reported results, 72 percent topped estimates. A strong earnings season helped lift the benchmark S&P index to its best week since mid-March on Friday.

Pipeline operator Energy Transfer Partners LP said it will buy Sunoco Inc for $5.3 billion in stock and cash as it focuses on transporting more crude oil and refined products amid falling natural gas prices. Sunoco soared 20.3 percent to $49.20 in premarket trading.

Barnes & Noble Inc surged 100.3 percent to $27.40 premarket after Microsoft Corp said it will invest $300 million in the bookseller's digital and college businesses in a deal that values the businesses at $1.7 billion.

Gen-Probe Inc climbed nearly 20 percent to $82.25 premarket after Hologic Inc said it would acquire the diagnostic test maker for about $3.75 billion in cash. [ID :nL4E8FU70Q]

European stocks dipped 0.3 percent early Monday in choppy trade, halting a four-session rally and dragging down by brewing concerns over Spain's finances.

Asian shares rose as weaker-than-expected U.S. growth data left open the possibility of further monetary stimulus from the Federal Reserve, but trading was subdued with Japanese and Chinese markets closed.




blog comments powered by Disqus
most popular on facebook
talking point on sify finance