💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

U.S. futures slide lower with Fed in focus; Dow Jones down 0.31%

Published 02/10/2014, 06:41 AM
U.S. futures decline ahead of Yellen speech
NDX
-
UK100
-
FCHI
-
DJI
-
DE40
-
STOXX50
-
JP225
-
HK50
-

Investing.com - U.S. stock futures pointed to a lower open on Monday, as investors eyed Federal Reserve Chairman Janet Yellen's testimony on the bank’s semiannual monetary policy report, while downbeat U.S. jobs data on Friday failed to dampen expectations that the Fed will continue to scale back its stimulus program.

Ahead of the open, the Dow Jones Industrial Average futures pointed to a 0.31% decline, S&P 500 futures signaled a 0.35% drop, while the Nasdaq 100 futures indicated a 0.17% fall.

On Friday, the Labor Department said the U.S. economy added 113,000 jobs in January, well below expectations for 185,000 new jobs, as inclement weather contributed to the slowdown in hiring.

The report also showed that the number of people participating in the labor force edged up to 63% from a 30-year low of 62.8% last month, while the unemployment rate unexpectedly ticked down to a five year low 6.6% from 6.7% in December.

The report was seen as unlikely to prompt the Fed to halt reductions in its stimulus program. The bank announced a second cut to its asset purchase program in January, trimming it to USD65 billion-per-month.

Financial stocks were expected to be active, amid reports a top Chinese regulator asked JPMorgan Chase Chief Executive Officer Jamie Dimon to hire a family friend who now works for the U.S. lender. JPMorgan shares edged up 0.18% in pre-market trade despite the news.

Apple, up 0.47% in early trading, was also likely to be in focus as advisory firm ISS recommended the company's shareholders vote against a proposal by activist investor Carl Icahn to aggressively expand stock repurchases.

Elsewhere, AOL’s CEO was forced to backtrack on a 401(k) policy change, after comments defending the idea fueled an employee outcry.

Last week, Armstrong said AOL needed the retirement-plan change to help offset health-care costs, such as two employee pregnancies that resulted in "distressed babies" with more than USD1 million each in medical expenses.

Other stocks likely to be in focus included Boardwalk Pipeline andHasbro, scheduled to report quarterly results later in the day.

Across the Atlantic, European stock markets were higher. The EURO STOXX 50 inched up 0.05%, France’s CAC 40 rose 0.33%, Germany's DAX added 0.20%, while Britain's FTSE 100 edged 0.10% higher.

During the Asian trading session, Hong Kong's Hang Seng Index slid 0.27%, while Japan’s Nikkei 225 Index jumped 1.77%.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.