We have updated our privacy policy and terms & conditions. Find out more here.

US STOCKS-Futures flat as Goldman issue eyed; J&J, data on tap

General NewsApr 14, 2009 11:47AM GMT Add a Comment

* Goldman in $5 billion issue after strong earnings

* Johnson&Johnson earnings awaited before the bell

* Retail, producer prices on tap

* Futures: S&P down 2.1, Dow down 7, Nasdaq up 1.8

(Updates to early morning)

By Edward Krudy

NEW YORK, April 14 (Reuters) - U.S. stock index futures pointed to a flat open on Tuesday as strong earnings from Goldman Sachs lifted bank shares and investors awaited the latest news on the consumer from Johnson & Johnson results and U.S. retail sales for March.

Goldman Sachs posted a much higher-than-expected first quarter profit, but said it planned a $5 billion common share sale to help pay back government funds. It's shares traded down around 2 percent before the bell.

Healthcare group Johnson & Johnson is expected to report earnings of $1.22 a share excluding items before the bell, down from $1.26 a year earlier, according to Reuters estimates.

"People will be looking at Johnson & Johnson very carefully," said Peter Cardillo, chief market economist at Avalon Partners in New York. "As far as earnings are concerned Johnson & Johnson could be a market mover, that could entice the market to move higher.

On the macroeconomics front, March retail sales are due at 8.30 a.m. (1230 GMT), as are March producer price data.

Cardillo expects "we should see a little uptick in retail sales which should continue to boost investor confidence today."

Citigroup shares traded up 8 percent to $4.11 in premarket trade, while Bank of America rose 1.6 percent to $11.20. Goldman Sachs fell 2 percent to $127.48.

S&P 500 futures fell 2.10 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 fell 7 points, and Nasdaq 100 futures added 1.75 points.

Chipmaker Intel is set to kick off tech earnings season, with results eyed closely for guidance on the semiconductor market.

Investors will also be eyeing comments from U.S. Federal Chairman Ben Bernanke, who will give a lecture, entitled "Four questions about the Financial Crisis", at 1.30 p.m. (1730 GMT) in Atlanta, Georgia.

In other news, The Wall Street Journal reported, citing people familiar with the matter, that Chrysler's creditors planned to make a counteroffer to the U.S. Treasury this week in which they might ask for equity in a firm combining Chrysler with potential partner Fiat in exchange for concessions.

The S&P 500 and Nasdaq rose on Monday as bets that major banks will post reassuring quarterly results fueled a run-up in financials, offsetting uneasiness about the fate of General Motors.

The Dow, however, slipped after Boeing said cuts in output of widebody planes and lower-than-expected airplane prices would hurt first-quarter profit. (Reporting by Edward Krudy; Editing by Theodore d'Afflisio)

US STOCKS-Futures flat as Goldman issue eyed; J&J, data on tap

Related Articles

Add a Comment


Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

NQ 100
Are you sure you want to delete this chart?
Are you sure you want to delete this chart?

Successfully Reported

Thank you. This comment has been flagged for a moderator.
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data .

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.