U.S. futures drop as markets eye GDP report; Dow Jones down 0.74%

Investing.com - U.S. stock futures pointed to a lower open on Friday, as markets were jittery ahead of the release of highly anticipated U.S. gross domestic product data, amid fresh concerns over the strength of the country's economic recovery.

Ahead of the open, the Dow Jones Industrial Average futures pointed to a 0.74% drop, S&P 500 futures signaled a declined 0.75% , while the Nasdaq 100 futures indicated a 0.65% slump.

Gloomy earnings and outlook statements from global giants such as Apple and Amazon, and European firms Renault and Gucci have steadily corroded the hopes of a recovery in the global economy.

Investors wanted to see that recovery confirmed by the U.S. gross domestic product data, especially with uncertainty growing over the budget problems in Washington, known as the fiscal cliff, which could depress business activity early next year.

Markets were also jittery amid ongoing uncertainty over when Spain will request a bailout and trigger the European Central Bank's bond-buying programme.

Tech stocks were expected to be active, after Apple delivered a second straight quarter of disappointing results and iPad sales fell well short of Wall Street's targets, sending shares down only 0.09% in pre-market trade.

The consumer goods sector was also likely to be in focus, amid reports Dean Foods Co's Morningstar business has attracted takeover interest from Michael Foods and Mexican dairy company Grupo Lala.

According to Reuters, the deal could be valued in the USD1 billion to USD1.5 billion range.

Separately, Wal-Mart Stores said it plans to open 100 more stores in China and create 18,000 jobs there over the next three years, in a bid to boost its presence in China's booming but highly competitive hypermarket sector.

Elsewhere, Amazon.com Inc saw shares tumbled 1.30% pre-market, after the company reported its first quarterly net loss in more than five years on Thursday, as the world's largest Internet retailer spent heavily and suffered from an economic slowdown in Europe.

Other stocks in focus included Comcast and Merck, due to report earnings before the bell on Friday.

Across the Atlantic, European stock markets were lower. The EURO STOXX 50 dropped 0.46%, France’s CAC 40 declined 0.40%, Germany's DAX retreated 0.48%, while Britain's FTSE 100 slumped 0.68%.

During the Asian trading session, Hong Kong's Hang Seng Index tumbled 1.21%, while Japan’s Nikkei 225 Index plunged 1.35%.

Later in the day, the U.S. was to release preliminary data on third quarter gross domestice product. In addition, the University of Michigan was to release revised data on consumer sentiment.