U.S. Stock-Index Futures Fluctuate Ahead of Earnings Reports
U.S. stock-index futures swayed between gains and losses before earnings reports from major companies, including Goldman Sachs, Coca-Cola, and Johnson & Johnson. The market's volatility was partly driven by International Business Machines' announcement that first-quarter service contracts signings fell, indicating a possible slowdown in technology spending. Meanwhile, Barrick Gold Corp. and Exxon Mobil Corp. rose as the price of gold and crude oil increased. Fund manager Jacques Porta noted that improving economic data has raised investor expectations for company earnings, leading to profit-taking but not a change in the overall positive outlook for equities.
Key Takeaways:
- U.S. stock-index futures fluctuated between gains and losses ahead of earnings reports from Goldman Sachs, Coca-Cola, and Johnson & Johnson.
- International Business Machines Corp. fell 2 percent after announcing a decline in first-quarter service contracts signings.
- Barrick Gold Corp. and Exxon Mobil Corp. rose as the price of gold and crude oil increased.
- Profits for companies in the S&P 500 are projected to have increased by 35 percent in the first quarter, according to analyst estimates compiled by Bloomberg.
- Fund manager Jacques Porta attributed the market's volatility to growing investor expectations for company earnings, driven by improving economic data.
- The Nasdaq-100 Index futures rose 0.1 percent to 2,015.75, while Dow Jones Industrial Average futures added 0.1 percent to 11,055.
Statistics:
- U.S. stock-index futures swung between gains and losses at least 12 times before earnings reports.
- Goldman Sachs, Coca-Cola, and Johnson & Johnson are among companies due to report earnings before the market opens.
- Profits for companies in the S&P 500 are projected to have increased by 35 percent in the first quarter.
- The S&P 500Index futures expiring in June increased 0.1 percent to 1,197.3 at 10:44 a.m. in London.
Sources:
- Bloomberg
- Euclid Infotech
- Contify.com