Futures Retreat after Three Straight Days of Gains
Stock index futures have retreated in trading today, and are pointing to a lower start for the U.S. equity following a three-day rally.
Ahead of the opening bell, the Dow Jones Industrial Average futures are trading 36 points higher at 12,844, the S&P 500 futures are trading 5.2 points lower at 1,367, and the Nasdaq 100 futures are trading 1.5 points lower at 2,651.
Stocks rose for a third consecutive day on Thursday as investors cheered some strong tech earnings reports, which overshadowed weaker than expected economic data. The earnings season has been better than expected so far, which has given investors some confidence.
After-market close on Thursday Google Inc. (NASDAQ: GOOG), and Microsoft Corporation (NASDAQ: MSFT) reported their quarterly results. Google reported non-GAAP earnings of $3.35 billion for the second quarter. The company’s revenue excluding traffic acquisition costs was $8.36 billion. GOOG’s earnings for the quarter beat Street estimates, even as revenue missed slightly. GOOG shares are up more than 2% in pre-market trading today.
Microsoft, meanwhile, reported a profit of $6.93 billion, or $0.73 per share in its fiscal fourth quarter. The company’s revenue for the quarter was $18.06 billion. Analysts were expecting MSFT to report earnings of $0.62 per share and revenue of $18.13 billion. MSFT shares are also gaining in pre-market trading today.
SanDisk Corp. (NASDAQ: SNDK) also reported its quarterly results posting non-GAAP earnings of $51 million, or $0.21 per share and revenue of $1.03 billion. SNDK shares are soaring in pre-market trading today.
Earlier today, General Electric Co. (NYSE: GE) also reported its quarterly results. GE reported second-quarter operating earnings of $4 billion, or $0.38 per share, beating Street estimates by a penny. GE shares are marginally lower in pre-market trading.
European markets are mostly lower in trading today, with the FTSE 100 Index in London currently down 0.81%, and the CAC 40 Index in Paris currently down 1.52%. Asian markets ended on a mixed note overnight, with the Nikkei 225 Index in Japan falling 1.43%, and the Hang Seng Index in Hong Kong gaining 0.42%.