U.S. stocks were set for a lower open on Friday as proposed sweeping restrictions on U.S. banks and the delayed confirmation of Fed Chairman Ben Bernanke unnerved investors after a 10-month rally.
On Thursday, U.S. President Barack Obama threatened to rein in Wall Street banks with proposals to limit financial risk taking.
The U.S. Senate will not vote this week on whether to confirm the Federal Reserve chairman for a second four-year term, Democratic aides said, leaving little time before his current term expires.
It's really the uncertainty at this point, Doug Roberts, chief investment strategist at Channel Capital Research in Shrewsbury, New Jersey.
This may be just a shorter-term pullback. Usually markets don't go straight over a cliff, but we have to see if this is something more.
General Electric Co
S&P 500 futures dipped 2.2 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 dropped 15 points, but Nasdaq 100 futures added 4.25 points.
Recent declines have sent the Dow into negative territory for the new year, while the S&P 500 holds a slim 0.1 percent gain.
American Express Co
(Editing by Jeffrey Benkoe)