RTTNews - After a lackluster performance in the previous session, stocks are poised for a modestly lower open on Thursday, amid negative reaction to another uninspiring jobs report. The major futures indices are all in negative territory, with Dow futures down by 60 points.
Traders are digesting a report from the U.S. Labor Department that showed initial jobless claims came in at 631,000 for the week ended May 16th. This was down 12,000 from the previous week's revised total of 643,000.
The 4-week moving average for initial claims, a statistic that flattens out week-to-week volatility in the data, slipped to 628,500.
The number of people receiving ongoing unemployment help, a figure known as continuing claims, rose again in the latest statistics. Continuing claims climbed to 6.662 million - yet another record high.
Later this morning, traders will focus on the Philadelphia Fed's manufacturing survey for May and the Conference Board's leading indicators for April. The reports are both scheduled for release at 10:00 a.m. ET.
On the earnings front, tax preparation and financial management software maker Intuit Inc. (INTU) reported its third quarter results after Wednesday's close. The company reported adjusted third quarter net income of $552.3 million or $1.68 per share, which beat out Wall Street estimates of $1.61 per share. The firm also said revenue jumped 9 percent compared to the same period last year. The stock has climbed 2.5 percent in pre-market trading following the report.
Auto parts retailer Advance Auto Parts Inc. (AAP) said its first quarter profit was $93.6 million or $0.98 per share compared to analyst expectations of $0.92 per share. The firm also revealed that its comparable store sales increased 8.2 percent during the quarter. Traders reacted positively to the earnings, driving the stock up by 2.1 percent in pre-market trading.
In corporate news, media reports said that auto and home lender GMAC LLC, which was bailed out by the government in December, is expected to receive more than $7 billion in U.S. Treasury funds to provide financing for customers of General Motors Corp. (GM) and Chrysler LLC.
Earlier today, the Standard & Poor's revised its outlook on the U.K. to negative from stable, assuming that general government debt burden would reach 100 percent of GDP. The rating agency reaffirmed its 'AAA' long-term and 'A-1+' short-term sovereign credit ratings.
Credit analyst at S&P, David Beers said The rating could be lowered if we conclude that, following the election, the next government's fiscal consolidation plans are unlikely to put the U.K. debt burden on a secure downward trajectory over the medium term.
Stocks finished Wednesday's trading session modestly lower, unable to sustain earlier gains. The major averages all slipped into negative territory in mid-afternoon dealing, closing just off of their worst levels of the day.
The major averages all closed slightly lower after a late day selloff dragged the indices into negative territory. The Dow closed lower by 52.81 at 8422.04, the Nasdaq finished down by 6.70 at 1727.84, and the S&P 500 slipped by 4.66 to 903.47.
In early commodities trading, crude oil futures are down $1.36 to $60.68, while gold futures are on the rise, up by $1.90 to $939.30 an ounce.
On the currency front, the U.S. dollar gained some footing against the euro, inching up to 1.3762 while snapping its losing streak against the pound, climbing to 1.5662. Meanwhile, the buck moved off of a two month low against the yen, rising to 94.88 in early morning dealing in New York.
In overseas trading, stock markets across the Asia-Pacific region finished lower on Thursday. Japan's benchmark Nikkei 225 Index slipped by 0.8 percent and Hong Kong's Hang Seng Index fell 1.5 percent.
Meanwhile, the major European markets are on the downside. The French CAC 40 Index and the German DAX Index are both down by 1.9 percent. The U.K.'s FTSE 100 Index is also down, slipping by 2.1 percent.
For comments and feedback: contact firstname.lastname@example.org