Wall Street was headed for another dismal open with Dow futures already close to 400 points lower as oil’s death spiral continued and China traded at its lowest level in more than a year. The latest freefall in equities threatened to erase all of Thursday’s gains and put the Nasdaq at a 4-month low, and the impact from impending Iranian oil has driven the price of oil below $30 per barrel.
The first round of economic data added to the hemorrhaging with retail sales, the producer price index and Empire State manufacturing index all missed estimates. Producer prices fell 0.2% in December and resulted in the largest annual decline in five year. Excluding the volatile food and fuel segment, wholesale prices were up 0.1%, in-line with estimates.
Retail sales fell 0.1% last month, missing estimates to remain unchanged. Excluding auto sales, retail sales were also down 0.1% and were unchanged excluding both auto and gas sales.
Finally, the January Empire State manufacturing index tumbled to negative 19.37 from a downwardly revised negative 6.21 in December, well below estimates to fall to negative 4.0.
Friday’s remaining data includes December industrial production (expected -0.2%) and capacity utilization (expected 76.9), November business inventories (expected to be unchanged), and the preliminary Univ of Michigan consumer sentiment index for January (expected 93.0).
-Dow Jones Industrial down 2.14%
-S&P 500 futures down 2.14%
-Nasdaq 100 futures down 2.44%
Nikkei down 0.54%
Hang Seng down 1.50%
Shanghai Composite down 3.51%
FTSE-100 down 1.80%
DAX-30 down 2.28%
PRE-MARKET SECTOR WATCH
(-) Large cap tech: Lower
(-) Chip stocks: Lower
(-) Software stocks: Lower
(-) Hardware stocks: Lower
(-) Internet stocks: Lower
(-) Drug stocks: Lower
(-) Financial stocks: Lower
(-) Retail stocks: Lower
(-) Industrial stocks: Lower
(-) Airlines: Lower
(-) Autos: Lower
(+) BSI (+26.61%) Announced receipt of additional offer for holdings in Blue Square Estate
(+) EA (+0.54%) Upgraded at Bank of America to buy from neutral
(+) LAKE (+0.53%) Confirmed ebola death in Sierra Leone
(-) INTC (-6.08%) Reported better-than-expected Q4 results, guided Q1 higher
(-) ERIC (-6.40%) Downgraded at Deutsche Bank to hold from buy
(-) FAST (-3.82%) Reported disappointing Q4 earnings
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