Stocks are heading for a positive trading day as the world's central bankers gather for their annual confab at Jackson Hole.
Before the opening bell, Dow
(INDEXDJX:.DJI) futures were up 0.03% at 14,944. Futures contracts on the S&P 500
(INDEXSP:.INX) rose 0.07% to 1,656.00 and Nasdaq
(INDEXNASDAQ:.IXIC) futures gained 0.12% to 3,105.50. Bond prices continued to fall this morning as the 10-year yield rose three basis points to 2.91%.
Asian and European indices are lower today. British shares are higher as the UK's GDP report came in slightly higher than expected. The country's economy grew 1.5% over a year ago. German GDP was right in line with estimates, showing growth of 0.5% over a year ago.
Later this morning, we will get a reading of new home sales in July. Economists expect sales to have slowed slightly to a seasonally adjusted annualized rate of 487,000.
Moody's put major banks on review for downgrade
"as it considers reducing its government (or systemic) support assumptions to reflect the impact of US bank resolution policies."
(NYSE:GS), Morgan Stanley
(NYSE:MS), JPMorgan Chase
(NYSE:JPM) and Wells Fargo
(NYSE:WFC) are all on review. The ratings agency now believes that the government is more likely to let a major financial institution fail in a crisis.
(NYSE:P) shares fell 7% in after-hours trading after its earnings statement. The bottom line beat Wall Street's expectations with earnings per share of $0.04, but guidance was light. The online music streaming service warned that the price of acquiring new music was rising. It also took off the 40-hour monthly free listening limit that it initially put in place to control costs.
(NYSE:GPS) reported that second-quarter earnings rose to $0.64 per share, up $0.15 from a year ago. This beat expectations by a penny. Shares are down slightly, however, as the retailer's forward guidance was lower than analysts' estimates.
The annual Kansas City Fed's Jackson Hole Economic Policy Symposium will hold talks by the heads of several major central banks including Fed Chairman Ben Bernanke, Bank of England head Mark Carney, and ECB President Mario Draghi.
No positions in stocks mentioned.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.