Sponsored by: Investment Center

Something new in your business?  Click here to submit your business press release

Chamber Corner | Main Street News | Job Hunt | Classifieds | Calendar | Illinois Lottery 

Stock futures signal rebound after sell-off

Send a link to a friend

[July 29, 2008]  NEW YORK (AP) -- U.S. stocks headed for a moderately higher open Tuesday, a day after a sharp tumble on worries about financials and after Merrill Lynch & Co. announced plans to write down another $5.7 billion tied to soured mortgage debt.

CivicMerrill, which plans to issue new stock to raise $8.5 billion, said the latest write-downs are tied to additional losses on the sale of mortgage securities and other instruments. The disclosure in some ways appeared to be a setback for investors looking for financial companies large and small to put the credit crisis behind them.

Merrill's decision comes only weeks after the world's largest brokerage posted its fourth straight quarterly loss.

Dow Jones industrial average futures, which had been lower early Tuesday, rose 23, or 0.21 percent, to 11,159. Monday's 239-point decline put the blue chips back in bear market territory.


Standard & Poor's 500 index futures rose 2.00, or 0.16 percent, to 1,237.10, and the Nasdaq 100 index futures rose 4.25, or 0.23 percent, to 1,818.00.

Light, sweet crude fell 38 cents to $124.35 in premarket electronic trading on the New York Mercantile Exchange.

Bond prices fell after a rally Monday in which investors rushed to the safety of government debt. The yield on the benchmark 10-year Treasury note, which moves opposite its price, rose to 4.04 percent from 4.01 percent late Monday.

The dollar was mixed against other major currencies, while gold prices fell.

Quarterly earnings, which have generally come in somewhat better than Wall Street's low expectations, could help shape sentiment Tuesday. Investors will be awaiting quarterly results from names such as Northrop Grumman Corp. and United States Steel Corp.

[to top of second column]


Investors will also get the Conference Board's latest reading on consumer confidence after the opening bell. The mood of consumers is key because their spending accounts for more than two-thirds of U.S. economic activity.

Overseas, Japan's Nikkei stock average fell 1.46 percent. In morning trading, Britain's FTSE 100 rose 0.09 percent, Germany's DAX index fell 0.58 percent, and France's CAC-40 fell 1.13 percent.


On the Net:

New York Stock Exchange: http://www.nyse.com/

Nasdaq Stock Market: http://www.nasdaq.com/

[Associated Press; By TIM PARADIS]

Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.



< Recent articles

Back to top


News | Sports | Business | Rural Review | Teaching & Learning | Home and Family | Tourism | Obituaries

Community | Perspectives | Law & Courts | Leisure Time | Spiritual Life | Health & Fitness | Teen Scene
Calendar | Letters to the Editor