LDN - Business

Stock futures little changed as French election in focus

[April 21, 2017] By Tanya Agrawal

(Reuters) - U.S. stock index futures were little changed on Friday as investors stayed away from making big bets ahead of the first round of the French presidential elections over the weekend.

Recent polls showed centrist Emmanuel Macron hung on to his lead in a four-way race that is too close to call.

Major U.S. indexes have fallen for two straight weeks as worries about President Donald Trump's ability to deliver on his pro-growth promises raised some concern about stretched stock valuations.

However, treasury Secretary Steven Mnuchin said an overhaul of the tax code will be unveiled very soon.

Mounting tensions between North Korea and the United States have also kept investors cautious.

U.S. stocks rallied on Thursday, with the Nasdaq closing at a record high, driven by a round of solid earnings.

Of the 82 companies in the S&P 500 that have reported earnings through Thursday afternoon, about 75 percent have topped expectations, according to Thomson Reuters data, above the 71 percent average for the past four quarters.

Overall, profits of S&P 500 companies are estimated to have risen 11.1 percent in the quarter, the best since 2011.

On the economic front, data is expected to show March existing home sales expanded slightly to 5.6 million from 5.48 million in February. The data is expected at 10 a.m. ET (1400 GMT).

[to top of second column]

Traders work on the floor of the New York Stock Exchange (NYSE) in New York, U.S., April 20, 2017. REUTERS/Brendan McDermid

Markit's PMI flash data for April is expected to show a slightly higher reading.

Oil prices edged lower, on course for the biggest weekly drop in a month, over doubts that an OPEC-led production cut will restore balance to an oversupplied market. [O/R]

Shares of Dow component Visa were up 2.6 percent at $93.50 in premarket trading after the payments network operator's quarterly results beat expectations.

Mattel fell 4.8 percent to $23.99 after the toymaker reported a far bigger-than-expected quarterly loss and drop in sales.

General Electric was little changed at $30.25 after the company reported a 1 percent decline in quarterly revenue.

Futures snapshot at 6:52 a.m. ET:

Dow e-minis remained unchanged, with 17,610 contracts changing hands.

S&P 500 e-minis were up 1.5 points, or 0.06 percent, with 93,640 contracts traded.

Nasdaq 100 e-minis were up 8.5 points, or 0.16 percent, on volume of 20,789 contracts.

(Reporting by Tanya Agrawal; Editing by Anil D'Silva)

Back to top