US futures dip

The US bourse is set to open higher as European leaders get ready to meet.

The US bourse is set to open higher as European leaders get ready to meet.

Published Jan 13, 2014

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New York - US stock index futures declined on Monday, as investors prepared to assess a quarterly earnings season that will pick up steam this week.

* Earnings are expected from 29 companies in the S&P 500 this week, including banks such as Morgan Stanley, Citigroup Inc, Goldman Sachs and JPMorgan Chase & Co.

* Results are also due from companies including First Horizon National Corp, M&T Bank Corp, People's United Financial Inc and Charles Schwab Corp.

* According to Thomson Reuters data, fourth-quarter earnings are expected to grow 7.3 percent over the year-ago period.

However, the 9.8 ratio of negative guidance to positive outlooks is currently the largest on record.

* S&P 500 futures fell 6.2 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract.

Dow Jones industrial average futures lost 27 points and Nasdaq 100 futures declines 11.25 points.

* Equities have started 2014 on a lacklustre note, dipping 0.3 percent through the first seven trading sessions as market participants try to gauge the pace of the winding down of market-friendly economic stimulus by the Federal Reserve.

* Lululemon Athletica Inc lost 7.7 percent to $55 before the opening bell after the yogawear retailer cut its forecast for the fourth-quarter due to weak sales in January.

* British engineering firm Amec said it had provisionally agreed to buy Foster Wheeler in a cash and share deal that values the Swiss-based engineer at 1.9 billion pounds ($3.13 billion).

* Beam Inc jumped 23.3 percent to $82.56 in light premarket trading after the company agreed to be acquired by Suntory Holdings Limited for $83.50 per share.

* Intercept Pharmaceuticals Inc tumbled 26.7 percent in premarket trading.

The stock jumped over 500 percent last week after its liver disease drug met the main goal in a study.

* European stocks rose in early trade, adding to last week's gains, led by a rally in banking stocks, after regulators agreed to ease the way in which a leverage ratio is compiled to avoid squeezing financing for the global economy.

* Asian shares were mostly firmer in the wake of surprisingly weak US jobs numbers that added to the case for the Federal Reserve to keep rates low for longer. - Reuters

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