Futures Trim Losses After Economic News
Futures slightly trimmed losses following economic reports on personal spending and income that were largely in line with analyst expectations.
The government said spending fell 0.5 percent in September while income was flat. Separate reports showed employment costs rising and New York City's economic activity continuing to pick up.
There are more economic reports on tap. At 9:55 am New York time the final draft of October consumer sentiment is due, with economists estimating it at 69.8.
And at 10 am New York time, the existing home sales for September is released, as well as a reading of U.S. manufacturing activity for October. Economists forecast a reading of 49.5 for the Chicago PMI.
In company news, Las Vegas Sands shares surged more than 9 percent after the gambling resort company gained approval for an initial public offering in Hong Kong.
Bankruptcy looms for commercial lender CIT Group as the company reached an agreement with Goldman Sachs to amend a $3 billion loan as part of a plan to restructure debt. CIT's beaten-down shares fell another 10.5 percent premarket.
On the political front, the White House will brief media on the status of stimulus spending and jobs, covered by the Recovery Act.
There are some major earnings out, including Chevron , which is expected to report $1.47 earnings per share.
Sony posted a fourth-quarter loss but cut its full-year loss forecast closer to market expectations, while rival Panasonic showed its first profit in three quarters while raising its forecast. US-traded shares of Sony gained 2.3 percent in premarket trading
Other before-the-bell earnings reports will come from Constellation Energy, Duke Energy, Aon, Arch Coal, Estee Lauder, Gartner, Washington Post, Weyerhaeuser.
In corporate news, American International Group said on Friday it would not sell its two Japanese insurers AIG Edison Life Insurance and AIG Star Life Insurance.
Technology stocks may get a boost after upbeat outlooks from Sony, Panasonic and Samsung.
Bourse operator NYSE Euronext's results beat consensus when it posted a 28 percent fall in third-quarter earnings. It also said it was selling a "significant equity interest" in its derivatives exchange NYSE Liffe U.S.