Futures Lower After Selloff; GE Shares Rise
Stock futures indicated another rough day for Wall Street on Friday after the previous day's selloff on the back of President Obama's proposed new restrictions on the financial industry.
Futures were well off their lows for the morning after General Electric posted earnings that beat analyst estimates, sending its shares up 1.2 percent in premarket trading.
But investors continued to be cautious a day after the Dow and S&P 500 had their biggest one-day drops since Oct. 30 and landed in negative territory for the year. The Nasdaq remains on the plus side but futures were indicating a negative opening.
Both Google and American Express beat estimates, but both companies' shares fell after hours. Google was off 4.5 percent premarket.
AMD was down 5.7 percent and Capital One off 4.6 percent premarket despite beating estimates.
With no economic reports on the calendar this morning, earnings reports will be the focus of Wall Street once again. Others ready to report include a handful of regional banks as well as Harley-Davidson, Kimberly-Clark, , Schlumberger, and Suntrust Banks . Regional banks did well yesterday in a down market, on the perception that they would be affected far less by President Obama's reforms should they be enacted.
In the news this morning, a major dispute between a program provider and a cable company has ended, with Cablevision and Scripps Networks reaching an agreement to return Food Network and HGTV to Cablevision customers.
China is calling U.S. accusations regarding internet censorship and freedom "baseless", following a critical speech by Secretary of State Hillary Clinton.
The Financial Times reports that Hershey will not counterbid for Cadbury, following an agreement by Cadbury to be bought by Kraft Foods in a $19 billion deal.
American Airlines has raised domestic fares by approximately $16 per round trip, with competitor United matching. If the fare increase spreads, it would be the first industrywide hike of 2010.
- Written by Peter Schacknow, Senior Producer, CNBC Breaking News Desk.