U.S. stock index futures pointed to a mostly lower open Friday amid earnings and after the advance read on second-quarter GDP came in well below expectations.
Chevron fell more than 1 percent in pre-market trade after reporting a diluted earnings loss of 78 cents a share for the second quarter, versus profit of 30 cents a share in the same quarter last year. On an adjusted basis, the firm posted earnings of 35 cents a share versus expectations of 32 cents.
The advance read on second-quarter GDP showed a 1.2 percent annualized growth rate, well below expectations for 2.6 percent. Consumer spending, which accounted for most of the GDP rebound in the second quarter, increased at a 4.2 percent rate, the fastest since the fourth quarter of 2014, Reuters said. Consumer spending accounts for more than two-thirds of U.S. economic activity,
First-quarter GDP was revised lower to 0.8 percent from 1.1 percent. On Thursday, the Atlanta Federal Reserve sent a shudder through markets when it came out with a new 1.8 percent forecast for the second quarter, off from 2.3 percent the day before.
Treasury yields edged off session highs, with the 2-year yield around 0.70 percent and the 10-year yield near 1.50 percent. The U.S. dollar index extended losses to trade about 0.9 percent lower, with the euro around $1.115 and the yen near 102.9 yen versus the greenback as of 8:58 a.m. ET. Sterling was around $1.322.
In other economic news, the employment cost index rose 0.6 percent, on a seasonally adjusted basis, for the three-month period ending June 2016.
Chicago PMI due at 9:45 a.m. Consumer sentiment is set to come out at 10:00 a.m.
Other earnings reports included United Parcel Service, which posted earnings in-line with expectations, on revenue that beat. Xerox posted earnings that topped estimates, on revenue in-line with forecasts.
In Europe, the pan European Stoxx 600 Index was up by around 0.58 percent on Friday morning.
In oil markets, Brent crude traded at around $42.30 a barrel on Friday morning, down 0.94 percent, while U.S. crude was at around $40.81, down 0.80 percent.
On Friday, the Bank of Japan (BOJ) pledged to increase purchases of exchange-traded funds (ETF) but kept interest rates steady at the close of its two-day meeting on Friday, confounding market expectations of hefty stimulus.
CNBC's Patti Domm contributed to this report