By Sara Sjolin, MarketWatch
LONDON (MarketWatch) -- U.S. stock futures indicated a slightly
higher open on Wall Street on Tuesday, ahead of inflation and
housing data. Prominent earnings reports from Coca-Cola Co. and
McDonald's Corp. will come premarket, with Apple Inc. reporting
after the closing bell.
Futures for the Dow Jones Industrial Average (DJU4) rose 26
points, or 0.2%, to 17,009, while those for the S&P 500 index
(SPU4) picked up 2.90 points, or 0.2%, to 1,969.20. Futures for the
Nasdaq 100 index (NDU4) climbed 7.75 points, or 0.2%, to
3,933.50.
Investors are facing a busy day both on the data and the
corporate front, with second-quarter results set to come through
thick and fast.
The highlight among macroeconomic releases ia the June inflation
report, due at 8:30 a.m. Eastern Time. It is forecast to show
consumer prices rose 0.3% in June, slower than the 0.4% reported in
May. Rising gasoline and food prices likely drove the expected
increase in consumer prices, according to economic forecasts.
Later Tuesday morning, the National Association of Realtors will
report on existing-home sales at 10 a.m. Eastern Time, and
economists expect an annual rate of 5 million for June, compared
with a 4.89 million pace in May. The FHFA house-price index is also
due in the morning.
A raft of earnings reports should help set the tone for the
trading day. Ahead of the bell, Coca-Cola (KO) is expected to
report second-quarter earnings of 63 cents per share.
McDonald's (MCD) is forecast to report second-quarter earnings
of $1.44 per share, and investors are looking at how it plans to
reverse the ongoing decline in U.S. sales.
Also out in premarket hours, Verizon Communications Inc. (VZ),
Comcast Corp. (CMCSA) and United Technologies Corp. (UTX) report
second-quarter results.
One headline earnings report, however, isn't out until after the
closing bell. Apple (AAPL) will release fiscal third-quarter
results, and it is forecast to have earned $1.23 a share for the
quarter ended in June, which reflects the 7-for-1 stock split that
took effect June 9. During the same period a year ago, Apple earned
a pre-split $7.47 a share.
Aside from corporate and data news, the conflict between Russia
and Ukraine remained in the spotlight. Joao Monteiro, analyst at
Valutrades, said in a note that the recent developments in the
standoff are seen as generally positive for stocks. Pro-Russia
separatists have handed over the black boxes from the downed
Malaysia Airlines plane to Malaysian authorities and have agreed to
send victims' bodies to the Netherlands.
"Whether this relief rally can actually be sustained in the
longer term remains to be seen," Monteiro said.
European Union foreign ministers are gathering in Brussels on
Tuesday to discuss further sanctions on Russia following the
incident.
U.S. stock markets closed lower on Monday, as investors remained
jittery amid escalating violence in the Gaza Strip and the
possibility of tougher sanctions on Russia.
In Tuesday's trade, European and Asian equity markets were
gaining. Oil futures (CLQ4) continued to rise, while metals prices
(GCQ4)were mostly lower. The dollar advanced against most
rivals.
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