By Sara Sjolin, MarketWatch
Greece also lifts sentiment
LONDON (MarketWatch) -- Wall Street was poised for a turbulent
session on Wednesday, with futures looking flat ahead of a raft of
economic reports and the release of minutes from the Federal
Reserve's January meeting.
U.S. investors have one eye keenly focused on Greece as it
attempts to reach a debt deal with its international creditors
helped lift sentiment earlier in the day.
Paring back from earlier gains, futures for the Dow Jones
Industrial Average (DJH5) slipped 4 points to 17,997, while those
for the S&P 500 index (SPH5) fell 1.70 points to 2,094.20.
Futures for the Nasdaq-100 index (NDH5) put on 1 point to
4,382.75.
The muted action follows a slightly positive session on Tuesday,
when sentiment got some boost from reports that Greece may ask for
a six-month loan extension. The request is expected on Wednesday,
and the conditions of such an agreement are reportedly under
negotiation. Germany has already said it won't accept a mere loan
agreement without a formal extension of Greece's current bailout
program, including the strict austerity conditions attached. The
Global X FTSE Greece 20 ETF (GREK) dropped 2% ahead of the
bell.
See: Why the ECB's unlikely to cut off emergency funds to Greek
banks
Data: Kicking off an action-packed data day, the producer-price
index and housing-starts data come out at 8:30 a.m. Eastern
Time.
Economists polled by MarketWatch expect producer prices to have
dropped 0.5% in January month-on-month, down from a 0.3% fall in
December. For housing starts, estimates are for 1.07 million in
January, up slightly from 1.06 million the prior month.
At 9:15 a.m. Eastern Time, industrial production is forecast to
show a 0.4% improvement in January, after a 0.1% drop in December.
Capacity utilization comes out at the same time, expected to have
risen to 79.9% in January, from 79.7% the previous month, according
to MarketWatch estimates.
FOMC minutes: The minutes from the Federal Open Market
Committee's meeting on Jan. 27-28 are due at 2 p.m. Eastern, in the
middle of the U.S. trading day. At the meeting, Federal Reserve
policy makers told investors they would be "patient" about hiking
short-term interest rates, and market participants will scrutinize
the minutes to see whether any of the top Fed officials actually
wanted to drop that phraseology.
Earnings: Reporting before the opening bell, hotel chain Hilton
Worldwide Holdings Inc. (HLT) said fourth-quarter adjusted earnings
rose to 17 cents, slightly missing analyst estimates. The company,
however, said it was optimistic about 2015. Shares seesawed
premarket and were down 0.7% at the latest.
Actavis PLC gained 2.5% ahead of the open after the
pharmaceutical firm raised its profit guidance for 2015.
Also reporting ahead of the bell, satellite TV-provider Dish
Network Corp.(DISH) is expected to post quarterly earnings of 43
cents a share, according to a FactSet survey of analysts.
Airline Virgin America Inc.(VA) is seen reporting quarterly
per-share profit of 79 cents.
As for companies reporting after the markets close, solar-power
company SolarCity Corp.(SCTY) is expected to post a quarterly loss
of $1.27 a share.
Marathon Oil Corp.(MRO) is seen delivering quarterly earnings of
4 cents a share.
Hotel operator Marriott International Inc.(MAR) is forecast to
report quarterly profit of 65 cents a share.
Movers and shakers: Rackspace Hosting Inc.(RAX) fell 3.5% in
premarket action after the cloud-computing company late Tuesday
posted a sharp increase in profit, but predicted first-quarter
revenue will be below Wall Street estimates.
Other markets: European stock markets moved firmly higher,
boosted by optimism that the Greek debt drama could soon come to an
end. Asian markets also got a lift from Greece and closed with
gains.
Crude-oil prices (CLH5) fell almost 2%, while metals prices were
mostly lower as well. The dollar (DXY) rose against most other
major currencies.
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