By Barbara Kollmeyer, MarketWatch Sears, Dollar General, other
retailers due ahead of the bell
LONDON (MarketWatch) -- U.S. stocks were pointing to a flat
start for Wall Street on the heels of another record-breaking
session, with investors keeping an eye on a European Central Bank
news conference, the latest moves in the energy sector and weekly
jobless claims data.
Futures for the S&P 500 index (SPZ4) were mostly flat at
2,073.60, while those for the Dow industrials (DJZ4) added 15
points to 17,912. Futures for the Nasdaq-100 index (NDZ4) gained
5.25 points to 4,315.75.
Both the S&P 500 (SPX) and the Dow industrials (DJI) bagged
record closes -- the 48th and 33rd of the year -- on Wednesday,
with markets lifted by upbeat services sector data and cyclical
stocks such as energy. But action was flat early Thursday, with
some big events looming for investors.
Looking for a Draghi dove: The ECB kept key rates unchanged at a
meeting that has just wrapped, and investors will turn their
attention to a news conference from ECB President Mario Draghi at
8:30 a.m. Eastern. Markets will be looking out for any dovish
comments on whether the central bank is ready to kick off more
stimulus. Read a preview
"Draghi needs to be very, very dovish and hint at more ECB
action to keep stocks going up. I think he will be dovish, but
there will be no hints strong enough to meet investor
expectations," said Wouter Sturkenboom, strategist at Russell
Investments in London, in emailed comments. Watch our live blog of
the ECB news conference
Plus: The Hindenburg Omen cries bear market again
Weekly jobless clams are coming at 8:30 a.m. Eastern Time. The
data comes ahead of Friday's nonfarm-payroll data, a big event that
gives investors a reason to sit on the sidelines. "Jobs data needs
to come in the area of 180,000-230,000 to keep investors happy.
Higher is worse than lower," said Sturkenboom. Why economists say
400,000 jobs could be added
(Also see: The case for an imminent stock-market correction
http://www.marketwatch.com/story/correction-imminent-2014-12-02.)
Retailers on tap: Ahead of the opening bell, Sears Holding Corp.
(SHLD) reported a wider third-quarter net loss on lower revenue.
Dollar General Corp.(DG)(DG) missed estimates, and shares are down
1% in premarket, but the cut-price retailer says it remains
committed to a deal to acquire Family Dollar Stores Inc.(FDO).
Still to come are Barnes & Noble Inc.(BKS) and Kroger Co.
(ARO). Read previews of Barnes & Noble earnings, Sears
earnings
AĆ©ropostale Inc.(ARO) shares fell 7% in after-hours trading
Wednesday, after the retailer posted a disappointing fourth-quarter
outlook.
Chinese stocks see best day in two years: The dollar(EURUSD)
hovered at a two-year high against the euro ahead of the ECB
meeting and remained at a seven-year high against the yen. The
ruble fell further against the dollar as Russian President Vladimir
Putin gave a speech to lawmakers and officials in Moscow. He said
Western nations are holding back his country and warned of tough
times ahead.
European stocks treaded water as well, while Asian stocks
rallied on the heels of U.S. gains. China's Shanghai Composite
soared 4.3%, the biggest rise in two years, as retail investors
piled in and banks upgraded prospects for China's economy. Japan's
Nikkei 225 index added 0.9%.
Oil prices(CLF5) flattened, and gold(GCG5) was slightly
higher.
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