News Column

Futures Pointing To A Higher Open On Wall Street

May 7, 2014

WASHINGTON (Alliance News) - Stocks are likely to move back to the upside in early trading on Wednesday after moving notably lower over the course of the previous session. The major index futures are currently pointing to a higher open for the markets, with the Dow futures up by 45 points.

The markets may benefit from a positive reaction to quarterly results from Disney (DIS), with the entertainment giant advancing by 1% in pre-market trading.

After the close of trading on Tuesday, Disney reported better than expected fiscal second quarter results due in part to the success of its animated film "Frozen."

Video game maker Electronic Arts (EA) is also likely to see early strength after reporting fiscal fourth quarter results that exceeded analyst estimates and providing strong guidance for the current year.

On the other hand, shares of Whole Foods (WFM) are likely to come under pressure in early trading after the organic grocer reported weaker than expected second quarter earnings and cut its full-year guidance.

Groupon (GRPN) is also moving sharply lower in pre-market trading after the daily deal website reported a narrower than expected first quarter loss but forecast second quarter earnings below analyst estimates.

On the economic front, the Labor Department recently released a report showing that US labor productivity fell by more than anticipated in the first quarter of 2014.

Trading may also be impacted by remarks by Federal Reserve Chair Janet Yellen, who is scheduled to testify before the Joint Economic Committee of Congress beginning at about 10 am ET.

Investors are likely to pay close attention to any comments Yellen makes regarding the outlook for the economy and monetary policy.

For more stories on investments and markets, please see HispanicBusiness' Finance Channel

Source: Alliance News

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