Stocks Futures Mixed
U.S. stock futures traded mixed on Wednesday pointing towards a cautious start as recent bullish run in the S&P 500 Index in the backdrop of better than expected results from most companies so far, is raising fears of some market correction while quarterly results from tech giant Apple Inc. (NASDAQ: AAPL) will also keep investors edgy.
In last 14 sessions, the Relative Strength Index of S&P 500 Index has remained over the reading of 70, signifying that equities are lying in ‘overbought’ territory, a data provided by Thomson Reuters showed.
No Major economic data is expected on Wednesday.
Elsewhere in Europe, mostly all leading benchmark indexes traded in red territory after Siemens, regarded as industrial bellwether, reported a drop in quarterly profit, citing delay in high-speed train project. At last check, the Pan European Stoxx 600 Index was inching lower 0.10%, while FTSE 100 was up 0.07%.
On earnings front, McDonald’s Corp. (NYSE: MCD) and United Technologies Corp. (NYSE: UTX) are scheduled to report quarterly results ahead of the morning bell while Apple will announce its fourth quarter results after the closing bell.
Google’s fiscal fourth-quarter revenue from ‘core’ internet business edged past street’s estimate while the pace of ad-rates decline also slowed down to 6% in the fourth quarter from 15% in the preceding quarter.
IBM reported better than expected fiscal fourth-quarter revenue and earnings.
AMD posted lower than expected losses for fiscal fourth quarter; nevertheless, the company gave a very lackluster outlook on revenue for the first quarter of 2013. Revenue is expected to decline 9% in quarter ending March 2013 from the quarter ended December due to stagnating PC industry, the Company said.