By Anora Mahmudova and Carla Mozee, MarketWatch
NEW YORK (MarketWatch) -- U.S. stock futures moved lower
Thursday as investors digested an uptick in jobless claims and
speculation about the Federal Reserve adopting a more hawkish
attitude toward interest rate increases at its meeting next
week.
Investors assessed quarterly results from supermarket chain
operator Kroger Co. and yoga-gear maker Lululemon, which were
released during premarket trade.
Futures for the Dow Jones Industrial Average (DJU4) fell 49
points, or 0.3%, to 17,009, while those for the S&P 500 index
(SPU4) shed 5.7 points, or 0.3%, to 1,989. Nasdaq 100 index futures
(NDU4) fell 8 points, or 0.2%, to 4,085.
Data: The number of people who applied for jobless benefits last
week unexpectedly rose, reaching the highest level since late June,
according to government data released Thursday. Despite that rise,
weekly claims remained near pre-recession levels.
The four-week moving average of initial claims ticked up above
300,000, "giving a bit more weight to last week's disappointing
payrolls report," said analysts at Rabobank in a note. Last week,
the government said 142,000 jobs were created in August, well below
expectations of 228,000 jobs from a MarketWatch poll.
The weaker-than-expected jobs figure had spurred speculation
that the Fed would hold off on raising interest rates. But rising
U.S. Treasury yields reflect concern that the Fed may signal that a
rate hike is in store during the first quarter of 2015 at next
week's meeting.
At 10 a.m. Eastern, the Treasury is likely to report that the
federal government showed a smaller deficit in August compared with
the same month in 2013.
Stocks on Wednesday closed higher, aided by Apple Inc. (AAPL)
and other tech stocks, but worries about an earlier interest-rate
increase from the Fed weighed on Wall Street earlier in the
session. The S&P 500 SPX (SPX) rose 0.4% and the Nasdaq
Composite (RIXF) gained 0.8%.
Stocks to watch: RadioShack (RSH) shares dropped 14% in
premarket trade as the electronics retailer said it's in advanced
talks with a number of parties over its strategic options. Actions
may include debt restructuring and store consolidations.
Shares of Lululemon (LULU) jumped 13% ahead of the regular
session after the yoga-gear maker raised its outlook following
second-quarter results beat expectations.
Kroger (KR) shares rose 1.6% after the grocery chain beat
second-quarter revenue and earnings expectations and raised its
outlook. (Read more about the day's notable movers here:
http://www.marketwatch.com/story/restoration-hardware-kroger-lululemon-in-spotlight-2014-09-11.)
Other markets: Hong Kong stocks extended their losing streak to
five sessions, while European stocks were mixed. Gold prices (GCZ4)
gave up gains and were modestly lower, and oil futures (CLV4) fell
after International Energy Agency again cut its oil-demand forecast
for this year.
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