By Anora Mahmudova and Sara Sjolin, MarketWatch
GDP data unchanged in fourth quarter
NEW YORK (MarketWatch) -- U.S. stock futures pointed to a weak
opening Friday, putting stocks in line to finish the week with
hefty losses.
Reaction to a weaker-than-expected GDP revision was muted, as
investors waited to see whether Janet Yellen will shed light in a
Friday speech on the timing of a Federal Reserve interest-rate
hike.
Futures for the Dow Jones Industrial Average (YMM5) dropped 26
points, or 0.1%, to 17,584, while those for the S&P 500 index
(ESM5) lost 3 points, or 0.1%, to 2,046.50. Futures for the Nasdaq
100 index (NQM5) were down 4.25 points, or 0.1%, at 4,308.75.
On Thursday, the benchmarks dropped for a fourth day
(http://www.marketwatch.com/storyno-meta-for-guid) in a row, with
the S&P 500 index (SPX) turning negative for the year and
recording its longest losing streak since January. The weakness
seen this week comes on the back of airstrikes in Yemen led by
Saudi Arabia, concerns over poor earnings prospects and worries
that the Fed is moving closer to a rate hike.
Don't miss:Corporate earnings fell in 2014 for the first time
since 2008
(http://www.marketwatch.com/story/corporate-profits-fall-in-fourth-quarter-2014-2015-03-27)
Yellen speech: Fed Chairwoman Janet Yellen speaks at the Federal
Reserve Bank of San Francisco Conference on the "New Normal for
Monetary Policy" just before the closing bell. The central bank
last week dropped the word "patient" from its statement, but Yellen
stressed the Fed is in no hurry to raise rates. Her speech starts
at 3:45 p.m. Eastern Time.
Data: The U.S. economy grew 2.2% in the fourth quarter of 2014,
unchanged from the government's prior estimate. Exports and
consumer spending, especially on health care, were revised to show
a stronger increase, but that was offset by a reduction in how much
companies spent to build up inventories, the Commerce Department
said Friday.
At 9:55 a.m. Eastern, the final reading on the University of
Michigan's consumer-sentiment index for March comes out. It's
expected to have risen to 92.5 from the flash estimate of 91.2,
according to economists polled by MarketWatch.
Stocks to watch:GameStop Corp.(GME) slid 5.8% in premarket
action after the videogame retailer's quarterly results and outlook
fell short of Wall Street estimates
(http://www.marketwatch.com/story/gamestop-shares-decline-on-earnings-outlook-2015-03-26).
The report came out late Thursday.
Restoration Hardware Holdings Inc.(RH) lost 4.4%, even as the
company late Thursday said fourth-quarter earnings
(http://www.marketwatch.com/story/restoration-hardwares-stock-rallies-after-profit-sales-top-estimates-2015-03-26)
rose 60% on a year-over-year basis.
Shares of Orexigen Therapeutics Inc.(OREX) surged 10% ahead of
the market open after the biotech firm received a green light from
European regulators for its Mysimba diet drug.
Ahead of the bell on Friday, BlackBerry Ltd. (RIMM) rose 5%
after reporting fourth-quarter earnings of 4 cents a share, beating
forecasts of a four-cent loss.
Finish Line Inc.(FINL) jumped 4.9% premarket. The
athletic-footwear retailer reported fourth-quarter earnings ahead
of forecasts.
Carnival Corp.(CCL) is forecast to report first-quarter earnings
of 9 cents a share.
Amazon.com Inc.(AMZN) was also in the spotlight, as Forbes
reported that negotiations to buy the luxury online retailer
Net-a-Porter
(http://www.forbes.com/sites/ryanmac/2015/03/26/amazons-purchase-of-luxury-retailer-net-a-porter-far-from-certain-but-talks-on-going/)
could still fall apart.
Other markets: Crude-oil futures (CLK5) were lower
(http://www.marketwatch.com/story/crude-oil-prices-fall-as-yemen-conflict-escalates-2015-03-27)
after logging a five-day winning streak on Thursday. Those moves
came after Saudi Arabian airstrikes in Yemen raised fresh concerns
over potential disruptions to crude supplies. For the week, the May
contract was still looking at an 8% advance.
The ICE dollar index (DXY) reversed gains and was a touch lower
after the weaker GDP figures. Both Europe and Asian equity markets
were mixed.
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