STOCKS TO RISE

News

premarkets

Click on chart for more premarket data

NEW YORK (CNNMoney) — U.S. stocks were poised to follow European stocks higher, a day after markets sold off on worries over debt and banking crisis in Europe.

The Dow Jones industrial average (INDU), SP 500 (SPX) and Nasdaq (COMP) futures were all slightly higher early Tuesday morning. Stock futures indicate the possible direction of the markets when they open at 9:30 a.m. ET.

Trading could be choppy, with little U.S. economic or company news on tap. Investors will continue to monitor uncertainty in Europe, and Spain’s request for up to €100 billion ($125 billion) in assistance from the European Union its banking system.

As the situation in Spain heats up, bond yields have risen again to about 6.7%. Italian bond yields also rose Tuesday, remaining above the 6% benchmark — a warning sign that the country could need a bailout of its own.

Meanwhile in Greece, its elections this Sunday are seen as a pivotal moment that could determine if the country remains a member of the euro currency union.

U.S. stocks fell Monday, as an early rally quickly fizzled, sending all three indexes down more than 1%. Bank stocks were among the biggest losers, including Bank of America (BAC, Fortune 500), Citigroup (C, Fortune 500) and JPMorgan Chase (JPM, Fortune 500).

World markets: European stocks rose in morning trading. Britain’s FTSE 100 (UKX) ticked up 0.4%, while the DAX (DAX) in Germany added 0.7% and France’s CAC 40 (CAC40) was 0.6% higher

Asian markets closed lower Tuesday, after a rise the previous day on stronger economic readings out of China. The Shanghai Composite (SHCOMP) fell 0.7%, while the Hang Seng (HSI) in Hong Kong slid 0.4% and Japan’s Nikkei (N225) ended 1.0% in the red.

Economy: Before the bell, the Bureau of Labor Statistics will release import and export price data for May.

At 2 p.m. ET, the Treasury Department will release its monthly budget report. Investors will look for a repeat of last month, when the Treasury revealed a $59 billion surplus, the first monthly budget surplus since September 2008.

Companies: Apple (AAPL, Fortune 500) shares were 1.6% lower on the day of its developer’s conference, as its announcement of the new MacBook Air and other products wasn’t enough to pull it from a recent slump. Shares lost another 1.1% in after-hours trading Monday, but were unchanged in early premarket trading Tuesday.

Garmin (GRMN), the biggest GPS device maker, saw shares tumble more than 8% Monday after Apple unveiled its new iPhone maps feature. The stock slipped another 0.5% in after-hours trading.

Currencies and commodities: The dollar lost ground against the euro and the British pound, but rose slightly versus the Japanese yen.

Oil for July delivery continued to slide, losing 55 cents to $82.15 a barrel.

Gold futures for August delivery fell $6.50 $1,590.30 an ounce.

Bonds: The price on the benchmark 10-year U.S. Treasury was slightly lower, taking the yield up to 1.61% from 1.60% late Monday.  To top of page

Leave a Reply