Stock futures lower after retail sales report (AP)
Wednesday, January 14th, 2009Stock futures are extending their losses following a government report showing a worse-than-expected decline in retail sales.
Stock futures are extending their losses following a government report showing a worse-than-expected decline in retail sales.
A challenging beverage environment and the loss of a drink deal will weigh on Dr. Pepper Snapple Group Inc. in 2009, an analyst said Wednesday as he cut the beverage maker’s full-year earnings forecast.
Stock index futures hit a session low on Wednesday after government data showed retail sales fell more than expected in December, signaling a further drop in consumer spending, a key driver of corporate profits.
Wall Street headed toward a lower open Wednesday as investors questioned whether banks would need more help from the government. The market also awaited a slate of economic reports.
An “outsider with attitude” is what one analyst called Carol Bartz, Yahoo Inc.’s new chief executive, adding that she already seems to have a clear view of the Internet icon in the current marketplace.
U.S. Bancorp will face earnings uncertainty in 2009 because of a deeper downturn in the economy that will pressure loan losses on what has to this point been among the better performing portfolios, an analyst wrote Wednesday.
Stock index futures tumbled to a session low on Wednesday as fears of more credit losses in the banking sector diminished the appetite for riskier assets.
A JPMorgan analyst lowered his target price on Apple Inc. Wednesday, but said the company could be better protected against missing Wall Street’s expectations than its rivals as sales of its Mac computers are holding up even as iPhone sales in Europe appear to be softening.
Government data is expected to show that businesses slashed their inventories in November as the recession deepened. Wall Street economists surveyed by Thomson Reuters forecast that companies cut inventories by 0.5 percent that month, compared with a 0.6 percent decline in October.
Retail sales likely fell for a record sixth straight month in December, and companies and analysts say prospects for this year remain gloomy.