Futures gain as money trickles back
David Russell | [email protected]
S&P 500 futures are up by about one-quarter of a percent, while Europe is little-changed after fighting back from earlier losses. Asian bourses were mostly lower, led by a 2 percent drop in Tokyo, following yesterday's decline in U.S. equities.
The S&P 500 climbed steadily for four months and is now within about 2 percentage points of its previous all-time highs from 2007. The rally has been marked by extremely low volatility as money flows into the market after years of nervousness. It's also been aided by favorable economic news and strong earnings.
Attention has recently focused on the potential risks of banking crisis in Cyprus, which has caused indexes to pause in the last week. European Union officials have given the country until Monday to raise 5.8 billion euros needed to secure a10 billion-euro rescue from other European countries and the International Monetary Fund.
Commodities and currencies are also painting a mostly bullish picture this morning. Oil is posting a small gain while copper is higher by almost a full percentage point. Precious metals are lower, while agricultural foodstuffs are mixed. The euro is rallying against the U.S. dollar, while the Japanese yen is mostly lower.
In company-specific news, Nike is indicated to open higher by 8 percent after a strong earnings report last night. Memory-chip maker Micron is climbing after revenue beat expectations and management said demand is improving. (See related story)
Salesforce.com is also up after announcing a 4-for-1 stock split. Tibco Software, however, is down on a weak top-line number.