(By Salman - iStockAnalyst Writer)US stock futures gained on Wednesday after a government release showed that gross domestic product fell 0.7% in the second quarter, smaller than the previous negative 1% estimate.
At 8:0 am ET, the S&P 500 futures fell 1.80 points to 1057.20. The Dow Jones Industrial average futures decreased 5 points to 9723. The Nasdaq Composite futures lost 6.25 points to 1716.50.
A release by Commerce Department on Wednesday showed that U.S. real gross domestic product for the second quarter was revised to a decline of 0.7% annualized from the prior estimate of a 1.0% drop.
ADP survey on Wednesday reported that a total of 254,000 private-sector jobs were lost in September. Economists had projected a drop of 200,000 private sector jobs.
Shares of CIT Group (NYSE:
CIT) tumbled over 30% in premarket trading on fears that the commercial lender may not be able to avoid bankruptcy.
Late on Tuesday, sports apparel retailer Nike Inc. (NYSE:
NKE) said that its fiscal first quarter net income climbed to $513 million, or $1.04 per share, from $510.5 million, or $1.03 per share, in year-ago quarter. Revenue dropped 12 percent to $4.8 billion from $5.4 billion a year earlier.
Micron Technology Inc. (NYSE:
MU) said Tuesday that its fiscal fourth quarter loss narrowed to $88 million, or 10 cents per share, compared with a loss of $344 million, or 45 cents per share, in the prior year quarter. Revenue slipped to $1.3 billion from $1.45 billion a year earlier.
Jabil Circuit Inc. (NYSE:
JBL) reported Tuesday that it's fiscal fourth-quarter net income declined sharply to $5.5 million, or 3 cents a share, compared to net income of $57.5 million, or 28 cents a share, in the comparable quarter last year. Revenue slumped 15% to $2.8 billion.
Darden Restaurants Inc. (NYSE:
DRI) reported that net income rose to $94.3 million, or 67 cents per share, from $82.1 million, or 58 cents per share, in the same quarter a year ago. Total sales from continuing operations decreased 2.3% to $1.73 billion from $1.77 billion.
In its half-yearly Global Financial Stability Report released Wednesday, the International Monetary Fund said that global losses on loans and investments as a result of the financial crisis are now expected to total $3.4 trillion, around $600 billion or 15% less than previously estimated. "There is growing confidence that the global economy has turned the corner, underpinning the improvements in financial markets," the report said.
The Mortgage Bankers Association reported Wednesday that mortgage applications declined a seasonally adjusted 2.8% last week compared with the week before
On the economic front, Chicago PMI data is due for release at 10:30 am ET.
US stocks finished lower on Tuesday after weaker-than-expected consumer confidence data rekindled economic fears.
European stocks advanced in afternoon trade. At 12:12 pm London time, the UK FTSE gained 5.80 points or 0.11% to 5,165.52. The German DAX and French CAC increased 0.20% and 0.43% respectively.
Asian stocks finished mixed. The Nikkei 225 rose 33.03 points or 0.33% to 10,133.23. The Hang Seng index of Hong Kong fell 57.92 points or 0.28% to 20,955.25.
NYMEX crude oil for November delivery climbed as much as $1.28 or 1.9% to $67.99 a barrel in electronic trading.
Disclosure: Author doesn't own any of the stocks discussed here.
