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Futures Add Losses After Payrolls Report

 July 06, 2012 09:07 AM
 

(By Balachander) U.S. stock index futures extended their losses after a government report showed the world's largest economy added fewer jobs than forecast in the month of June.

Mini Dow Industrial Average futures shed 56.00 points to 12,776.00. The Nasdaq Futures dipped 10.25 points to 2,632.25. Standard and Poor's 500 futures edged 6.60 points lower to 1,354.80.

On the US economic front, payrolls rose by 80,000 in June following the addition of an upwardly revised 77,000 jobs in May, a report from the Labor Department showed. Economists expected a gain of 90,000 jobs. Payrolls measures the change in the number of people employed during the previous month, excluding the farming industry. Unemployment rate held steady at 8.2 percent.

On Thursday, U.S. stocks ended on a lower note ahead of a key monthly payrolls report due Friday even as a slew of domestic readings as well as news from China and Europe weighed on the sentiment.

Hot Stocks Of The Day: INFA, STX, XRTX, NAV, LF, APKT

In corporate news, Informatica Corp. (NASDAQ:INFA) tumbled 27.67 percent in premarket after the California-based software maker warned that second-quarter earnings and revenue will be short of its guidance, saying the company did not adapt as rapidly as it should have to the changing macroeconomic environment.

Seagate Technology Plc (NASDAQ:STX) retreated 2.99 percent after the data storage company reduced its revenue and gross margin guidance for the fourth quarter ended June 29, hit by an isolated supplier quality issue and it cut shipments due to the industry's faster-than-expected recovery from their supply chain disruption.

Xyratex Ltd. (NASDAQ:XRTX) gained 7.08 percent in premarket after the provider of data-storage systems following its second quarter earnings that came in above Wall Street projections as margins improved. The company also guided third-quarter earnings above consensus estimates.

Navistar International Corp. (NYSE:NAV) fell 4.13 percent in premarket. The truck manufacturer said it expects to introduce its advanced clean engine technology early next year to meet current U.S. emission rules.

LeapFrog Enterprises Inc. (NYSE:LF) declined 7.29 percent in premarket after the developer of multimedia learning platforms for children announced the resgination of chief financial officer Mark Etnyre to pursue personal interests.

Acme Packet Inc. (NASDAQ:APKT) slumped 9.40 percent in premarket after the provider of networking services forecast second-quarter earnings and revenue that trailed market expectations, citing continued weakness in the North American market.

Global Markets:

European markets retreated, with Germany's DAX down 0.38 percent to trade at 6,510.90. France's CAC40 fell 0.41 percent to trade at 3,216.24. U.K.'s FTSE 100 edged 0.02 percent lower to trade at 5,691.45.
       
Among Asian markets, China's Shanghai Stock Exchange Composite Index rebounded 1.05 percent to close at 2,224.55. Japan's Nikkei 225 fell 0.65 percent to end at 9,020.75. Hong Kong's Hang Seng Index edged 0.04 percent lower to end at 19,800.64. India's BSE Sensex finished at 17,521.12, down 0.10 percent.

Market Scan:

Ahead of the opening bell, crude oil futures tumbled 1.91 percent to $85.550 per barrel. Gold futures retreated 0.77 percent to $1,597.0 per ounce.
                      
In the currency market, the euro traded 0.27 percent lower against the U.S. dollar at 1.2358, while the British pound inched up 0.01 percent against the greenback to 1.5527. The dollar shed 0.34 percent against the Japanese yen at 79.6500.


Rich
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