Dow May Deliver Further Gains Ahead of Economic Reports
LONDON -- Stock index futures at 7 a.m. EDT indicate that the Dow Jones Industrial Average may open up by 0.31% this morning, while the S&P 500 may open 0.38% higher. Both indexes closed higher yesterday, and CNN's Fear & Greed Index has returned to "fear" territory, and is poised to start the day at 29, up from yesterday's close of 22.
European markets lost ground this morning as traders took profits, leaving the FTSE 100 down by 0.43% at 7 a.m. EDT, with Germany's DAX down 0.87% and France's CAC 40 down 0.56%. In the eurozone, Portugal's finance minister resigned last night, citing falling confidence in the country's austerity program, while in Greece, the government continues to negotiate on the conditions for the release of the next slice of its bailout funds. Asian markets were mixed this morning; the Nikkei 225 closed up by 1.8%, and markets in Singapore and China also closed higher, but markets in India, Indonesia, and the Philippines all closed lower.
U.S. economic reports due today include May's factory order data. Due at 10 a.m., the data are expected to show that orders rose by 1.9% in May, after gaining 1% in April. June's motor vehicle sales figures are also due today and are expected to show that sales rose to 15.5 million in June, up by 200,000 from 15.3 million in May. Investors may hold fire ahead of this week's unemployment reports; the latest ADP employment survey and weekly jobless claims figures will be released tomorrow, ahead of Thursday's Independence Day holiday, while June's nonfarm payrolls and unemployment rate will be released as usual on Friday.
Companies due to report quarterly results before markets open this morning include Constellation Brands, Acuity Brands, and Zep. Also due to report today is Greenbrier. Other companies whose stock could be actively traded today could include Ford and GM, both of which rose around 2% in trading on Monday ahead of today's auto sales data. Social gaming company Zynga climbed 10% yesterday and was5%higher in premarket trading this morning, following news that the company's founder, Mark Pincus, is stepping down to be replaced by Don Mattrick, former head of Microsoft's Xbox division.
Finally, let's not forget that the Dow's daily movements can add up to some serious long-term gains. Indeed, Warren Buffett recently wrote: "The Dow advanced from 66 to 11,497 in the 20th century, a staggering 17,320% increase that materialized despite four costly wars, a Great Depression and many recessions."
If you, like Buffett, are convinced about the long-term power of the Dow, you should read "5 Stocks to Retire On." Your long-term wealth could be transformed, even in this uncertain economy. Simply click here now to download this free, no-obligation report.
The article Dow May Deliver Further Gains Ahead of Economic Reports originally appeared on Fool.com.
Roland Head does not own shares in any of the companies mentioned in this article. The Motley Fool recommends Ford and General Motors. The Motley Fool owns shares of Ford and Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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