Stock Index Futures Fall Today as Stocks Face Worst Week in Two Months. Stocks to Watch: NFLX, AAPL, MS, INTC, BAC, SIRI, AA
Stocks are facing their worst week in two months and their second consecutive week of losses as investors are worried about global growth, along with Europe’s debt crisis and the ensuing contagion creeping throughout the euro zone.
S&P 500 futures fell 7.2 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures lost 72 points, and Nasdaq 100 futures sank 14.50 points. U.S. stock markets were closed for the Thanksgiving holiday on Thursday and will be open on Friday until 1 p.m. Usually this day is the lightest volume day of the year.
The Dow has shed 539 points in three trading days. The broad S&P 500 is on a six-day losing streak, sliding 7.6% over the period.
European blue chips fell 0.76%, while the euro fell 0.76% to $1.324. The English FTSE 100 slid 0.38% to 5,108 and the German DAX dipped 0.41% to 5,406.
Italy was forced to pay an average yield of 6.5% on a roughly $10.7 billion auction of six-year bonds, far higher than the 3.5% it paid at its October auction, signaling a much higher risk premium. As a result, the yields on its 10-year bond moved even higher above the 7% level. While the 7% mark does not have any technical significance, it is symbolically important because countries like Greece needed bailouts around that level.
In Asia, the Japanese Nikkei 225 edged lower by 0.06% to 8,160 and the Chinese Hang Seng tumbled 1.4% to 17,689.
The benchmark crude oil contract traded in New York fell 99 cents, or 1%, to $95.46 a barrel. Wholesale RBOB gasoline slipped 1 cent, or 0.58%, to $2.50 a gallon.
In metals, gold dropped $15.00, or 0.84%, to $1,685 a troy ounce. The yield on U.S. government debt ticked higher. The benchmark 10-year note yields 1.939% from 1.883%.
Stocks to watch today include Netflix, Inc. (NASDAQ:NFLX), Apple Inc. (NASDAQ:AAPL), Morgan Stanley (NYSE:MS), Intel Corporation (NASDAQ:INTC), Bank of America Corporation (NYSE:BAC), Sirius XM Radio Inc. (NASDAQ:SIRI) and Alcoa Inc. (NYSE:AA).
Netflix, Inc. (NASDAQ:NFLX) is down 0.98% at $67.83 in pre-market trading today. NFLX trades on average 8.97 million shares a day. Over the past 5 trading sessions, NFLX has been trading lower falling from $80 to less than $70 in that time period. The company has a current market cap of 3.60 billion.
Apple Inc. (NASDAQ:AAPL) is down 0.27% at $366 in pre-market trading. AAPL has traded 9.5 thousand shares as of 8:22 am EST and trades 17.88 million shares on average daily. The past 5 trading sessions has seen AAPL fall from $385 to less than $370. The company has a current market cap of 341.08 billion.
Morgan Stanley (NYSE:MS) is down 0.61% in pre-market trading at $12.95. MS trades about 35.54 million shares on average a day. MS has fallen from $15 a share to less than $13 over the past 5 trading sessions. The company has a current market cap of 25.11 billion.
Intel Corporation (NASDAQ:INTC) is down 0.66% at $22.55 in pre-market trading. INTC has fallen more than $3 in the past 5 days of trading. The stock trades on average 65.43 million shares a day. The company has a current market cap of 115.59 billion.
Bank of America Corp (NYSE:BAC) is down 0.29% at $5.12 in pre-market trading. BAC trades 264.28 million shares a day on average. The stock has fallen nearly $1 in the past 5 trading sessions. The company has a current market cap of 52.1 billion.
Sirius XM Radio Inc. (NASDAQ:SIRI) is down 0.57% at $1.73 in pre-market trading. SIRI trades on average 66.03 million shares a day. Over the past 5 trading sessions, SIRI is nearly unchanged after hitting a high of over $1.90 on Tuesday before falling back down to $1.74 on Wednesday. The company has a current market cap of 6.53 billion.
Alcoa Inc. (NYSE:AA) is down 0.11% at $8.87 in pre-market trading. AA trades 36.88 million shares a day on average. The stock has fallen more than a dollar since last Thursday. The company has a current market cap of 9.45 billion.