By Carla Mozee, MarketWatch
LONDON (MarketWatch) -- U.S. stock futures were broadly higher
Wednesday morning, fanning expectations that U.S. stocks would
record gains during the coming session.
Housing data is expected to be released by the U.S. Commerce
Department Wednesday afternoon. The data is expected to show a
modest bump in new-home sales.
Investors are also on the lookout for hints from two Federal
Reserve members due to speak Wednesday afternoon about the Fed's
timetable for raising interest rates.
Futures for the Dow Jones Industrial Average (DJZ4) rose 42
points, or 0.3%, to 17,011, while those for the S&P 500 index
(SPZ4) picked up 5.2 points, or 0.3%, to 1,977.50. Futures for the
Nasdaq 100 index (NDZ4) tacked on 12 points, or 0.3%, to 4,049.
(Read more in Need to Know column:
http://www.marketwatch.com/story/gold-10000-and-why-golden-is-worse-than-death-when-it-comes-to-crosses-2014-09-24.)
A gain for Wall Street would break three straight sessions of
losses. Stocks fell Tuesday as investors flocked to perceived
safe-haven investments such as U.S. Treasurys on concerns about
slowing global growth and escalating violence in the Middle East.
The S&P 500 (SPX) lost 0.6%, Dow industrials (DJI) gave up
0.7%, and the Nasdaq Composite (RIXF) declined 0.4%.
Data: At 10 a.m. Eastern, the U.S. Commerce Department will
release its report on August new-home sales. Analysts are looking
for a modest gain to a seasonally adjusted annual rate of 426,000.
The pace of sales in July fell to a four-month low at 412,000.
Crédit Agricole expects August new home sales to have risen to a
rate of 424,000 in the wake of strengthening confidence among home
builders. The NAHB Housing Market Index in August held to a
"healthy reading above 50," and in particular, "sentiment improved
in the Northeast and Midwest regions where sales have fallen over
the past two months," said Crédit Agricole economist Philippe
Vilasboas in a note.
Investors will monitor a speech by Cleveland Fed President
Loretta Mester as she discusses her views on the economy while
speaking to the Cleveland Association for Business Economics. The
speech is set to begin at 12:15 p.m. Eastern. Mester is a voting
member of the Fed's policy committee this year.
At 1 p.m. Eastern, Chicago Fed President Charles Evans will talk
about the economy and monetary policy at the Peterson Institute for
International Economics. Evans will be a voting member on the
rate-setting panel in 2015.
Stocks to watch: The Securities and Exchange Commission's
enforcement division is investigating whether bond giant Pacific
Investment Management Co., run by investor Bill Gross, artificially
boosted the returns its Pimco Total Return (BOND) exchange-traded
fund, The Wall Street Journal reported late Tuesday.
KB Home (KBH) is expected to report third-quarter earnings of 42
cents a share, according to a consensus survey by FactSet.
Accenture (ACN) shares fell 2% ahead of the open after the
consulting firm issued a cautious outlook for its next fiscal
year.
Morgan Stanley shares (MS) slipped before the bell. J.P. Morgan
downgraded its rating on the financial services firm to neutral
from overweight.
Citizens Financial Group (CFG) is slated to begin trading on the
New York Stock Exchange Wednesday. The regional bank's initial
public offering price of $21.50 a share is below the expected range
of between $23 and $25 a share.
Bed, Bath & Beyond (BBBY) shares climbed nearly 7% in
premarket trade. The home-furnishings retailer late Tuesday posted
better-than-expected quarterly earnings.
Starbucks (SBUX) could be in focus after the coffee chain said
it's moving to take full ownership of its Japanese operations for
more than $900 million.
Lipocine (LPCN) shares recorded a 21% jump ahead of the drug
company's conference call to discuss results from its late-stage
study of an oral Androgen replacement.
Other markets: Japan's Nikkei Average shed 0.2%. Meanwhile, the
dollar fell against the yen (USDJPY) after Japan's prime minister
said he's cautious about the yen's recent weakness.
European stocks wavered following a sluggish reading on German
business confidence. Gold futures (GCZ4) edged up and oil
futures(CLX4) were little changed ahead of weekly supply data from
the U.S. Energy Information Administration.
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