Investors brace for rocky start

Futures slip following dip in Asia stocks, get little help from news of Disney's decision to acquire Marvel.

EMAIL  |   PRINT  |   SHARE  |   RSS
 
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)
By CNNMoney.com staff

301 Moved Permanently

301 Moved Permanently


nginx

NEW YORK(CNNMoney.com) -- U.S. stocks were poised to open sharply lower Monday, following another steep decline in global markets, despite some deal activity, including an announcement by Disney to acquire Marvel Entertainment.

Less than a half hour before the opening bell, the Dow Jones industrial average, Nasdaq 100 and Standard & Poor's 500 futures were sharply lower.

Futures measure current index values against their perceived future performance and offer an indication of how markets may open when trading begins.

World markets: The mood in global markets was downbeat Monday, with world stock indexes falling after Shanghai stocks sank 6% to a three-month low on worries about bank lending.

Elsewhere in Asia, Japan's Nikkei fell after a surge in the yen that was sparked by an election victory for the opposition Democratic Party.

Major European markets were lower in morning trading. London markets were closed for a bank holiday.

Overall market sluggishness ahead of next week's Labor Day holiday did not help futures for U.S. markets either, noted Dave Lutz, managing director equity trading for Stifel Nicolaus.

"There is not a tremendous amount of liquidity out there today, so it's not very difficult to push things around," he said.

Companies: A burst of deal activity announced Monday, however, failed to provide much of a lift to U.S. futures.

Walt Disney (DIS, Fortune 500) said it would acquire comic book publisher Marvel Entertainment (MVL) for approximately $4 billion. Marvel shares surged 26% premarket.

Oilfield services company Baker Hughes (BHI, Fortune 500) also revealed Monday that it would purchase rival BJ Services (BJS, Fortune 500) in a cash-and-stock deal worth approximately $5.5 billion.

Economy: The Chicago PMI, a regional reading on manufacturing, is due at 9:45 a.m. ET. The index is expected to have risen to 47.2 in August from 43.4 in July, according to a Briefing.com survey of economists.

Investors are looking toward a number of economic reports later in the week. Among them: Auto sales for August on Tuesday, manufacturing activity data on Wednesday and the widely watched monthly employment report on Friday.

And in currency trading, the dollar rose against the euro and retreated versus the yen.

How does your portfolio look nearly one year after the collapse of Lehman Brothers? What investment choices hurt you or helped you the most? What strategy changes are you making for the future? Tell us your story. E-mail realstories@cnnmoney.com and your thoughts could be part of an upcoming story. For the CNNMoney.com Comment Policy, click here. To top of page

Features
They're hiring!These Fortune 100 employers have at least 350 openings each. What are they looking for in a new hire? More
If the Fortune 500 were a country...It would be the world's second-biggest economy. See how big companies' sales stack up against GDP over the past decade. More
Sponsored By:
More Galleries
5 ways retailers are tracking you If you think pesky salespeople are invading your personal space, check out these 5 technologies that are tracking your movements throughout a store. More
Moto X vs. Droid Turbo: Which Droid should you buy? Motorola has made the two best Android smartphones this year. Here's how they stack up. More
My part-time job is a dead end, but it's all I can find CNNMoney profiles 4 of America's 7 million part-time workers unable to find full-time jobs. More
Worry about the hackers you don't know 
Crime syndicates and government organizations pose a much greater cyber threat than renegade hacker groups like Anonymous. Play
GE CEO: Bringing jobs back to the U.S. 
Jeff Immelt says the U.S. is a cost competitive market for advanced manufacturing and that GE is bringing jobs back from Mexico. Play
Hamster wheel and wedgie-powered transit 
Red Bull Creation challenges hackers and engineers to invent new modes of transportation. Play

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer.

Morningstar: © 2014 Morningstar, Inc. All Rights Reserved.

Factset: FactSet Research Systems Inc. 2014. All rights reserved.

Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved.

Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor’s Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2014 and/or its affiliates.