Stocks: 5 things to know before the open

July 18, 2014: 6:21 AM ET
premarkets friday
Click on chart for more premarket data.
LONDON (CNNMoney)

It could be a nervy session for markets Friday as geopolitical tensions shake investor sentiment.

Here are the 5 things you need to know before the opening bell rings in New York:

1. World markets extend slide: World markets fell further on Friday on fear of escalating tensions in Ukraine after a Malaysia Airlines plane crashed in the east of the country.

The U.S. believes Flight MH17 was brought down by a surface-to-air missile over a region that has seen heavy fighting between pro-Russian separatists and Ukrainian government forces.

Analysts say the tragedy could damage business confidence, particularly in Europe, but may also bring the crisis in Ukraine to a head by increasing the pressure on Moscow to resolve the conflict.

Related: Fear & Greed Index

2. U.S. futures flat: U.S. stock futures were holding steady after Thursday's sharp sell-off, which gathered pace on news that Israel had sent ground troops into Gaza.

The flurry of geopolitical concerns sent the VIX (VIX), a key measure of market volatility to its highest level in three months Thursday.

The Dow Jones Industrial Average lost 161 points, while the S&P 500 was off about 1.2%, and the Nasdaq finished down 1.4%. It was the biggest drop for the Dow in two months, and the S&P's fall is the biggest for the index in three months.

Related: Fear & Greed Index

3. Earnings season continues: General Electric (GE) and Honeywell (HON) will report earnings before the opening bell.

Google (GOOGL, Tech30) shares gained 1.7% premarket after the company reported another quarter of surging sales growth. News that Japan's Softbank has hired away Google's global sales chief Nikesh Arora may pique investor interest.

Related: CNNMoney's Tech30

4. Economic data diary: The University of Michigan will post its consumer sentiment measurement at 9:55 a.m. ET.

5. Tax inversion deal: Drugmaker AbbVie (ABBV) could unveil a deal to buy Shire (SHPG) as early as Friday, according to reports. The $54 billion acquisition would be the latest by a U.S. firm looking to move its tax base overseas to save money.

Markets
Sponsored by
Index Last Change % Change
Dow 17,416.85 225.48 1.31%
Nasdaq 4,683.41 45.41 0.98%
S&P 500 2,021.25 19.09 0.95%
Treasuries 1.75 0.03 1.57%
Data as of 1:53am ET
Company Price Change % Change
Apple Inc 118.90 3.59 3.11%
Bank of America Corp... 15.43 0.23 1.51%
Yahoo! Inc 43.73 -2.73 -5.88%
Microsoft Corp 42.01 0.82 1.99%
Facebook Inc 78.00 1.76 2.31%
Data as of Jan 29

CNNMoney Sponsors