Stocks: 5 things to know before the open

July 18, 2014: 6:21 AM ET
premarkets friday
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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.

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Index Last Change % Change
Dow 16,642.33 27.52 0.17%
Nasdaq 4,433.26 13.78 0.31%
S&P 500 1,948.52 7.24 0.37%
Treasuries 2.24 0.03 1.49%
Data as of 11:46am ET
Company Price Change % Change
Yahoo! Inc 42.44 2.27 5.64%
Apple Inc 103.74 1.27 1.24%
Bank of America Corp... 16.64 0.04 0.21%
Facebook Inc 79.65 0.96 1.22%
Boston Scientific Co... 12.50 0.48 3.95%
Data as of 11:31am ET