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Wall Street hexed?
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September 18, 1998: 7:59 a.m. ET
Expiration of futures and options could exacerbate bearish sentiment
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NEW YORK (CNNfn) - Wall Street looked ready for a choppy open Friday amid signs that markets may have a tough time recouping losses from the previous day's sell-off.
It is a "triple witching Friday," which could potentially add to the U.S. stock market's ongoing woes. "Triple witching" is the simultaneous expiration of stock futures and options that occurs four times a year. A triple-witching day generally creates a bearish attitude among investors.
The Dow Jones industrial average Thursday closed down 216.01 points at 7873.77. Based on S&P 500 futures trading on the Globex system, the Dow appeared ready for a flat open.
S&P futures were down 2, typically translating to a 16-point loss for the Dow. Given the bearish attitude already prevailing in U.S. markets, however, a triple-witching Friday could result in further sell-offs.
(Click here for the latest S&P 500 futures quote)
Asian markets fell in overnight trading lost hopes of a coordinated G7 rate cut and turmoil in Latin American markets caused investor pessimism.
European bourses opened weaker Friday on unease about the global financial crisis and uncertainty about President Clinton's future.
The bond market held steady in overseas trading. The benchmark 30-year Treasury was off 1/32 in price for a yield of 5.18 percent.
Oil stocks could face some pressure Friday following warnings from Anglo-Dutch oil giant Royal Dutch Shell Group about business in the second half of the year.
In individual issues, investors will be watching Nike Inc. The footwear maker reported better-than-expected first-quarter profits, but also announced plans to cut 300 jobs throughout its Asia-Pacific operations. Nike (NKE) shares finished down 2-3/16 at 33-7/8 in Thursday trading.
Adaptec Inc. said it expects fiscal second-quarter earnings to fall in the "low end" of the current analyst estimate range. The maker of computer connector cards and storage devices will take a charge of 20 cents to 25 cents a share to pay for the 850 job cuts it has made since April. First Call estimates called for the company to break even, though several analysts expect the company to lose up to 3 cents a share.
Adaptec (ADPT) shares closed at 11-9/16, up 9/16.
Cytec Industries Inc., the leading maker of aerospace adhesives, said third- and fourth-quarter earnings will fall 15 percent to 20 percent below Wall Street forecasts, and full-year 1999 earnings will fall 10 percent to 15 percent below estimates. Cytec was expected to earn 72 cents a share in the third quarter, 73 cents a share in the fourth quarter and $3.28 in 1999, according to First Call.
The company blamed unexpected large reductions in demand for aerospace products in North America, worsening conditions in Asia and Latin America and a strong U.S. dollar. Cytec (CYT) shares slipped 7/8 to close at 24-1/16. 
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