Rate worries again weigh on Wall St.Futures point to flat open, as rising bond yields likely to keep investors on watch; TI edges revenue guidance lower.NEW YORK (CNNMoney.com) -- Stocks were poised for a flat open Tuesday, as rising Treasury yields could keep investors on edge. As of 6 a.m. ET, futures were lower, although a comparison to fair value pointed to stocks being little changed at the start of trading. U.S. stocks gave up earlier gains to end Monday trading barely changed on concerns about rising rates continued to weigh on investors. Treasury prices fell further in early trading, taking the yield on the closely-watched 10-year note to 5.19 from 5.15 percent late Monday. Stocks in Europe opened lower but reversed course after a report on inflation in the United Kingdom came in better than expected. Most Asian markets rose, although Japan's benchmark Nikkei index fell. The dollar higher against the euro while little changed versus the yen. Oil prices were little changed in early trading, as the International Energy Agency, revised its estimate of global demand up by about 400,000 barrels per day and warned the market will be tight. U.S. light crude rose 1 cent to $65.98 a barrel. In major corporate news, U.S. chip maker Texas Instruments (Charts, Fortune 500) lowered the midpoint of its second-quarter revenue target after the bell Monday, as it said weaker-than-expected demand for calculators and for chips used in wireless network equipment had offset better-than-expected demand for handset chips and high-performance analog chips. Shares of the tech bellwether fell 2 percent in after-hours trading. The family that controls Dow Jones (Charts) is expected to send a new set of proposals on the of its flagship Wall Street Journal to News Corp. (Charts, Fortune 500), which has made a $5 billion bid for financial news publisher, according to a report in the Journal. The family reportedly is willing to continue talks only if it gets the assurances on editorial independence it is now seeking. Separately, the company reported late Monday that advertising revenue at Journal fell 3.4 percent in May on a 7.3 percent decline in advertising volume. Ad revenue also fell at its local media group, but grew at Barron's and in international news unit. Qualcomm (Charts, Fortune 500) said late Monday it filed a request for an emergency stay of a U.S. International Trade Commission ban on the import of some phones containing Qualcomm chips. Shares of Qualcomm edged 0.22 percent higher in after-hours trading. Lehman Brothers (Charts, Fortune 500) is set to report earnings before the bell, the first of a number of major Wall Street firms due to report results this week. Analysts surveyed by Briefing.com forecast an 11 percent gain in earnings. Internet bellwether Yahoo (Charts, Fortune 500) holds its annual shareholders meeting Tuesday at 1 p.m. ET, with chairman Terry Semel expected to face shareholder backlash for falling behind rival Google in a number of ways in the last year, including ad sales and corporate deals. |
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