What you need to know before the US open
US stocks futures suggest a muted open for US markets, as investors digest some of the data and announcement we’ve had today.
Initial jobless claims for last week beat expectations, with 323,000 people signing up for unemployment benefits, down from 349,000 a week earlier.
Continuing jobless claims are at 2.907m, from 2.915m.
Nonfarm productivity missed expectations, however, increasing just 1.8 per cent in the fourth quarter, from 3.6 per cent previously and expectations of a 2.5 per cent increase.
The ECB has held its interest rates, despite pressure for action. It’s also predicted inflation in the Eurozone will rise to 1.7 per cent in the fourth quarter of 2016.
The euro crept higher on the news.
The US has said it will impose visa sanctions on Russian and Crimean travellers today.
Ratings agency Fitch has held its current ‘BBB’ rating for Russia, saying the current situation is “highly unpredictable” but doesn’t affect its rating.
Crimea’s parliament will be holding a referendum on becoming part of Russia on 16 March, after it voted overwhelmingly in favour of doing so.
Corporate news
Joy Global has reported a two-thirds drop in quarterly profit because of lower demand for mining equipment.
Caterpillar, the world’s biggest mining and construction equipment maker, has also warned about weak investment.
And Costco reported earnings this morning, with a profit of $463m from $547m a year earlier. The results come as a disappointment, with forecasts considerably higher.
Data in focus
- 3.00pm: US Jan industrial new orders