Wall Street primed for rebound

Stock futures are poised for a rebound after Monday's sell-off in stocks and bonds prompted by report about Bernanke comments.
May 2, 2006: 7:01 AM EDT


NEW YORK (CNNMoney.com) - Stock futures pointed to a rebound early Tuesday as bond yields eased slightly and overseas markets gained.

U.S. stock futures were up in early trading, indicating a higher open for U.S. markets, after a sell-off in late Monday trading after a televised report that Federal Reserve Chairman Ben Bernanke suggested that investors were wrong to perceive his testimony last week as a signal that the Fed was close to the end of interest rate hikes.

The Bernanke report sent U.S. stocks and bonds sharply lower in afternoon trading.

Treasury prices were higher, trimming the yield on the benchmark 10-year note to 5.13 percent from the 5.14 percent level reached late Monday. The dollar was higher against the yen but lower against the euro.

"Yesterday's sell-off related to Bernanke's comments," said Peter Cardillo, chief market strategist SW Bach. "I think the market has been building on hopes that the Fed will pause and now that's in question again. But I think we're looking at a rebound following the foreign markets today."

But oil prices rose in early trading Tuesday, as members of the U.N. Security Council were set to meet in Paris to weigh any possible action against Iran for its nuclear program. The June light crude futures contract for NYMEX was up 50 cents to $74.20 in electronic trading, while the June contract for Brent crude gained 33 cents to $74.22.

Major markets in Asia closed higher Tuesday, while major European markets were up in early trading.

In corporate news, automakers are due to report April sales during the day. Sales tracker Edmunds.com forecasts that industrywide U.S. sales will be down 1 percent on a per selling day basis, led by a 7 percent slide in sales at General Motors (Research) and a 4 percent fall at Ford Motor Co. (Research)

Sales of home builder Hovnanian Enterprises (Research) warned that sales in the current quarter and full year will be lower than Wall Street forecasts, another sign of a slowdown in the housing market. Shares of Hovnanian fell 4.4 percent in after-hours trading, and most other major builders saw their shares fall as well.

Research in Motion (Research), the maker of the Blackberry mobile e-mail device which just settled one patent suit that threatened a shutdown of its service, will face a patent lawsuit from another privately held company, Visto, seeking an injunction and monetary damages. But shares of RIM gained slightly in after-hours trading.

Amigo Notícias:
Negativo? 
Deves ter aí um inside news que a gente desconhece ou então és primo da Maria Bartoromo!
Abraço,
Turn

Eheh, amigo News, ganda batoteiro, assim não brinco mais!
Passa mas é pra cá o telefone da Maria.
Abraço,
Turn

O amigo News meteu uma cunha junta da admnistração e eu alterei o negativo para positivo.

Foi um lapso de quem já estava com a cabeça no almoço.