Stock index futures are in red in trading today as mounting worries about a Greek default have weighed down investors’ sentiment.
Ahead of the opening bell, the Dow Jones Industrial Average futures are trading 52 points lower at 12,741, the S&P 500 futures are trading 7.2 points lower at 1,331, and the Nasdaq 100 futures are trading 10.5 points lower at 2,513.
All three major indexes had risen sharply in Friday’s trading session on the back of stronger than expected January jobs report. The report released on Friday showed that unemployment rate in the U.S. fell to the lowest level in almost three years.
Recent data from labor market in the U.S. suggests a continuing recovery. However, the debt crisis in the euro zone still remains a major worry for investors.
Investors are concerned that Greece is moving closer to a disorderly default, which could trigger a contagion in the euro zone. Greece needs to reach an agreement with European Union and the International Monetary Fund to receive the next round of bailout funds, without which it will not be able to repay its debt in March. However, the debt-laden country has failed to reach a deal. The Greek Prime Minister had not been able to convince party leaders, who are backing the coalition government, to accept further austerity measures that are required to be implemented to receive the next round of bailout funds.
Earlier today, the International Monetary Fund warned that if the euro zone debt crisis continues, China’s expected economic growth for this year could fall sharply.
Amid all the worries, European markets are mostly lower in trading today. At last check, the FTSE 100 Index in London was down 0.3%, while the DAX Index in Frankfurt was down 0.6%. Asian markets ended on a mixed note overnight.
Among the stocks expected to remain in focus in trading today include Humana Inc. (
NYSE: HUM), Nielsen Holding NV (NYSE: NLSN) and Sohu.com Inc. (
NASDAQ: SOHU).
Jason Bond's Free Stock Market Alerts and Analysis
