MW: Stock futures turn lower before first session of 2009
U.S. stock market futures trimmed early gains to turn mixed on Thursday ahead of the first trading session of 2009 as investors eyed a sharp drop in crude-oil prices and looked ahead to a reading on manufacturing activity.
S&P 500 futures held flat at 900.1 and Nasdaq 100 futures added 5.25 points at 1,207.25. Dow industrial futures were off 1 point at 8,726.
U.S. stocks rallied in the final session of 2008 on Wednesday, with some investors building positions in the hard hit financial sector after the worst year for the U.S. market since 1937. The Dow Jones Industrial Average gained 108 points to end down 34% for the year.
The S&P 500 index lost more than 38% over the course of the year and the Nasdaq Composite fell more than 40%.
Crude-oil prices are again in focus, with the February-dated contract dropping $1.83 in early trade on the New York Mercantile Exchange to trade at $42.77 a barrel. The contract had surged around 14% on Wednesday.
Also due after the market opens is the Institute for Supply Management's monthly report on manufacturing. Economists polled by MarketWatch are expecting the ISM's gauge of the sector to hold broadly steady at 36.3% compared to 36.2% in November.
The dollar moved higher ahead of the data, adding 0.4% against the yen at 91.26 yen. The euro was down 0.8% at $1.3886.
Data from the Semiconductor Industry Association showed worldwide sales of semiconductors fell 9.8% to $20.8 billion in November, from $23.1 billion a year earlier. Sales in the month were 7.2% lower than the $22.4 billion reported for October, the SIA added.
Citigroup may be among the more actively traded shares after chief executive Vikram Pandit said he and chairman Win Bischoff will not take a 2008 bonus and will cut pay and severance packages for executives.
Russia's Gazprom is also in focus after cutting off natural-gas supplies to Ukraine after the two countries failed to agree on the cost of the gas and on transit fees.
Viacom and Time Warner Cable have agreed to settle a dispute over carriage feeds, avoiding a blackout of Viacom channels.
In international markets, the German DAX 30 index made a strong start to the year, rising 1.9%.
