MW: Wall Street set for higher open after Greek vote
U.S. stock futures headed north on Thursday, keying off gains in Europe, where fears of a Greek exit from the eurozone subsided after the country’s parliament approved tough austerity measures to receive financial aid.
Futures for the Dow Jones Industrial Average YMU5, +0.25% gained 50 points, or 0.3%, to 18,042, while those for the S&P 500 index ESU5, +0.37% added 8 points, or 0.4%, to 2,112.50. Futures for the Nasdaq-100 index NQU5, +0.41% climbed 19 points, or 0.4%, to 4,555.50.
The major stock averages ended Wednesday’s session in the red, after reports of violent protests in Greece. The clashes came as the country’s parliament prepared to vote on the reforms demanded by the eurozone in exchange for bailout aid. Lawmakers approved the reform deal early Thursday local time, taking the country one step closer to its third bailout.
The Greek-eurozone bailout deal agreed Monday now has to get parliamentary approval in a handful of individual countries, before it goes before eurozone finance ministers for formal agreement.
Greece’s stock market GD, +2.03% remained closed for trading, but the rest of Europe’s equity markets welcomed the developments. The Stoxx Europe 600 index SXXP, +1.42% gained more than 1%. The Global X FTSE Greece 20 ETF GREK, +10.08% rose 4.2% in U.S. premarket trade.
Greece’s debt odyssey is also expected to take center stage at the European Central Bank’s news conference later on Thursday. The central bank’s rate decision is due out at 7:45 a.m. Eastern Time, followed by ECB President Mario Draghi’s news conference at 8:30 a.m. Eastern.
Earnings: The packed premarket earnings calendar includes two major financial companies.
Goldman Sachs GS, +0.38% posted weaker-than-expected second quarter earnings of $1.98 a share versus analysts’ estimates of $3.84 a share, as the prominent investment bank was hit by litigation expenses and gyrations in stocks and bonds.
Citigroup C, +2.52% posted better than second-quarter results as litigation costs shrank for the bank giant. Citi recorded revenue of $19.5 billion versus Street estimates of $19.4 billion. Profits were $1.51 a share compared with consensus forecasts of $1.34.
UnitedHealth Group Inc. UNH, +0.69% rose 2.5% ahead of the bell after the health insurer reported better-than-expected earnings and revenue for the second quarter.
Philip Morris International PM, -0.01% added 1.7% after the tobacco firm’s second-quarter earnings beat forecasts.
Domino’s Pizza Inc. DPZ, -0.21% is slated to report ahead of the bell. eBay, which is closing in on a deal to sell its eBay Enterprise unit for $900 million, also releases results premarket.
