Best Buy, HP jump in premarket trading, while crude down after Saudi comments
The S&P 500 and Nasdaq Composite were set to open in record territory on Thursday as U.S. stock futures advanced thanks in part to big gains in shares of Best Buy and HP after earnings reports.
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S&P 500 futures tacked on 6.35 points, or 0.3%, to 2,408.25, while Dow Jones Industrial Average futures added 70 points, or 0.3%, to 21,055. Nasdaq-100 futures gained 22 points, or 0.4%, to 5,754.
On Wednesday, the S&P rose 0.3% and closed at a record (http://www.marketwatch.com/story/us-stocks-set-for-5th-day-of-gains-ahead-of-fed-minutes-2017-05-24), while the Dow and Nasdaq Composite both advanced by 0.4% and notched their second highest closes ever. The moves higher came as the Federal Reserve signaled that most of its policy makers remain resolute about hiking interest rates (http://www.marketwatch.com/story/fed-minutes-show-broad-agreement-on-approach-to-start-shrinking-balance-sheet-2017-05-24-1491015) at their meeting next month.
In the oil market on Thursday, crude prices turned lower after Saudi Arabia's oil minister Khalid al-Falih ruled out deeper cuts (http://www.marketwatch.com/story/oil-prices-turn-sharply-lower-after-saudi-oil-minister-rules-out-deeper-cuts-2017-05-25) to production in any extension to an OPEC output agreement.
But the Organization of the Petroleum Exporting Countries did agree to a nine-month extension (http://www.marketwatch.com/story/opec-says-it-will-extend-production-cuts-through-march-2018-2017-05-25) to the current deal at Thursday's meeting in Vienna, Austria, as expected.
"Oil is very volatile as markets hang on every word coming from the OPEC meeting in Vienna. Headlines so far are not supporting the bull," said Neil Wilson, senior market analyst at ETX Capital, in a note.
Headlines may also come out as President Donald Trump continues his overseas trip, meeting European Union leaders (http://www.marketwatch.com/story/brexit-fan-trump-meets-eu-leaders-for-the-first-time-2017-05-25)--new French President Emmanuel Macron (http://www.marketwatch.com/story/macron-tests-the-limits-of-frances-fifth-republic-2017-05-19) in particular--and then attending NATO events.
Individual movers: Shares in Best Buy Co.(BBY) soared 13% in premarket trade, after the retailer beat profit expectations (http://www.marketwatch.com/story/best-buys-stock-rockets-after-profit-and-sales-beat-upbeat-guidance-2017-05-25), reported a surprise increase same-store sales and provided an upbeat outlook.
Medical devices maker Medtronic PLC(MDT) was up 4% premarket after earnings and revenue topped views (http://www.marketwatch.com/story/medtronic-profit-and-sales-rise-beat-expectations-2017-05-25).
HP Inc.(HPQ) rose nearly 4% ahead of the bell as the maker of PCs and printers late Wednesday reported better-than-expected quarterly results (http://www.marketwatch.com/story/hp-stock-jumps-more-than-7-after-earnings-beat-2017-05-24).
See:HP boosted by double bump from PC and printer growth (http://www.marketwatch.com/story/hp-boosted-by-double-whammy-of-pc-and-printer-growth-2017-05-24)
But Signet Jewelers Ltd.(SIG) was 4% lower premarket after the retailer's earnings fell short of forecasts, (http://www.marketwatch.com/story/signet-jewelers-earnings-fall-short-unveils-plan-to-outsource-credit-portfolio-2017-05-25) and Dollar Tree Inc.(DLTR) was also falling after its quarterly results (http://www.marketwatch.com/story/dollar-tree-earnings-meet-expectations-tweaks-full-year-outlook-2017-05-25).
Spam producer Hormel Foods Corp.(HRL) posted disappointing quarterly sales, saying pressure on its Jennie-O Turkey Store will continue (http://www.marketwatch.com/story/hormel-sales-falls-short-with-pressure-from-jennie-o-turkey-store-expected-to-continue-2017-05-25).
Economic news: Initial jobless claims rose by 1,000 to 234,000 in the seven days stretching from May 14 to May 20, largely in line with expectations.
Advanced U.S. trade deficit in goods widened by 3.8% in April to $67.6 billion.
Fed Gov. Lael Brainard is scheduled to give a speech on global economic issues in Washington, D.C., at 10 a.m. Eastern, and St. Louis Fed President James Bullard is slated to talk in Japan about the American economy after the U.S. market's close--at 11 p.m. Eastern.
Other markets:European stocks (http://www.marketwatch.com/story/european-stocks-grapple-with-lower-liquidity-oil-price-volatility-2017-05-25) traded slightly lower, while Asian markets closed with gains (http://www.marketwatch.com/story/asia-stocks-higher-south-korea-shares-soar-as-interest-rates-hold-steady-2017-05-25). Gold futures gained slightly, as a key dollar index inched lower. The yield on the 10-year Treasury note fell to 2.25% after OPEC meeting.
(END) Dow Jones Newswires
May 25, 2017 08:54 ET (12:54 GMT)