Stock Futures Rise Amid More Deals Activity
NEW YORK (TheStreet) -- Stock futures were pointing to a higher open on Wall Street Tuesday amid more deals activity, and as European markets gained on data showing improved German economic sentiment.
Investors remained nervous as the U.S. sequestration deadline loomed. There are now less than two weeks left before the next fiscal cliff of automatic spending cuts kicks in on March 1.
Futures for the Dow Jones Industrial Average were up 21 points, or 16.24 points above fair value, at 13,969. Futures for the S&P 500 were up 3.50 points, or 3.51 points above fair value, at 1520. Futures for the Nasdaq were up 8 points, or 7.03 points above fair value, at 2769.
"Washington's politicians remain far from agreement on averting 'sequestration.' That suggests risk sentiment is likely to suffer into month end," said Mansoor Mohi-uddin, head of foreign exchange strategy at UBS Macro Research.
"Looking ahead, the impact of the 2013 tax hike and the sequester add to the concern that demand will remain a headwind for investment growth this year," cautioned Jan Hatzius, chief economist at Goldman Sachs.
Major U.S. stock averages ended mixed Friday after the Dow turned positive in the final minutes of trading. Investors digested stronger-than-expected consumer sentiment and New York manufacturing data. Markets were closed Monday in the U.S. for Presidents' Day.
The U.S. economic calendar Tuesday includes the National Association of Home Builders' housing market index for February at 10 a.m. EST. Economists are expecting a read of 48, up from 47 the previous month.
Gold for April delivery was unchanged at $1,609.50 an ounce at the Comex division of the New York Mercantile Exchange, while April crude oil futures were down 9 cents at $96.32 a barrel.
The benchmark 10-year Treasury was off 1/32, pushing the yield up to 2.011%. The dollar was down 0.03%, according to the U.S. dollar index.