Ford posted a smaller than expected loss of -$0.75 versus forecasts of -$1.23 per share and said that it didn’t plan to seek federal aid.
[B]What To Watch For In The US Session
• Ford Post Smaller Than Expected Loss
• 3M Disappoints and Lowers Outlook
• Durable Goods Orders On Tap
Ford’s Earnings Beat Estimates Sending Futures Higher[/B]
Ford posted a smaller than expected loss of -$0.75 versus forecasts of -$1.23 per share and said that it didn’t plan to seek federal aid. The news will be welcomed by the markets as the company may be the lone member of Detroit’s big three that may survive. Chrysler has another week to work out a deal with Fiat before the government starts Chapter 11 proceeding for the beleaguered car maker. Meanwhile, optimism may be limited with 3M the consumer and office related product maker missing estimates of $0.86 with earnings of $0.81 as profits dropped by 48%. The Dow component also lowered it outlook its earnings outlook to $3.90 to $4.30 a share. Today’s fundamental calendar could also foster bearish sentiment as durable goods orders are forecasted to have fallen by 1.5% in March erasing as the steepening global downturn continues to impact demand. The broader weakness could dim the growth outlook for the U.S. economy as it will be limited if the rest of the world remains mired in a recession.
[B]Dow Jones 7957.06[/B]
The DJIA futures are still pointing higher despite the weak results and outlook from 3M. However, if durable goods orders disappoint then we could se industrials drag the blue chip index lower.
[B]NASDAQ 1652.21[/B]
The Nasdaq may see tech stocks rally today as Microsoft’s earnings report was encouraging despite reporting a 32% drop in profit. Cost cutting measures by the firm as raised the outlook for future earnings.
[B]S&P 500 851.92[/B]
The S&P 500 could be weighed today if we see weak durable goods orders and new home sales as the outlook for domestic growth would dim.
[U][B]Current Snap Shot[/B][/U]
