U.S. stock futures are ticking lower at the start of a shortened trading week. Oil is down more than 1.5% to below $38 dollars a barrel, a decline driven by Iran's pledge to increase output.
1. Stock market movers
1. Stock market movers
Sharp, Adidas, China Telecom:
Shares in Japanese electronics giant Sharp (SHCAY) ended the day 7% higher after reports of a possible takeover bid.
Adidas (ADDDF) shares were down 0.5% in early trading after the sportswear maker's CFO warned of higher input costs in 2016.
China Telecom (CHA) shares were down as much as 3% after anti-graft regulators said they were investigating the state-owned firm's chairman.
2. International markets overview
2. International markets overview
European markets are tracking lower in early trading, while Asian markets ended mixed. The Shanghai Composite closed down 2.5% while Tokyo closed 0.5% higher.
London is closed for the Boxing Day holiday.
3. Market recap
3. Market recap
Markets were closed on Dec. 25 for Christmas. During the previous trading session, the Dow Jones industrial average closed down 0.3%, while the S&P 500 shed 0.2% and the Nasdaq was flat.
4. Later this week:
4. Later this week:
The U.S. is to release key reports on consumer confidence, pending home sales and jobless claims later this week, as market players look for further indications on the strength of the economy and the future path of U.S. rate hikes.
With the first U.S. rate hike since 2006 out of the way, the focus is now on the pace of future rate increases. The Federal Reserve, from its forecasts, is anticipating four rate hikes next year.
However, the Fed funds futures currently suggests there will be just two rate increases, one in June and one in December. Mixed U.S. economic reports released last week failed to offer clues as to how fast the U.S. central bank will raise interest rates next year.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was little changed at 97.96 on Monday.
