Good morning,
Futures are pointing to a lower open after Fitch downgraded Greece further into junk status, saying default is highly likely in the near term.
In corporate news, Royal Dutch Shell bid $1.6B for Cove Energy, Nokia is expected to unveil a cheaper smartphone using Microsoft Windows software next week, and Johnson & Johnson's Bill Weldon is stepping down as the company's CEO.
Among the stocks to watch, Dell shares were more than 6% lower in the premarket after it missed on earnings and offered a weaker than expected forecast after the close on Tuesday. And Toll Brothers trailed 4% in the premarket after it fell short on income and revenue early Wednesday.
Commodities will continue to be in focus with oil near $106 amid tensions in Iran and gold at $1,757. On the economic data front, the Mortgage Bankers Association said mortgage application activity decreased 4.5% last week amid sagging demand for refinancing. Existing home sales will be available later this morning, followed by the FHFA Housing Price Index and mortgage rates on Thursday and new home sales on Friday.
More headlines to note:
Tax Refunds: More Americans Plan to Save Rather Than Spend
Unions Gearing up to Spend Big in 2012 Election
Fannie, Freddie Legal Fees: $110M and Counting
Bank of England Panel Split on Size of Stimulus
EU Plans Sanctions Against Hungary Over Deficit
Economic Data to Watch:
7 a.m. MBA Mortgage
10 a.m. Existing Home Sales
Thursday: Jobless Claims, FHFA Housing Price Index, Crude Oil Inventories, Mortgage Rates
Friday: University of Michigan Consumer Sentiment, New Home Sales
