ZURICH, Sept 23 — US equity-index futures were little changed as investors assessed a rally spurred by central-bank optimism that put stocks on track for their best weekly advance in nearly three months.
Facebook Inc lost 2.2 per cent in premarket trading after saying it gave advertisers an inflated metric for the average time users spent watching a video. Yahoo! Inc slid 1.6 per cent as it said at least 500 million users had their personal information stolen in 2014. Bats Global Markets Inc soared 25 per cent after people familiar with the matter said it’s in talks to be bought by CBOE Holdings Inc
S&P 500 Index contracts expiring in December lost 0.1 per cent to 2,165.5 at 8.55am in New York.
The underlying benchmark yesterday rose 0.7 per cent to erase a monthly loss, and is headed toward the strongest week since its rebound from the selloff that followed Britain’s vote to leave the European Union.
Dow Jones Industrial Average futures dropped 10 points to 18,289 today, while those on Nasdaq 100 Index lost 0.1 per cent after the gauge yesterday posted its 12th record close this year.
“We had a good week and a consolidation is the right move, given the uncertainties that still linger and the elections coming up,” said Christoph Riniker, the Zurich-based head of strategy research at Julius Baer Group Ltd “The Fed’s decision was positive short-term but we’re still going to have a rate hike and the consensus is still going for December.”
The S&P 500 is up 1.8 per cent for the week through yesterday after the Federal Reserve held off raising interest rates and scaled back the number of increases it expects in 2017.
The equity gauge has returned to within 1 per cent of a record set in August, recovering from a rout two weeks ago as signals from the Fed and the Bank of Japan calmed concerns that central banks might be less inclined to extend their unprecedented measures to support growth.
The CBOE Volatility Index added 2.3 per cent to trim its biggest weekly decline since July 1.
The measure of market turbulence known as the VIX on Wednesday wiped out a monthly gain that had reached as much as 35 per cent.
Investors will now turn their attention to economic data and the next earnings season that gets underway in about three weeks.
Reports are due next week on durable-goods orders, services and personal spending in the world’s biggest economy, while analysts project profit at S&P 500 companies fell 1.4 per cent in the third quarter.
Among other shares moving in the premarket, Twitter Inc fell 3.8 per cent after RBC Capital Markets downgraded the shares, citing a survey that found more marketing departments plan to cut their ad spending on the platform than boost it. — Bloomberg