Bulls will try and stem a four-day losing streak as stock futures point to a higher open. In recent days, traders have been struggling with negative sentiment as the post-Enron debacle plays itself out before a congressional panel. So far, "taking the 5th" and testifying "I wasn't aware" has given little insight into where just who the parties are that may have mislead investors.
Economic data has been firming, but unfortunately for short-term bulls, the economic data has been pushed to the back burner and bears have been feeding off of a shaky investor psychology and the thought that there may be other "accounting problems" at other corporate entities.
Upgrade for Texas Instruments
Chip stocks are getting a boost this morning after a late Thursday upgrade for Texas Instruments (NYSE:TXN) $29.54 by UBS Warburg. The firm raised its rating on the stock to "buy" from "hold". Shares of TXN traded higher on the Redibook ECN at $30.20.
Other chip stocks getting a boost from the upgrade have Intel (NASDAQ:INTC) trading up 18-cents from yesterday's close at $32.50 in pre-market action, while Advanced Micro Devices (NYSE:AMD) add 30-cents to yesterday's close at $25.57.
Stock futures green
Stock futures are showing an upside open for stocks as S&P futures trade higher by $3.50 at $1,080.50, NASDAQ futures are up $11 at $1,426 and Dow futures are higher by $37 at $9,630.
Fair value for the S&P 500 today is $0.22. HL Camp & Company has their computers set for program buying at $1.12 and set for selling at $-1.26. Fair value for the NASDAQ-100 today is $2.85.
Currently, all futures trade above fair value, so the broader market averages should open higher if futures hold here.