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US STOCKS-Futures flat as China data gloom overshadows upbeat earnings

Published 18/10/2019, 12:33
© Reuters.  US STOCKS-Futures flat as China data gloom overshadows upbeat earnings
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* Futures: Dow and Nasdaq flat, S&P 500 up 0.06%

By Shreyashi Sanyal

Oct 18 (Reuters) - U.S. stock index futures were little

changed on Friday, as better-than-expected earnings reports were

overshadowed by fresh jitters about the global economy after

economic data from China revealed growth slowed to its weakest

pace in almost 30 years.

The data showed growth in the world's second-largest economy

marked a further loss of momentum in the third quarter, casting

gloom over global equities.

Helping to prop up markets was a 1.6% premarket rise in

shares of Coca-Cola Co KO.N after the company beat analysts'

expectations for quarterly sales. Oilfield services provider Schlumberger NV SLB.N also

gained 1.8% following a quarterly profit beat.

The reporting season kicked off on a strong note this week,

with solid results from major banks, healthcare giants and

streaming pioneer Netflix Inc NFLX.O . The S&P 500 .SPX and

Dow Jones Industrial Average indexes were on pace to cap their

second week in gains.

But the gains could be short-lived as analysts see

third-quarter S&P 500 earnings falling by 2.9%, according to

Refinitiv data, marking the first contraction since mid-2016.

Wall Street investors took comfort in the string of

corporate earnings beats and encouraging geopolitical

developments on Thursday, which soothed some concerns about a

downturn in the U.S. economy.

A 15-month long trade war between Washington and Beijing and

slowing domestic manufacturing growth have also weighed on

buyers' sentiment.

At 7:15 a.m. ET, Dow e-minis 1YMcv1 were up 5 points, or

0.02%. S&P 500 e-minis EScv1 rose 1.75 points, or 0.06% and

Nasdaq 100 e-minis NQcv1 were down 1.75 points, or 0.02%.

Among other stocks, shares of online broker E*Trade

Financial Corp ETFC.O rose 3% after it posted better than

expected quarterly profit and revenue.

Caterpillar Inc CAT.N dropped 1% after Morgan Stanley

downgraded the industrial giant's shares to "equal-weight"

citing growing risks from weakening demand heading into 2020.

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