US pre-open: Futures tick higher as investors eye data and key bank earnings

US stock futures rose as investors awaited the release of a raft of data, despite weaker earnings from Goldman Sachs released before the opening bell.

With Asian and European markets more buoyant, the Dow Jones Industrial Average is expected to open up around 97 points higher than Wednesday’s close, while the S&P 500 and the Nasdaq are seen up 11 and 25 points, respectively.

"US markets look set for a stronger open, buoyed by hopes of improved earnings in the banking sector and increased odds of zero percent interest rates for the rest of the year,” said Jasper Lawler, market analyst at CMC Markets.

CPI, jobless claims eyed

Investors will be eyeing the release of the consumer price index (CPI), initial jobless claims and Empire manufacturing at 1330 BST, while the Philadelphia Fed survey will be in focus at 1500 BST.

Rabobank said CPI should reflect subdued inflation pressure, with the headline rate expected to fall 0.1% year-on-year in September from 0.2% in August. Compared to the previous month, prices are predicted to fall by 0.2% after declining by 0.1% previously.

“After a disappointing non-farm payrolls report for September, the market could be sensitive to initial claims seen increasing marginally to 270,000 in the week ending of October 10 after falling to 263,000 previously to the lowest since the middle of July,” it said.

Investors will also be watching out for speeches from Fed officials James Bullard and William Dudley later in the session.

Goldman, Citigroup in focus

On the corporate front, earnings are due from banking behemoths Citigroup and Goldman Sachs.

Released before market's open, Goldman Sachs's third quarter profits plummeted to $1.43bn, or $2.90 a share, from $2.24bn, or $4.57 a share a year earlier.

Shares in health insurer United Health were up in pre-market trading after it posted a 27% jump in revenue for the third quarter.

Philip Morris International was also on the front foot after the tobacco company’s third-quarter profit and sales came in better than expected.

Europe rebounds

Equity markets in Europe were in the black, bouncing back from three days of losses as Wednesday’s disappointing US retail sales and PPI data pushed back expectations of a rate hike by the Federal Reserve.

On Wednesday, data released by the Department of Commerce showed US retail sales rose 0.1% in September on the month, compared with a flat reading in August and a touch below analysts’ expectations of a 0.2% increase.

Meanwhile, US wholesale prices declined 0.5% month-on-month in September, which was steeper than the 0.2% drop analysts were expecting.

In commodities, oil prices were weaker, with West Texas Intermediate down 1.1% to $46.14 a barrel, and Brent down 0.3% to $49.01 a barrel, while gold futures edged 0.5% higher to $1,185.80.

Elsewhere, the dollar was up 0.4% against the euro, flat against the pound and 0.5% weaker against the yen.