US pre-open: Stocks seen muted as investors eye earnings

US futures pointed to a muted open on Wall Street as investors awaited earnings from the likes of Twitter and Coca-Cola.

At 1100 GMT, Dow Jones Industrial Average, S&P 500 and Nasdaq futures were all flat.

Meanwhile, oil prices advances following heavy losses in the previous session, with West Texas Intermediate and Brent crude up 1.2% to $52.95 a barrel and $55.74, respectively.

CMC Markets’ Michael Hewson said: Eyes will be on Twitter as they release their Q4 earnings before the opening bell. A drop in earnings per share, from 16cents to 12cents, is expected despite a projected increase to revenue. Active users are seen to be steadily increasing, and analysts are hoping for what they are coining as a ‘Trump bump’. This term is based on the fact that, with Trump incessantly posting about policy, more people outside of the normal teenager spectrum will be interacting and engaging with the site.

“Also reporting today will be Coca-Cola with their Q4 earnings in what has been a turbulent year in beverage sales. Analysts are forecasting this will be the 7th straight quarter of year-on-year declines for both sales and profit, with revenue expected to come in at $9.14bn, but despite this price targets are averaging at $44.68, over $2 higher than yesterday’s closing price.”

In corporate news, Cigna Corp was likely to be in focus after a federal judge on Wednesday blocked Anthem Inc’s $48bn purchase of its rival.

Whole Foods Market was also likely to be active after its shares declined late on Wednesday as it posted a drop in same-store sales.

Electric car maker Tesla Inc rose in pre-market trade following a report it will produce test versions of its Model 3 vehicle.

Twitter and Coca-Cola's earnings are due ahead of the open, along with CVS Health, Dunkin’ Brands, Kellogg, Viacom, Yum Brands and Reynolds American.

After the closing bell, Expedia, News Corp, Pandora Media, Activision Blizzard and Nvidia are slated to report.

On the data front, initial jobless claims are at 1330 GMT and wholesale inventories at 1500 GMT.

Investors will also eye a speech by St Louis Fed President James Bullard on the US economy and monetary policy at the St Louis Financial Forum and from Chicago Fed President Charles Evans later in the day.