US open: Stocks slide as concerns over Greece intensify

US stocks slid early on Friday, as European markets remained jittery over concerns that Greece could be nearing a default.

Just after 15:00 BST, the Dow Jones Industrial Average was down 86 points, while the S&P 500 and the Nasdaq lost 11 and 23 points respectively.

Worries over Greece intensify

European stocks pared early losses to trade broadly flat, the euro remained lower against the dollar and Greece's ASE Composite index was down 2.1% at 805.72 as investors continued to watch for any developments in Greek debt negotiations.

Analysts suggested the International Monetary Fund’s decision to walk away from the bailout talks was not the end of the negotiations, but a warning that creditors were no longer willing to continue without seeing signs of progress.

“The deadline is fast approaching and Greece needs to offer concessions in areas that it has so far been unwilling,” said Oanda’s senior market analyst Craig Erlam.

“One side is going to have to offer some serious concessions if a deal is going to be reached.

“If this doesn’t happen as we approach the meeting next week, you have to question the desire of both parties to reach an agreement.”

Friday data

US consumer sentiment beat expectations in June, according to a widely followed gauge.

The University of Michigan Index rose to 94.6 in June, rebounding from May’s six-month low of 90.7 and exceeding analysts’ expectations of a 91.2 reading.

In company news, Twitter gained 1.14% after Dick Costolo, the group’s chief executive, announced late on Thursday that he would step down from his role on 1 July.

The company also confirmed it expects second quarter revenue to be between $470m and $485m.

Delivery giant FedEx declined 0.29% after the company said it expects to record a non-cash charge of approximately $2.2bn (£1.4bn) for the three months to the end of May after opting to implement mark-to-market accounting for its pension and post-retirement plans.

Shares in restaurant chain Wingstop will be in focus, as the company makes its debut on the New York Stock Exchange after pricing 5.8m shares at $19 each, above the expected range of between $12 and $14.

Elsewhere, the dollar gained 0.15% against the euro, but was broadly flat against the yen and the pound, while gold futures slid 0.51% to $1,179.80.

Oil prices declined, with West Texas Intermediate losing 0.78 % to $60.30 a barrel, while Brent shed 0.63% to $64.70 a barrel.