Stocks Seen Higher as Oil Eases Off Highs


By Michael Flaherty NEW YORK (Reuters) - U.S. stock futures gained steam throughout the morning, pointing to a higher market open on Tuesday, as oil prices eased and insurance stocks looked to extend gains from their rally on Monday. Shares of Marsh & McLennan Cos. (MMC.N: Quote , Profile , Research ) , the world's largest insurance broker, jumped more than 8 percent in pre-market trade. The stock rose late on Monday after its Chairman and Chief Executive Jeffrey Greenberg resigned, 11 days after New York's Attorney General Eliot Spitzer accused the company of rigging insurance prices. In earnings news on Tuesday, DuPont Co. (DD.N: Quote , Profile , Research ) , the second-largest U.S. chemicals maker and a Dow component, posted a third-quarter profit compared with a year-ago loss. Halliburton Co. (HAL.N: Quote , Profile , Research ) , the world's No. 2 oil field services company, reported a third-quarter net loss as charges from its asbestos liability hurt results. S&P 500 futures were up 2.8 points, above fair value accounting for interest rates, dividends and time to expiration on the contract, indicating the market would open higher. Dow Jones industrial index futures rose 33 points, while Nasdaq 100 futures moved up 4 points. Futures were flat in the early morning and improved as oil prices declined and as earnings results rolled in. Oil prices fell after surging to a record $55.67 on Monday. The jump in price was due in part to a Norwegian shipowners group threatening to shut down the country's output to resolve a strike, but price gains unraveled after the government stepped in to end the dispute. U.S. light crude (CLc1: Quote , Profile , Research ) for December was 44 cents lower at $54.10 a barrel on Tuesday. "We're looking higher mainly because oil is down and we've seen some good earnings reports," said Peter Cardillo, market analyst and chief strategist at SW Bach and Co. "I also think the bounce in insurance stocks is helping the market." Insurance stocks welcomed Greenberg's resignation, with Dow component American International Group Inc. (AIG.N: Quote , Profile , Research ) rising 3 percent in after-hours trade on Monday. Among the lingering concerns on Wall Street is uncertainty surrounding the U.S. presidential election and a steep drop in the U.S. dollar, which showed signs of improvement on Tuesday. On the economic front, U.S. consumer confidence data will be eyed when it is released at 10 a.m. (1400 GMT). Economists in a Reuters survey expect a median reading of 94.0 compared with 96.8 in September.
Quelle "Stocks Seen Higher as Oil Eases Off Highs" : reuters.com

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