US STOCKS-Futures point to weak open after durable goods data

* U.S. durable goods orders rise less than expected

* No growth seen in July new home sales

* S&P’s Ireland downgrade weighs

* Futures down: Dow 63 pts, S&P 8.1 pts, Nasdaq 15 pts

* For up-to-the-minute market news see [STXNEWS/US]

(Updates with durable goods data)

By Ryan Vlastelica

NEW YORK, Aug 25 (BestGrowthStock) – U.S. stock index futures
pointed to a lower open on Wednesday, with pessimism spreading
after much weaker-than-expected orders for long-lasting U.S.
manufactured goods suggested a sharp slowdown.

The Dow and S&P are on track for a fifth straight day of
losses as concerns about global growth kept traders cautious.

Durable goods orders rose by just 0.3 percent in July, and
excluding transportation equipment, orders posted their largest
decline in 1-1/2 years. For details, see [ID:nN25121445]

These numbers are “not surprising since we’ve seen previous
data that suggested a negative print,” said Joseph Battipaglia,
market strategist at Stifel Nicolaus in Yardley, Pennsylvania.
“There’s nothing there, and consequently the U.S. economy is
sliding back into recession.”

S&P 500 futures (SPc1: ) fell 8.1 points and were below fair
value, a formula that evaluates pricing by taking into account
interest rates, dividends and time to expiration on the
contract. Dow Jones industrial average futures (DJc1: ) shed 63
points, and Nasdaq 100 futures (NDc1: ) lost 15 points.

July new home sales will be released at 10 a.m. [1400 GMT],
and economists in a Reuters survey expect no change from the
330,000 unit annual rate in June. A revival of the housing
market is considered crucial for an economic recovery, and on
Tuesday, weak existing home sales data sparked a sell-off that
sent stocks to seven-week lows.

“If we get a weak number (in home sales), that will further
trigger an erosion in market technicals and poise the averages
to retest their year lows,” said Peter Cardillo, chief market
economist at Avalon Partners in New York.

Standard & Poor’s late on Tuesday cut its credit rating on
Ireland and assigned it a negative outlook, expecting the
country to face substantially higher costs to support its
ailing financial institutions. For details, see
[ID:nLDE67O0YY]

Japanese stocks hit a 16-month closing low as
disappointment spread over the lack of policy action by Japan
to rein in the strong yen. Japan’s finance minister sharpened
his rhetoric on the yen’s steep gains after the Nikkei
newspaper reported Japan may consider selling the yen in solo
intervention if speculators drive it up. [ID:nTOE65T00N]

Luxury homebuilder Toll Brothers Inc (TOL.N: ) rose 2.9
percent in premarket trading to $16.66 after it swung to a
third-quarter profit (Read more your timing to make a profit.) and said it expects gross margins before
interest and write-downs to improve in its fourth-quarter.
[ID:nSGE67O0GI]

American Eagle Outfitters Inc (AEO.N: ) rose 0.7 percent to
$12.58 in premarket trading after it reported second-quarter
earnings. [ID:nN25116657]

JDS Uniphase Corp (JDSU.O: ) is scheduled to report after the
market closes on Wednesday. The telecommunications equipment
maker is expected to swing to a fourth-quarter profit (Read more your timing to make a profit.).

(Additional reporting by Angela Moon and Rodrigo Campos;
Editing by Padraic Cassidy)

US STOCKS-Futures point to weak open after durable goods data