Stock-index futures signal pullback from record highs

Rally pushes valuations to highest level since 2009; financials in focus.
NOV 13, 2014
By  Bloomberg
U.S. stock-index futures declined, signaling benchmark gauges may fall from record levels, as investors consider valuations that are the highest since 2009. Citigroup Inc. dropped in German trading after U.S., Swiss and British regulators fined the bank to settle a probe into the rigging of foreign-exchange benchmarks. Fossil Group Inc. jumped 8% in early New York trading after posting better-than-estimated earnings and saying it will buy back shares. Futures on the Standard & Poor's 500 Index (SPX) expiring in December lost 0.2% to 2,033.2 at 10:32 a.m. in London. The equity gauge is trading at 17 times the projected earnings of its members. Dow Jones Industrial Average contracts declined 27 points, or 0.2%, to 17,541. The S&P 500 has rebounded 9.5% from a six-month low in October amid better-than-estimated corporate results and economic data. The equity benchmark advanced for a fifth day yesterday as housebuilders rose. The Dow climbed for a sixth day, the longest winning streak since June. Citigroup declined 1%to $53.28 in Germany after regulators ordered the lender to pay $668 million to settle the benchmark-rigging probe. JPMorgan Chase & Co., fined $662 million, was little changed. They are among five lenders penalized, according to statements from the U.S. Commodity Futures Trading Commission, Britain's Financial Conduct Authority and Swiss Financial Market Supervisory Authority. The settlements are the first since authorities around the world began investigating allegations last year that bank dealers colluded with counterparts at other firms to manipulate benchmarks used by fund managers to determine what they pay for foreign currency. Fossil Group jumped 8% to $112 after announcing a $1-billion share repurchase plan. The watchmaker posted third-quarter earnings of $1.96 a share, exceeding the average analyst projection of $1.82.

Latest News

Founder of water vending machine company, portfolio manager, charged in $275M Ponzi scheme
Founder of water vending machine company, portfolio manager, charged in $275M Ponzi scheme

"The greed and deception of this Ponzi scheme has resulted in the same way they have throughout history," said Daniel Brubaker, U.S. Postal Inspection Service inspector in charge.

At 90 years old, Social Security remains vital for most Americans' retirement
At 90 years old, Social Security remains vital for most Americans' retirement

A survey reveals seven in 10 expect it to be a source of income, while most non-retired respondents worry about its continued sustainability.

Intention.ly, AssetLink announce new AI to boost advisors' organic growth
Intention.ly, AssetLink announce new AI to boost advisors' organic growth

AI suite and patent for AI-driven financial matchmaking arrive amid growing importance of marketing and tech among advisory firms.

Corient breaks M&A pause with $1.54B Texas acquisition
Corient breaks M&A pause with $1.54B Texas acquisition

The RIA's addition in Dallas, previously with Raymond James, comes just as the take-private deal between Corient's parent firm in Canada and Mubadala Capital comes to completion.

High-net-worth women over 60 are a rich potential client base, if you understand them
High-net-worth women over 60 are a rich potential client base, if you understand them

LPL's head of HNW planning says too many advisors are making a common mistake.

SPONSORED Delivering family office services critical to advisor success

Stan Gregor, Chairman & CEO of Summit Financial Holdings, explores how RIAs can meet growing demand for family office-style services among mass affluent clients through tax-first planning, technology, and collaboration—positioning firms for long-term success

SPONSORED Passing on more than wealth: why purpose should be part of every estate plan

Chris Vizzi, Co-Founder & Partner of South Coast Investment Advisors, LLC, shares how 2025 estate tax changes—$13.99M per person—offer more than tax savings. Learn how to pass on purpose, values, and vision to unite generations and give wealth lasting meaning