Futures Hold Gains After GDP Report; FB Skids
July 27, 2012 3 Comments
U.S. stock index futures held modest gains Friday after the latest GDP report showed a slowing economy in the second quarter, fueling expectations for further action from the Federal Reserve.
Gross domestic product expanded at a 1.5 percent annual rate in the second quarter, according to the Commerce Department said on Friday. Still, the reading marked the weakest pace of growth since the third quarter of last year.First-quarter growth was revised up to a 2.0 percent pace from the previously reported 1.9 percent.
“The recession and debt concerns in Europe, as well as the rapid slowdown in China, are having spillover effects here in the United States,” said Todd Schoenberger, managing principal at The BlackBay Group. “Sadly, the only bullish action that may be able to reverse this trend, at least in the short-term, is further monetary easing by the Federal Reserve.”READ MORE