U.S. Stock Futures Point to Higher Open. Stocks to Watch: AAPL, FCX, GS, LMT, WMT

Published on Friday, 11 December 2009 08:09 Written by Christopher Lynn

New York, Dec 11^th (TradersHuddle.com) – Stock Futures in the U.S. were pointing to a higher open as China’s industrial production grew more than expected, exports fell the least in 13 months and imports jumped confirming that China is at the front of the global economic recovery.

China’s factory output leaped 19.2% last month from a year earlier, beating economists’ estimates. The report boosted investor appetite for risk and higher yielding assets. Commodities jumped on the report. Oil also moved higher as China’s government said its refineries processed a record amount of crude oil last month, a clear sign that fuel demand is picking up.

Countries’ debt ratings were also in focus as Moody's said the top credit ratings for the U.S. and Britain are not under threat of a downgrade at the moment, though a worst-case scenario could see a cut by 2013. Moody's classifies the U.S. and the U.K. as "resilient".

Economic reports to be released at 8:30 AM will surely help shape the market's mood and direction. The Commerce Department releases November retail sales and import and export prices. At 9:55 AM the University of Michigan releases its latest consumer sentiment index, with economists looking for a slight gain and at 10:00 AM the government will release the status of business inventories.

Today Stocks to watch: Apple (NASDAQ:AAPL), Freeport-McMoran (NYSE:FCX), Goldman Sachs (NYSE:GS), Lockheed Martin (NYSE:LMT), and Wal-Mart (NYSE:WMT).

Apple (NASDAQ:AAPL): Yesterday’s price action was interesting, as the momentum generated from an analyst note on a possible tablet pc helped pushed the stock to the $200 level. The stock struggled to break the $200 level and after a failed attempt the stock finally finished lower for the day. Today, with the futures pointing higher, Apple may try to test $200 again.

Freeport-McMoran (NYSE:FCX): After China’s report, commodities are pushing higher, with copper leading the metals in London. The strength in copper and the investor appetite for higher yielding assets may push a commodities rally that should be reflected in the gold and copper miner.

Goldman Sachs (NYSE:GS): The leader of the financials, will be in focus as in Capitol Hill the House continues its debate and moves towards final passage of a sweeping financial regulation overhaul bill, with the possibility of final votes coming today. The regulations will limit exposure in derivatives and can impact earnings potential on the financial sector. The Wall Street giant also reported yesterday that its executives will receive stock bonuses instead of cash only bonuses.

Lockheed Martin Corp. (NYSE:LMT): The Pentagon reported that the biggest defense company won a contract valued at as much as $318 million to provide support services in Iraq and Afghanistan to the Joint Improvised Explosive Device Defeat Organization.

Wal-Mart (NYSE:WMT) shares were higher in European trading awaiting the Commerce Department report on U.S. retail sales. Trading in the world’s biggest retailer shares will sure be in focus as the report will also help shape the market’s mood.