10 Things You Need To Know Before The Opening Bell

Eric Platt

 Aug. 22, 2012

Matthew Lloyd/Getty Images

Good morning. Here's what you need to know.

• Markets in Asia sold off in overnight trade, with Hong Kong's Hang Seng off 1.1 percent. Shares in Europe are lower and U.S. futures point to a negative open.

• Germany sold €4 billion in two-year debt, below its maximum €5 billion target. Yields on the treasuries increased to zero percent from -0.06 percent at a similar auction in July. Demand was somewhat softer than earlier auctions during the year.

• Japan's trade deficit was larger than expected in July, with the gap between imports and exports standing at ¥517.4 billion ($6.53 billion). That compares to a June surplus of ¥60.3 billion.

• Greek Prime Minister Samaras will speak with Eurogroup President Juncker to discuss an extension of a €11.5 billion fiscal adjustment program by two years, pushing it to 2016 as opposed to 2014 as earlier agreed. The press conference will be held at 12:00 p.m.

• Apple and one of its largest Chinese suppliers, Foxconn, improved labor conditions at overseas plants, a new report from the Fair Labor Association says. Foxconn has reduced worker's hours, now requires breaks, revamped equipment, and updated maintenance policies, according to surveys of plants in June and July. The Fair Labor Association says more is still needed to be done.

• Dell's profit fell more than 18 percent to $732 million as consumer sales slumped during the second quarter. The company reported earnings of $0.42 a share on sales of $14.48 billion, both below expectations. Dell also cut forecast its earnings forecast for the year to $1.70 from $2.13 a share. 

• BHP Billiton reported better-than-expected full-year results this morning, even as second-half profits slid 35 percent to $7.16 billion. The company said it would have to delay its massive $20 billion Olympic Dam copper expansion and would not approve any other major projects this year.

• The key U.S. economic event on tap today is existing home sales, set for release at 10:00 a.m.  Economists expect that the number of houses sold increases 3.2 percent to an annualized rate of 4.51 million units. 

• Minutes from the August FOMC meeting will be released by the Federal Reserve at 2:00 p.m. The market will be closely looking for any hint of added quantitative easing from the statements.

• Mitt Romney continued to trail President Obama in a new WSJ/NBC poll. The new data showed Obama with a 48-44 lead, similar to a poll a month earlier. The  survey also showed that Paul Ryan had a marginal impact on voters — with 22 percent saying they were more likely to back the Republican ticket while 23 percent said they were less likely to.
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