Stock futures (S&P futures vs fair value: +3.1. Nasdaq futures vs
fair value: +5.0.) rose Monday as investors aimed to recover from a
dramatic selloff on Wall Street and digested news coming out of
investment banking giant Lehman Brothers.
Lehman Brothers (LEH), the fourth-largest investment
bank, said on Monday that it will raise $6 billion through the issuing
of stock, to help make up for an expected loss of $2.8 billion in the
second quarter. Lehman's shares dropped 11% in pre-market trading.
McDonald's reported May same-store sales rose 7.7%, topping the 3.6%
Briefing.com consensus estimate. Financial services company CIT Group
(CIT) is getting a lift in premarket action on word that the company it
has agreed to a $3 billion long-term committed financing facility with
Goldman Sachs (GS).
Crude prices lost $1.37 to $137.17 a barrel in electronic trading.