Stocks Could Be Pulled in Split Direction By Mixed Earnings, Economic Data

Stock futures were soft overnight, initially indicating a tough start for Wall Street after Wednesday’s slide. But early stock action improved, in part when a leading banking name kicked of its sector’s earnings with a Street-beating report.

A weaker-than-expected jobless benefits claims report did check stock gains, however, and volatility could continue amid this release of mixed stock-driving news. European stocks are lower. Treasury yields edged higher, while the dollar traded moderately lower against its main rivals. Oil futures tipped slightly higher even as the market weighed prospects for higher U.S inventories and the return of Iranian oil. Major oil contracts dipped below a closely watched $30 level this week for the first time in over a decade.

Best Buy Cuts Sales View. Best Buy Co Inc BBY says weak mobile-phone sales hurt its overall holiday results, forcing it to cut its sales outlook for the current quarter. For Q4, the electronics retailer now expects domestic sales to decline 1.5% compared with previous guidance for flat sales. BBY shares have shaved some 27% over the past 12 months; they’re down about 6% early Thursday.

Jobless Claims Rise in Early 2016. The latest weekly tally of jobless benefits claims rose, government data showed. More importantly, so did the less-volatile monthly average. The four-week average of initial jobless claims rose by 3,000 to 278,750 in the seven days from Jan. 3 to Jan. 9. That’s the highest level in six months and comes amid other signs of a mostly improving job market. The monthly average had bottomed out at a 42-year low of 259,250 in late October, but it’s been rising for several months, MarketWatch notes.

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