US STOCKS-S&P, Dow set for weak open; Broadcom gains may power Nasdaq

Reuters

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* GE announces job cuts in power business * Broadcom rises after strong results, dividend raise * Lululemon jumps on strong holiday forecast * Futures: Dow down 49 pts, S&P off 0.5 pts, Nasdaq up 15.75 pts (Adds comment, details, updates prices) By Sruthi Shankar and Rama Venkat Raman Dec 7 (Reuters) - The S&P 500 and the Dow looked set for a softer opening on Thursday, while gains in chipmaker Broadcom and apparel Lululemon are likely to power the Nasdaq to a higher start. Broadcom AVGO.O rose about 5 percent after the chipmaker reporting upbeat profit and boosted its dividend by 72 percent. urn:newsml:reuters.com:*:nL3N1O65CK Lululemon Athletica LULU.O gained 8.4 percent after the Canadian yoga and leisure apparel maker reported a higher-than-expected profit and gave an upbeat holiday season forecast. urn:newsml:reuters.com:*:nL3N1O65DY General Electric GE.N shares were up 0.34 percent in premarket trading after the industrial conglomerate said it was cutting 12,000 jobs at its global power business. urn:newsml:reuters.com:*:nL8N1O70MK Strong earnings and solid economic growth have pushed stocks to record levels this year and Republican efforts to cut corporate taxes have added to the momentum. The Senate Republicans on Wednesday agreed to talks with the House of Representatives on the tax bill amid early signs that lawmakers could agree on a final bill ahead of a self-imposed Dec. 22 deadline. urn:newsml:reuters.com:*:nL1N1O61VT However, a gridlock between President Donald Trump and Congress over the passage of spending legislation before Friday has raised fears of partial shut down of the federal government. urn:newsml:reuters.com:*:nL1N1O61LC "Very rarely does this actually turn into a government shut down," said Art Hogan, chief market strategist at B. Riley FBR in Boston. "What typically happens is the markets grow immune to this debate that at the eleventh hour ,some compromise is made and things move forward and I think that will be how this proceeds." At 8:34 a.m. ET (1334 GMT), Dow e-minis 1YMc1 were down 49 points, or 0.2 percent, with 28,196 contracts changing hands. S&P 500 e-minis ESc1 were down 0.5 points, or 0.02 percent, with 191,077 contracts traded. Nasdaq 100 e-minis NQc1 were up 15.75 points, or 0.25 percent, on volume of 39,927 contracts. Oil prices rose more than half a percent after dipping 2 percent on Wednesday as a fall in U.S. crude inventories was countered by soaring output and a rise in fuel stocks. O/R Data showed the number of Americans filing for unemployment benefits unexpectedly fell last week, with claims for state unemployment benefits slipped 2,000 to 236,000 for the week ended Dec. 2. Economists polled by Reuters had forecast claims rising to 240,000. urn:newsml:reuters.com:*:nLNS7NED2H The report comes ahead of a more comprehensive government payrolls data on Friday, where investors are looking to gauge the strength of the labor market. (Reporting by Sruthi Shankar and Rama Venkat Raman in Bengaluru; Editing by Arun Koyyur) ((sruthi.shankar@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6749 6328; Reuters Messaging: sruthi.shankar.reuters.com@reuters.net)) Keywords: USA STOCKS/

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