* Retail sales data on tap
* Slower economic recovery seen in England, Germany
* European Commission fines Intel 1.06 billion euros
* Futures off: Dow by 71 pts, S&P 7.5 pts, Nasdaq 16 pts
[]
NEW YORK, May 13 (Reuters) - U.S. stock index futures fell
about 1 percent on Wednesday as investors waited for key retail
sales data for an indication of the mood of the U.S. consumer.
News from Europe also weighed on sentiment as top officials
said an economic recovery would not come any time soon.
Retail sales are forecast to be flat in April, compared
with a fall of 1.2 percent in the previous month. The data is
due at 8:30 a.m. EDT (1230 GMT). Consumer spending accounts for
two-thirds of U.S. economic activity.
"Expectations are up slightly, and people are looking for
signs that there's some real improvement, not just leveling at
the bottom," said Rick Meckler, president of investment firm
LibertyView Capital Management in Jersey City, New Jersey.
"The definition of 'better than expected' has been changing
from not being horrible to actually showing some real
improvement," he added, "To the extent that sales show some
real improvement it could be very positive for the market."
S&P 500 futures <SPc1> fell 7.5 points and were below fair
value, a formula that evaluates pricing by taking into account
interest rates, dividends and time to expiration on the
contract. Dow Jones industrial average futures <DJc1> shed 71
points, and Nasdaq 100 <NDc1> futures were off 16 points.
The British economy will recover more slowly than
previously thought, the Bank of England said, sending the FTSE
100 <> share index 1.1 percent lower and gold prices
higher. [] Also, German Chancellor Angela Merkel
said she did not expect that economy to return to 2008 levels
in 2010.
In other news from Europe, the European Commission imposed
a record fine of 1.06 billion euros ($1.45 billion) on
chipmaker Intel Corp <INTC.O> on Wednesday and ordered it halt
illegal rebates and other practices intended to squeeze out
rival Advanced Micro Devices Inc. <AMD.N> (To see story, please
double-click [])
The fine offset earlier optimism after Intel, the world's
No. 1 chipmaker, said late Tuesday its orders and billing
patterns have been slightly better than expected so far in the
second quarter. Shares of Intel rose 2.3 percent to $15.57 in
premarket trade.
Applied Materials Inc <AMAT.O>, the world's largest chip
equipment maker, posted a quarterly loss Tuesday as cost cuts
failed to fully offset a steep drop in revenue. []
Shares fell 2.6 percent to $11.18.
Department store operator Macy's Inc <M.N> posted a loss of
16 cents a share excluding items and 21 cents including items.
Reuters estimates had indicated a loss of 20 cents.
[] Shares rose 2.7 percent to $12.68 in premarket
trade.
On Tuesday, the Dow gained ground as investors scooped up
defensive shares such as Pfizer Inc <PFE.N>, while energy
stocks rose alongside oil prices. The S&P 500 was little
changed, and the Nasdaq fell as financial and technology shares
dropped after recent sharp gains.
The stock market has been digesting a series of secondary
share offerings over the last few days as the companies sought
to take advantage of increased investor confidence that pushed
up stocks about 30 percent since the market hit a 12-year low
in early March.
(Reporting by Edward Krudy; editing by Jeffrey Benkoe)
