11 October 2005, 16:19  Markets look set for bounceback

U.S. markets were poised for a recovery on Tuesday, helped by better-than-forecast earnings from Dow industrials component Alcoa as well as key biotech Genentech, though minutes from the last Federal Open Market Committee meeting will be scrutinized for clues on just how hawkish the U.S. interest-rate setting committee is. S&P 500 futures rose 5.2 points and Nasdaq 100 futures climbed 8 points. On Monday, Dow industrials fell 53 points at 10,238, the Nasdaq Composite fell 11 points at 2,078 and the S&P 500 fell 8.6 points at 1,187, after General Motors tumbled 10% following Delphi Corp.'s bankruptcy filing. "Columbus Day is not a great day to measure the performance of a real stock market. Investors were having problems seeing the woods from the trees yesterday," said David Buik, a trader at London's Cantor Index. The U.S. Treasury market was closed Monday for Columbus Day. The Fed minutes, due to be released in the afternoon, will be a focus, especially considering last month's dissent by Mark Olsen. The euro was weaker on the dollar, last down 0.2% at $1.2020, while front-month crude oil climbed 77 cents at $62.57 a barrel.

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