Stock Futures Pause Ahead of Yellen Speech

By Matt Jarzemsky 

U.S. stock futures hugged the flat line Friday ahead of a speech by Federal Reserve Chairwoman Janet Yellen.

Less than 90 minutes before the U.S. opening bell, futures on the Dow Jones Industrial Average added six points, or less than 0.1%, to 17022.

S&P 500 futures declined less than one point, or less than 0.1%, to 1989, on the heels of a record close for the index Thursday. Nasdaq-100 futures slipped one point, or less than 0.1%, to 4047.

Investors are looking to speeches from Ms. Yellen and other central bankers for clues as to whether these officials will keep interest rates at historically low levels--a policy widely seen to have added fuel to stocks' rally. Other central bank leaders, such as European Central Bank President Mario Draghi, are also scheduled to speak Friday at an annual conference in Jackson Hole, Wyo.

"Markets are looking for nothing other than another dovish display from Yellen," said Nick Lawson, global co-head of macro products and sales at Deutsche Bank AG. "It's difficult to actually find sellers at the moment. The market is pretty well bid."

Mr. Lawson said he has seen increased interest among investors in income-generating equities, even with stock indexes at near record levels, as interest rates have remained at historic lows this year.

European stocks pulled back on a sign of escalation in Russia's conflict with Ukraine, but were off the session's lows. Ukraine said Russian trucks carrying humanitarian aid crossed into Ukrainian rebel-held territory without being accompanied by the Red Cross in violation of an agreement between the two countries. The Stoxx Europe 600 fell 0.3%.

Elsewhere in global markets, buying in bonds pushed the yield on the U.S. 10-year Treasury note, which moves inversely to its price, down to 2.397%.

Gold futures gained 0.3% to $1,279.50 an ounce and crude-oil futures slid 0.5% to $93.51 a barrel.