Wall St set to open flat after sell off, GDP data

By Chuck Mikolajczak

NEW YORK (Reuters) - U.S. stock index futures were pointing towards a flat open on Friday after major indexes suffered their biggest drop since July, and data showed the economy grew at its fastest pace in more than two years.

The Commerce Department raised its estimate of gross domestic product to show the economy expanded at a 4.6 percent annual rate, in line with expectations and the best performance since the fourth quarter of 2011.

Major indexes saw their biggest declines since July 31 on Thursday in a broad sell off, with the S&P 500 falling through a key technical support level as Apple slumped and the dollar hit a four-year high.

"The equity market in general is looking for near-term conviction," said Terry Sandven, senior equity strategist at U.S. Bank Wealth Management in Minneapolis.

"In recent months, the 'Goldilocks' scenario of modest growth and tame inflation have largely been in play and the economy has not been too slow or too fast, and in recent days that characterization is being challenged a bit."

The S&P has dropped for four of the past five sessions and closed below its 50-day moving average for the first time since Aug. 15. That level had previously served as support, and a protracted period underneath it could signal further losses.

S&P 500 e-mini futures were off 2 points and fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract, indicated a flat open. Dow Jones industrial average e-mini futures were up 13 points and Nasdaq 100 e-mini futures were 2.25 points higher.

Later in the session at 9:55 a.m. (1355 GMT), investors will peruse the Thomson Reuters/University of Michigan's final September reading on consumer sentiment. The current estimate stands at 84.7 versus a preliminary reading of 84.6.

Janus Capital shares were surging, up 39.5 percent to $15.50 after the company said PIMCO founder Bill Gross would join the company.

Nike shares were trading up 9.5 percent to $87.34 before the opening bell after the world's largest sportswear maker reported a better-than-expected quarterly profit.

Micron Technology shares were climbing 7.1 percent to $33.94 in premarket after the memory chipmaker posted fiscal fourth-quarter results and a revenue outlook that impressed Wall Street.

U.S.-listed shares of Blackberry gave up earlier gains and were trading down 2.4 percent to $9.57 in premarket trading after the company reported a smaller quarterly loss in an early sign that its drawn-out turnaround efforts might be working.

(Editing by Bernadette Baum)