Futures lower as oil rally falters

By Yashaswini Swamynathan(Reuters) - U.S. stock index futures were lower on Friday after a rally in oil prices fizzled out.Crude prices fell about 2 percent, with U.S. crude hovering at $30 per barrel after a record increase in U.S. stockpiles. [O/R]Oil prices and the stock market have moved in lockstep for much of the year as investors look at demand for energy for a bearing on global economic health.European stocks were also pushed back, while Asian shares slipped from near three-week highs.Oil prices rose more than 14 percent in the three days to Thursday after a move by top exporters to freeze oil output at January's levels. Iran endorsed the plan without commitment on Wednesday.That fueled a three-day on Wall Street as well, which snapped on Thursday as oil prices fell on U.S. inventory data.Adding to the pressure was disappointing holiday-quarter results from Wal-Mart , the world's largest retailer.Economic data is expected to show core consumer price index (CPI) rose 0.2 percent in January. Core CPI, which excludes volatile energy and food, is typically considered the U.S. Federal Reserve's preferred metric to gauge inflation. The data is due at 8:30 a.m. ET (1330 GMT).Shares of Applied Materials were up 7 percent at $18.37 premarket after the chip equipment provider forecast higher-than-expected quarterly profit and revenue.(Reporting by Yashaswini Swamynathan and Abhiram Nandakumar in Bengaluru; Editing by Savio D'Souza)Join the conversation about this story
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