Dow Jones Industrial Average Futures Signal Lower Open

The Dow Jones Industrial Average ​​(DJIA) looks set for a negative start after Monday's triple-digit burst, with Dow futures trading below fair value. Oil prices are holding steady following yesterday's Goldman Sachs-related surge, with June-dated crude futures last seen up 0.2% at $47.82 per barrel. Elsewhere, Dow stock Home Depot Inc (NYSE:HD) is in focus after reporting impressive quarterly earnings, while traders are also digesting an early round of economic data. Specifically, the consumer price index (CPI) and housing starts both rose more than expected in April -- the former by its widest margin in three years -- while a report on industrial production is set for release just before the open. 

Continue reading for more on today's market, including:

• Schaeffer's Senior VP of Research Todd Salamone explains why the ugly sideways movement could persist.
• The $4.4 billion energy deal that failed to impress options traders.
• "The best bet in biotech stocks."
• Plus... Home Depot's puzzling pre-market price action, LendingClub gets hit again, and a potential Pandora sale. 

Futures on the Dow Jones Industrial Average (DJIA) are 30.7 points below fair value. 

5 Things You Need to Know Today
 

1. Stocks in Asia closed mostly higher, though China's Shanghai Composite took a step back. 
2. The Chicago Board Options Exchange (CBOE) saw 723,416 call contracts traded on Monday, compared to 431,815 put contracts. The resultant single-session equity put/call ratio slid to 0.60, while the 21-day moving average held at 0.75.
3. HD this morning reported earnings and revenue that topped Wall Street's expectations. The blue-chip retailer also raised its full-year outlook. However, the shares are edging lower in pre-market trading, which may have call buyers scratching their heads. 
4. After getting rocked by a C-suite scandal last week, loan specialist LendingClub Corp (NYSE:LC) revealed it has received a subpoena from the Justice Department. LC has shed more than 10% in electronic trading, putting it on pace to open at record lows. 
5. Online music stock Pandora Media Inc (NYSE:P) has struggled on the charts in 2016, losing more than one-fourth of its value at $9.98 -- failing to maintain last month's big earnings boost. However, P is up over 5% ahead of the bell, after hedge fund Corvex Management LP -- which just reported a nearly 10% stake in Pandora -- is reportedly pushing for the company to explore a sale.

Earnings and Economic Data

San Francisco Fed President John Williams and Dallas Fed President Robert Kaplan will speak in the afternoon. Meanwhile, Red Robin Gourmet Burgers (RRGB), TJX Companies (TJX), and Vipshop (VIPS) will take a turn in the earnings confessional.. To see what's coming up on this week's schedule, click here. 

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