Stock Futures Mixed Ahead of Powell Stimulus Speech

The Dow is once again eyeing a triple-digit rise

Deputy Editor
Oct 6, 2020 at 9:25 AM
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After the market notched its strongest session in several weeks on Monday, stock futures are mostly unchanged this morning. Still, futures on the Dow Jones Industrial Average (DJI) are looking to open roughly 150 points higher, as investors await comments from U.S. Federal Reserve Chairman Jerome Powell regarding additional fiscal stimulus. Meanwhile, S&P 500 Index (SPX) futures are eyeing marginal gains as well, while futures on the Nasdaq-100 Index (NDX) are floating just below fair market value.

In addition to the Fed's latest remarks, investors will continue to monitor U.S. President Donald Trump's health. Trump left Walter Reed National Military Medical Center last night, prompting yesterday's rally; however, White House physician Dr. Sean Conley stated that the president "may not entirely be out of the woods yet."

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

  • This pharmaceutical stock rose after providing Trump's antibody cocktail.
  • Behind Exxon Mobil's leaked plans to increase CO2 emissions, and what that meant for its stock. 
  • Plus, Southwest is cutting salaries to avoid layoffs; more on Dollar Tree's seasonal hiring plans; and positive news regarding one biotech name's cancer treatment.

Futures Chart October 6

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw more than 1.2 million call contracts traded on Monday, and 629,220 put contracts. The single-session equity put/call ratio fell to 0.49 and the 21-day moving average also fell to 0.54. 
  2. In order to avoid furloughs and layoffs, Southwest Airlines Co (NYSE:LUV) is asking its employee unions to agree to pay cuts. This will result in non-union salaries being cut by 10% until the beginning of 2022. LUV is down 0.4% ahead of the bell in response. Longer term, Southwest stock has shed 28.7% in 2020.
  3. Dollar Tree, Inc. (NASDAQ:DLTR), meanwhile, is gearing up to hire for the holiday season. In fact, the discount retailer is planning to hire 25,000 seasonal workers, with many going to the company's distribution centers, as online shopping surges. DLTR is up 0.6% before the open, but down 22.3% year-over-year.
  4. Amgen, Inc. (NASDAQ:AMGN) is hovering just above fair market value in pre-market trading. The catalyst for today's early rise can be chalked up to the positive results seen in the biotech giant's phase 2 study of an experimental treatment for non-small cell lung cancer. Meanwhile, AMGN boasts a 30.9% year-over-year rise.
  5. Today, investors will digest the U.S. Bureau of Labor Statistics' Job Openings and Labor Turnover Survey (JOLTS) job openings data, as well as a weekly crude oil update and a short-term energy outlook from the U.S. Energy Information Administration (EIA). Later in the day, Levi (LEVI) will step into the earnings confessional.

Buzz Chart Oct 6

Stocks in Asia, Europe Rise for Second-Consecutive Day

Stocks in Asia ended the day higher, taking a cue from the strong weekly start of their U.S. counterparts. Japan’s Nikkei added 0.5%, with help from auto and financial stocks. Meanwhile, Hong Kong’s Hang Seng rose 0.9%, the Kospi in South Korea tacked on 0.3%, and China’s Shanghai Composite remained closed for holiday.

In Europe, markets are taking cue from their Asian counterparts, and moving higher at midday. London’s FTSE 100 is up 0.2% at last check, while the French CAC 40 posts a 0.7% rise, and the German DAX enjoys a 0.6% pop.


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