Walmart Earnings Have Dow Shooting for New Records

Following yesterday's breather, the Dow Jones Industrial Average (INDEXDJX:DJI) is once again aiming for new record highs, thanks to a strong earnings report from blue-chip component Wal-Mart Stores, Inc. (NYSE:WMT). Quarterly results from retailer J C Penney Company Inc (NYSE:JCP) could also garner their fair share of attention, with the equity poised to plunge more than 6% right out of the gate. Elsewhere, weekly jobless claims, as well as speeches from a pair of Federal Reserve officials -- including one from Fed Chief Janet Yellen, slated for 12:45 p.m. ET -- will be in focus.

• A lesson in winning the options game, courtesy of Fossil Group Inc (NASDAQ:FOSL) traders.
• Speculators gambled on additional upside for QUALCOMM, Inc. (NASDAQ:QCOM), which benefited from an intense patent battle between two of its peers.
• Option bulls rolled the dice on a strong finish to the week for this Chinese Internet issue (and it's not Alibaba Group Holding Ltd [NYSE:BABA]).

Futures on the Dow Jones Industrial Average (INDEXDJX:.DJI) are nearly 40 points above fair value.

Market Statistics

The Chicago Board Options Exchange (CBOE) saw 1.21 million call contracts traded on Wednesday, compared to 733,384 put contracts. The resultant single-session equity put/call ratio fell to 0.61, while the 21-day moving average dropped to 0.64.

Currencies and Commodities

• The U.S. dollar index is down 0.1% to 87.70.
• Crude oil is poised to continue its retreat into multi-year low territory, and was last seen 1.2% lower at $76.28 per barrel.
• Gold, meanwhile, is up 0.2% at $1,161.20 per ounce.

Earnings and Economic Data

Weekly jobless claims come out today, along with the Labor Department's Job Openings and Labor Turnover Survey (JOLTS), the Treasury budget, and the weekly crude inventories update. WMT, Applied Materials (AMAT), Kohl's (KSS), Nordstrom (JWN), SINA (SINA), Tyco (TYC), Viacom (VIAB), Weibo (WB), and Youku Tudou (YOKU) will step into the earnings confessional.

Overseas Trading

Asian markets landed on both sides of breakeven today. Japan's Nikkei outperformed its peers with a 1.1% rally amid optimism over reports of a delayed sales tax hike and upcoming snap election, as well as a strong reading on core machinery orders. China's Shanghai Composite, meanwhile, gave back 0.3% following weaker-than-forecast reports on industrial production and retail sales. Elsewhere, Hong Kong's Hang Seng added 0.3%, while South Korea's Kospi broke its five-session winning streak to finish 0.3% lower.

European bourses are higher at midday, thanks to a round of upbeat earnings reports. Adding to the bullish bias is a batch of better-than-expected inflation data throughout the region. However, traders are keeping a cautious eye trained on Ukraine, as reports surface Russian troops have re-entered the country. Against this backdrop, the German DAX is flirting with a 0.6% gain, the French CAC 40 is up 0.3%, and London's FTSE 100 has tacked on 0.2%.

For an explanation of how to use this information, check out our Education Center topics on Option Volume and Open Interest Configurations.