Dow Jones Industrial Average Futures Bounce with Crude

The SPY Trendline to Watch this Week

Jan 26, 2016 at 9:13 AM

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The Dow Jones Industrial Average (DJIA) looks set to claw back some of Monday's losses, with Dow futures trading above fair value this morning. Oil prices are also poised to reverse their week-opening slump, with March crude futures up about 1% at $30.63 per barrel. Traders today will be eyeing the kickoff of the Federal Open Market Committee (FOMC) meeting, as well as post-close earnings from tech stock Apple Inc. (AAPL) and a number of other Dow components.

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

Schaeffer's Senior V.P. of Research Todd Salamone identifies the SPDR S&P 500 ETF Trust (SPY) trendline to watch as January wraps up.
With Dow member 3M Co. (NYSE:MMM) pointed higher post-earnings, did options players get it right?
What sparked yet another sell-off for Fitbit Inc (NYSE:FIT)?
Plus... China stocks get hammered, a luxury retailer pops post-earnings, and AIG shakes things up under Icahn pressure.

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Futures on the Dow Jones Industrial Average (DJIA) are 49.8 points above fair value.

5 Things You Need to Know Today

Stocks in China suffered their steepest fall in weeks, even as regulators stepped in to prop up the market.
The Chicago Board Options Exchange (CBOE) saw 655,665 call contracts traded on Monday, compared to 453,984 put contracts. The resultant single-session equity put/call ratio climbed to 0.69, while the 21-day moving average edged up to 0.76.
Tesla Motors Inc (NASDAQ:TSLA) hit a nine-month low on Monday after J.P. Morgan Securities lowered its estimate for the company's fourth-quarter earnings. TSLA has been falling for months, and is off 18.2% so far in 2016, as sales of the Model X disappoint. Ahead of the bell, however, TSLA has tacked on 0.7%.
After reporting quarterly earnings that beat analyst estimates, along with revenue that fell just shy of predictions, Coach Inc (NYSE:COH) has popped 4.6% in pre-market trading. The beaten-down stock's post-earnings rally may have option bears sweating today.
American International Group Inc (NYSE:AIG) is planning to spin off its mortgage insurance unit, and will also sell its broker-dealer network, while planning to cut its 2016 costs by $1.6 billion. The stock has been under pressure from activist investor Carl Icahn, who has been calling for a break-up of AIG since October.

Earnings and Economic Data

The S&P/Case-Shiller home price index and the Conference Board's consumer confidence survey are due out today.

On the earnings front, DuPont (DD), Johnson & Johnson (NYSE:JNJ), AT&T (T), AK Steel (AKS), Capital One (COF), Freeport-McMoRan (FCX), Lockheed Martin (LMT), Sprint (S), U.S. Steel (X), and VMware (VMW) will report quarterly figures. To see what else is on this week's agenda, click here.

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