Dow Jones Industrial Average Futures Drop as Crude Sells Off

Why Analysts Turned on Amazon; Plus, a Buyer for Twitter?

Feb 1, 2016 at 9:07 AM
facebook twitter linkedin

The Dow Jones Industrial Average (DJIA)​ looks ready to cool off following Friday's nearly 400-point advance. Dow futures are trading more than 100 points below fair value this morning, while March-dated crude futures have fallen 3.7% to trade at $32.39 per barrel. Earnings are at least off to a strong start, with insurance giant Aetna Inc (NYSE:AET) handily topping estimates, while Alphabet Inc (NASDAQ:GOOGL) is scheduled to report after the close.

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


Futures on the Dow Jones Industrial Average (DJIA) are more than 126 points below fair value. 

5 Things You Need to Know Today


  1. Disappointing data sparked losses overseas, though Tokyo managed to extend Friday's rally. 
  2. The Chicago Board Options Exchange (CBOE) saw 1.0 million call contracts traded on Friday, compared to 584,115 put contracts. The resultant single-session equity put/call ratio fell to 0.58, while the 21-day moving average dropped to 0.74. 
  3. Health insurer AET -- which is still seeking regulatory approval for its purchase of sector peer Humana Inc (NYSE: HUM) -- will look to add to its 10.4% year-over-year lead, with the stock up 0.7% pre-market after topping Wall Street's fourth-quarter earnings estimates. The shares settled at $101.84 on Friday. 
  4. Burrito chain Chipotle Mexican Grill, Inc. (NYSE:CMG) is up 3.5% in electronic trading. It's widely expected that the Centers for Disease Control and Prevention (CDC) will announce today that its investigation into the company's devastating E. coli outbreak is now over. CMG stock had already been rebounding in recent weeks, adding 13.5% since its Jan. 12 intraday low of $399.14. 
  5. Twitter Inc (NYSE:TWTR) is looking at a 6.6% jump at the open, after The Information reported Marc Andreessen and Silver Lake Partners are considering a deal to acquire the struggling social media firm. With the stock recently slumping to a string of record lows, the investors no doubt think now is an opportune time to scoop up TWTR at a bargain. 

160201 Buzz stocks

Earnings and Economic Data

The latest data on personal income and spending, Markit's purchasing managers manufacturing index (PMI), the Institute for Supply Management's (ISM) manufacturing index, and construction spending numbers will all be reported today.

Anadarko Petroleum (APC), Mattel (MAT), Rent-a-Center (RCII), (SOHU), and Sysco (SYY) will enter the earnings spotlight. To see what else is on this week's agenda, click here.


If you are not making money with options, you aren’t buying options like this…

There is no options strategy that more perfectly approaches trading the fastest moving and most volatile stocks available in the marketplace than this one. In fact, there is no strategy that better utilizes put options for optimal returns and a real trading edge over other traders in the exact same market. New options traders fail out at an incredible rate without proper trade research, execution timing, and option picking. Capitalize on Schaeffer’s 100+ years of options trading excellence with the most coveted product launch in company history. Don't waste another second... join us right now before the next round of trades are released!



Special Offers from Schaeffer's Trading Partners