Dow Jones Industrial Average Futures Signal Triple-Digit Drop

Why the SPY Could Be Ready to Run

Apr 5, 2016 at 9:06 AM
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​Dow Jones Industrial Average ​(DJIA) futures are more than 100 points below fair value, amid a slide in stocks globally and weak oil prices. At last check, May-dated crude futures were down 0.7% at $35.46 per barrel after slumping 3% on Monday. Wall Street is also digesting a wider-than-expected international trade deficit, and comments from Chicago Fed President Charles Evans -- who said "financial market expectations are more pessimistic than" the central bank's, and reiterated expectations of two more rate hikes in 2016.

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

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Futures on the Dow Jones Industrial Average (DJIA) are 121 points below fair value.

5 Things You Need to Know Today

 

  1. China bucked the Asian stock trend lower, while a warning from International Monetary Fund (IMF) Managing Director Christine Lagarde has European markets reeling.
  2. The Chicago Board Options Exchange (CBOE) saw 604,114 call contracts traded on Monday, compared to 392,893 put contracts. The resultant single-session equity put/call ratio rose to 0.65, while the 21-day moving average remained at 0.70.
  3. The U.S. Treasury published new rules to curb corporate inversions, putting at risk a merger between Pfizer Inc. (NYSE:PFE) and Allergan plc Ordinary Shares (NYSE:AGN). PFE has risen 2.8% pre-market on the news, while AGN is down more than 19%.
  4. Entertainment giant Walt Disney Co (NYSE:DIS) will be forced to expand its search for a new CEO, after Tom Staggs -- the heir apparent to outgoing CEO Bob Iger -- unexpectedly announced he is stepping down from his role as chief operating officer.
  5. A recent round of option bulls are happy to see Twitter Inc (NYSE:TWTR) up nearly 2% ahead of the bell, after the social media firm reportedly won the rights to stream Thursday night NFL games online.


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Earnings and Economic Data

The economic calendar picks up with the Labor Department's Job Openings and Labor Turnover Survey (JOLTS), and the Institute for Supply Management's (ISM) non-manufacturing index. To see what else is coming up on this week's schedule, click here

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