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Dow Jones Industrial Average Futures Signal Extended Stock Rally

Will Stocks Heat Up After Memorial Day?

May 25, 2016 at 9:11 AM
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The Dow Jones Industrial Average (DJIA) is signaling a positive start this morning, with Dow futures trading well above fair value. Stocks are looking to build off Tuesday's breakout session, as ongoing strength in oil prices provide a lift. Specifically, July-dated crude futures were last seen 1.3% higher at $49.24 per barrel. Elsewhere, ahead of a fresh round of Fed speeches, St. Louis Fed President James Bullard tempered recent rate-hike jitters, saying that although the labor market is strong enough to warrant a move, "there's no reason to prejudge June."

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

U.S. Stock Futures May 25

Futures on the Dow Jones Industrial Average (DJIA) are 81 points above fair value. 

5 Things You Need to Know Today
 

  1. A big bailout for Greece is boosting European stocks. 
  2. The Chicago Board Options Exchange (CBOE) saw 712,838 call contracts traded on Tuesday, compared to 426,691 put contracts. The resultant single-session equity put/call ratio fell to 0.60, while the 21-day moving average held at 0.76.
  3. Luxury retailer Tiffany & Co. (NYSE:TIF) is pointed 3.6% lower in electronic trading, after the company said first-quarter revenue fell the most since mid-2009. The shares have been trending lower over the past year, and could struggle more if analysts begin throwing in the towel
  4. Tech stock Hewlett Packard Enterprise Co (NYSE:HPE) has been quiet since its post-earnings bull gap back in March, but the shares are set to rally this morning. Specifically, HPE is looking at a 14% pop out of the gate -- and could take aim at a new record high -- on news the company will spin off its technology services business segment and combine it with Computer Sciences Corporation (NYSE:CSC). CSC, meanwhile, is set to surge 31%.
  5. Sarepta Therapeutics Inc (NASDAQ:SRPT) is up 21% in pre-market trading, after the Food and Drug Administration (FDA) said it will not have a decision on the company's muscle-wasting disorder drug by the anticipated deadline. FDA speculation surrounding the drug has fueled major moves in the stock throughout the year, including last week's rally


Buzz Stocks May 25

Earnings and Economic Data

The regularly scheduled crude inventories report is due out today. Plus, Dallas Fed President Robert Kaplan will take part in a moderated question-and-answer session. Taking their turns in the earnings confessional are Costco Wholesale (COST), Express (EXPR), Guess? (GES), HP Inc (HPQ), Infoblox (BLOX), Lions Gate Entertainment (LGF), and NetApp (NTAP). To see what else is coming up on this week's schedule, click here

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