DJIA futures are selling off dramatically after the U.K. voted to leave the European Union (EU)
Dow Jones Industrial Average (DJIA) futures are sliding sharply, sitting more than 400 points below fair value, after the U.K. voted to leave the European Union (EU) in yesterday's
historic "Brexit" referendum. British Prime Minister David Cameron announced his resignation following
the surprise, which has wrought turmoil in global markets,
as predicted by Fed Chair Janet Yellen. Amid the chaos, Scottish First Minister Nicola Sturgeon said it is "highly likely" Scotland will vote again to leave the U.K. after being taken out of the EU against its will.
Stateside, financial stocks are being particularly hard hit in electronic trading, while oil prices are plunging. At last check, August-dated crude futures are down 4.5% at $47.88 per barrel. On the other hand, gold is soaring as traders abandon stocks in favor of safe-haven investments, while 10-year U.S. Treasury yields hit a nearly four-year low.
Continue reading for more on today's market, including:
- Could this epic "unicorn" IPO be a sign of good things to come?
- A C-suite shake-up sent traders pouring into this retailer's options pits.
- Why Barrick Gold Corporation (USA) (NYSE:ABX) could have room to run.
- Plus... Global stocks sink, Goldman's CEO unshaken by "Brexit," and the shoe retailer set to soar.
Futures on the Dow Jones Industrial Average (DJIA) are roughly 485 points below fair value.
5 Things You Need to Know Today
- In the wake of the "Brexit" results, Japanese markets had their worst day in over five years, while stocks across Europe are sliding.
- The Chicago Board Options Exchange (CBOE) saw 615,854 call contracts traded on Thursday, compared to 376,271 put contracts. The resultant single-session equity put/call ratio dove to 0.61, while the 21-day moving average held steady at 0.65.
- Blue chip Goldman Sachs Group Inc (NYSE:GS) is down 6.6% pre-market following the historic "Brexit" decision, but CEO Lloyd Blankfein struck a note of confidence. A major contributor to the "remain" campaign, Blankfein nonetheless expressed faith in the financial firm's preparedness, remarking, "Goldman Sachs has a long history of adapting to change."
- Finish Line Inc (NASDAQ:FINL) has soared 5.4% ahead of the open, after the footwear retailer reported better-than-expected earnings and sales. Same-store sales increased 1.5% on the quarter, and are expected to rise 3%-5% in fiscal 2017.
- QUALCOMM, Inc. (NASDAQ:QCOM) is suing Chinese smartphone maker Meizu Technology for patent infringement, marking the chipmaker's first legal action since reaching a 2015 antitrust settlement with China's National Development & Reform Commission. Ahead of the bell, QCOM is down 3.8%, which should come as a boon to option bears.
Earnings and Economic Data
The week wraps up with durable goods orders, as well as the Thomson Reuters/University of Michigan consumer sentiment survey. No notable earnings are on the docket. To see what is coming up on next week's schedule, click here.
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