Dow Jones Industrial Average Eyes a Bounceback Session

2 Auto Stocks About to Break Out? Plus, Tesla's 'Master Plan' Bombs

Jul 22, 2016 at 9:16 AM
facebook X logo linkedin

Dow Jones Industrial Average (DJIA) futures are sitting modestly above fair value -- just a day after the index snapped its nine-day win streak -- on pace for a fourth straight weekly win, as stocks react to the latest raft of earnings. Among Dow stocks, Visa Inc (NYSE:V) is slightly higher pre-market after the firm announced an earnings beat and a $5 billion stock buyback plan, while General Electric Company (NYSE:GE) is 2.4% lower after the blue chip's warning about the "volatile and slow growth economy" and a 2% slip in orders. Stocks could move on data later this morning, too, with Markit's flash purchasing managers manufacturing index (PMI) due out. 

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

dow futures july 22

Futures on the Dow Jones Industrial Average (DJIA) are nearly 19 points above fair value.

5 Things You Need to Know Today

  1. Japanese stocks dove despite the launch of Pokemon Go, pressured by a stronger yen and falling oil prices.
  2. The Chicago Board Options Exchange (CBOE) saw 834,207 call contracts traded on Thursday, compared to 506,596 put contracts. The resultant single-session equity put/call ratio jumped to 0.61, while the 21-day moving average dipped to 0.64.
  3. After getting hit with sector headwinds yesterday, American Airlines Group Inc (NASDAQ:AAL) delivered adjusted per-share earnings and revenue that topped the Street's consensus estimate. However, the airline's net profit plunged 44% year-over-year due to a huge income tax provision, while consolidated passenger revenue per available seat mile (PRASM) fell 6.3%.
  4. Starbucks Corporation (NASDAQ:SBUX) is bracing for another negative earnings reaction, pointed 2.5% lower pre-market, after the coffee concern reported disappointing same-store sales growth. Making matters worse, no fewer than seven analysts have responded with price-target cuts.
  5. More bad news for Chipotle Mexican Grill, Inc. (NYSE:CMG) -- the restaurant operator's quarterly earnings and sales came up short of Wall Street's consensus view, while comparable-store sales fell a wider-than-forecast 23.6% amid lingering food-safety concerns. At least three brokerage firms have responded by reducing their price targets, pressuring CMG 3% lower pre-market.

Buzz Stocks July 22

Earnings and Economic Data

The week will wrap up with Markit's flash PMI. Reports from Honeywell (HON), Stanley Black & Decker (SWK), VF Corp (VFC), and Whirlpool (WHR) will round out the week's earnings calendar. To see what is on next week's schedule, click here

Don't miss the market's next move! Sign up now for Schaeffer's Midday Market Check


How to collect 1 dividend check every day for LIFE

Did you know you could collect 1 dividend check every day the market is open? You could also do it starting with just $605! For me, I'm collecting 70 dividend checks every quarter…which averages around 1.1 dividend checks every business day. There's no trading behind this... no penny stocks or high-risk investments. All you do is buy and hold and you're set. There's no set up required either. If you start buying the dividend stocks I show you today... you could collect 1 dividend per day starting as early as this week. Click here for all the details.