Dow Jones Industrial Average Futures Higher; Retail in Focus

Dow Jones Industrial Average (DJIA) futures are pointed higher, as traders digest a slew of upbeat earnings reports from retailers, including Macy's Inc (NYSE:M) and Kohl's Corporation (NYSE:KSS). Stocks are also reacting to a drop in weekly jobless claims, which have been below the 300,000 level for 75 straight weeks, marking the lengthiest streak in more than 45 years. However, traders continue to eye oil prices; September-dated crude futures are currently down 0.4% at $41.55 per barrel, as excess U.S. stockpiles and ballooning output from Saudi Arabia spark worries of a global glut. 

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

• 3 advantages of pairs trading, courtesy of Schaeffer's Senior Equity Analyst Joe Bell, CMT.
• What sent this aerospace stock nosediving to its worst day in almost a year. 
• The biotech analysts think could more than double.
• Plus...Oil batters Europe, Valeant execs could be facing charges, and Alibaba jumps on earnings

Futures on the Dow Jones Industrial Average (DJIA) are 52 points above fair value.

5 Things You Need to Know Today
 

1. European stocks are down, due to sliding oil prices and downbeat housing data out of the U.K.. 
2. The Chicago Board Options Exchange (CBOE) saw 737,217 call contracts traded on Wednesday, compared to 458,047 put contracts. The resultant single-session equity put/call ratio rose to 0.62, while the 21-day moving average rose to 0.63.
3. Alibaba Group Holding Ltd (NYSE:BABA) is set to jump 5.1% out of the gate to a fresh annual high, after the Chinese e-commerce company reported an earnings beat this morning. Increased online sales traffic, as well as strong growth in its cloud business, helped boost BABA's fiscal first-quarter revenue 59% year-over-year. 
4. Valeant Pharmaceuticals Intl Inc (NYSE:VRX) is once again making headlines, amid reports from The Wall Street Journal that federal prosecutors have opened a criminal investigation to determine whether or not VRX defrauded its insurers by concealing ties to a specialty online pharmacy, Philidor Rx Services, to increase sales. The biotech stock is set to open down 7%.
5. In addition to reporting earnings that topped the consensus estimate, retailer Macy's Inc (NYSE:M) announced it will be closing 100 stores nationwide. M shares have jumped 10.6% in pre-market trading, but could run out of steam at this key technical level.

 

Earnings and Economic Data

Import and export prices will hit the Street today. Reporting earnings are Brinker International (EAT), Kohl's (KSS), Nordstrom (JWN), NVIDIA (NVDA), Royal Gold (RGLD), and Sunrun (RUN). To see what else is coming up on tomorrow's schedule, click here. 

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