Fed Caution Weighs On Dow Jones Industrial Average Futures

Is This the Calm Before the Volatility Storm?

Aug 25, 2016 at 9:18 AM
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Dow Jones Industrial Average (DJIA) futures are poised to slip this morning, as traders digest new economic data and exercise caution ahead of Fed Chair Janet Yellen's Friday speech in Jackson Hole, Wyoming. Specifically, jobless claims fell for the third week in a row, and durable goods orders rose by more than expected in July. Meanwhile, gold is extending its slide, after touching a one-month low yesterday, and oil continues to weigh on stocks, with October-dated crude futures down 0.3% at $46.64 per barrel.

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

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Futures on the Dow Jones Industrial Average (DJIA) are about 25 points below fair value.

5 Things You Need to Know Today
 

  1. European stocks are down, with comments from Hillary Clinton weighing on global healthcare stocks.
  2. The Chicago Board Options Exchange (CBOE) saw 751,994 call contracts traded on Wednesday, compared to 509,852 put contracts. The resultant single-session equity put/call ratio rose to 0.68, while the 21-day moving average remained at 0.61.
  3. Guess?, Inc. (NYSE:GES) is trading 17.1% higher in pre-market -- set for its biggest intraday gain in more than a year -- after reporting stronger-than-expected second-quarter sales. The apparel concern also offered well-received fiscal 2017 guidance, and today's anticipated surge should be a boon to recent options buyers.
  4. HP Inc (NYSE:HPQ) is down 6% ahead of the open, as a dreary current-quarter profit forecast overshadows a per-share earnings beat. Analysts have been quick to weigh in on the tech stock, and while many have lifted their price targets, Maxim downgraded the shares to "hold" from "buy" and cut its price target by $2 to $15.
  5. Mylan NV (NASDAQ:MYL) is set to open up 3.7%, after the biotech announced it would be expanding access to its discount programs for uninsured and under-insured patients needing access to EpiPens, an allergic-reaction medication and delivery system. The biotech recently came under fire for alleged price gouging, and yesterday plummeted to a near two-month low after Democratic presidential candidate Hillary Clinton weighed in.

Buzz Stocks August 25

Earnings and Economic Data

Major companies set to report earnings include Autodesk (ADSK), Dollar General (DG)Dollar Tree (DLTR)GameStop (GME)JinkoSolar (JKS), Medtronic (MDT), Signet Jewelers (SIG)Splunk (SPLK)Tiffany & Co. (TIF), and Ulta Salon (ULTA). To see what else is coming up on this week's schedule, click here

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