Dow Jones Industrial Average Futures Fall Despite Microsoft, McDonald's

Dow Jones Industrial Average (DJIA) futures are trading below fair value ahead of another huge day of earnings. Riding high ahead of the open are Dow stocks Microsoft Corporation (NASDAQ:MSFT) and McDonald's Corporation (NYSE:MCD), thanks to upbeat quarterly reports, while General Electric Company (NYSE:GE) is sitting in the red post-earnings. Earnings should stay in focus, too, with no noteworthy economic reports on the schedule. However, traders will also be paying close attention to the dollar, as the greenback just hit a seven-month high against a basket of currencies in light of yesterday's European Central Bank (ECB) decision. 

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

• The semiconductor stock with the "attributes of a good takeover target." 
• A carefully crafted bullish bet on Groupon Inc (NASDAQ:GRPN).
• Analysts: 2 stocks that could enjoy Tesla Motors Inc (NASDAQ:TSLA) tailwinds.
• Plus... Natural disasters overseas, MSFT aims for all-time highs, and the shoe stock set to slump. 

Futures on the Dow Jones Industrial Average (DJIA) are 28.4 points below fair value. 

5 Things You Need to Know Today
  

1. An earthquake injured at least seven in Japan, while Hong Kong markets shuttered in preparation for Typhoon Haima. 
2. The Chicago Board Options Exchange (CBOE) saw 978,152 call contracts traded on Thursday, compared to 513,764 put contracts. The resultant single-session equity put/call ratio dropped to a more than two-week low of 0.53, while the 21-day moving average edged down to 0.65.
3. MSFT is up 5.6% ahead of the opening bell, after reporting stronger-than-expected third-quarter earnings, thanks to continued growth from its cloud business. The move would put the shares into all-time-high territory, and past the $60 level put writers were targeting ahead of earnings. 
4. Moving the opposite direction in pre-market action is GE, after the company lowered its full-year revenue outlook. At $29.07, the shares were already sitting below breakeven year-to-date, and today's potential losses would mark a major disappointment to Goldman Sachs in particular. 
5. Skechers USA Inc (NYSE:SKX) is bracing for a 16% drop out of the gate, after the shoe concern reported weaker-than-expected quarterly sales. In addition, the company offered lackluster current-quarter guidance, citing lower domestic demand for its products -- a trend predicted by Morgan Stanley.

Earnings and Economic Data

There are no notable economic reports scheduled for today. However, Honeywell International (HON) will hit the earnings confessional. To take a look at next week's earnings calendar -- which features reports from Apple Inc. (NASDAQ:AAPL) and Alphabet Inc (NASDAQ:GOOGL) -- click here. 

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