Dow Jones Industrial Average Futures Plummet After Presidential Election Shocker

Dow Set to Nosedive; Why Stocks Could Be In for a Bumpy Ride

Nov 9, 2016 at 9:10 AM
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Dow Jones Industrial Average (DJIA) futures are more than 200 points below fair value, pointing to a significant drop for stocks at the opening bell. Still, the loss is relatively minor considering Dow futures dropped more than 800 points overnight in the immediate wake of the U.S. presidential election results. Futures pared their losses after Hillary Clinton conceded to Donald Trump, who picked up more than the 270 electoral votes needed to secure the White House -- a shocker, considering polls had been showing growing confidence in a Clinton win, which, historically speaking, would have boded better for stocks. Traders are now flocking to the perceived safety of gold, with December futures up 2.4% at $1,305.30 an ounce.

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

Dow Futures November 9

Futures on the Dow Jones Industrial Average (DJIA) are nearly 230 points below fair value.

5 Things You Need to Know Today
  
  1. The Chicago Board Options Exchange (CBOE) saw 610,080 call contracts traded on Tuesday, compared to 422,844 put contracts. The resultant single-session equity put/call ratio edged up to 0.69, while the 21-day moving average sat put again at 0.69.
  2. Entertainment specialist Viacom, Inc. (NASDAQ:VIAB) is off 3.6% in electronic trading, after the company missed estimates for fiscal fourth-quarter revenue. VIAB also failed to reveal any details about a possible merger with CBS Corporation (NYSE:CBS)
  3. A third-quarter earnings miss has Tripadvisor Inc (NASDAQ:TRIP) plummeting more than 14% ahead of the open. The stock has already seen one bearish analyst note this morning, but the brokerage bunch was rather pessimistic heading into last night's results.
  4. Just one of several solar energy names taking a hit in the wake of Tuesday's election results, Vivint Solar Inc (NYSE:VSLR) is on pace to shed 14% at the open. The company last night reported a slimmer-than-expected per-share loss for its third quarter, but revenue missed the mark.
  5. Minneapolis Fed President Neel Kashkari and San Francisco Fed President John Williams are scheduled to speak, and the weekly crude inventory report is also on tap. Reporting earnings will be DISH Network (DISH), MannKind (MNKD), Mylan (MYL), Shake Shack (SHAK), SunPower (SPWR), TASER International (TASR), and Wendy's (WEN).

Buzz Stocks Nov 9

Overseas Trading

Asian markets took a nosedive as signs emerged that Donald Trump would be declared the winner of the U.S. presidential election -- and oil prices spiraled. Japan's Nikkei plunged 5.4%, as the yen strengthened against the dollar, and bank and automaker stocks fell. Hong Kong's Hang Seng ended the day 2.2% lower, and China's Shanghai Composite dropped 0.6% following a report that showed consumer prices rose at their fastest pace in six months in October. Meanwhile, South Korea's Kospi ended down 2.3%.

European benchmarks are also trading lower on Trump's victory, though many markets have pared their earlier losses amid a rally in healthcare stocks. London's FTSE is currently down 0.2%, Germany's DAX is down 0.7%, and the French CAC 40 has dipped 0.8%.

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