Dow Jones Industrial Average Futures Fall After GDP; Trump Speech in Focus

The 2 Riskiest Commodities Sectors

Feb 28, 2017 at 9:13 AM
facebook X logo linkedin

Dow Jones Industrial Average (DJIA) futures are trading below fair value, a day after the index recorded its 12th straight record-high close -- tying the longest streak ever. Stocks are reacting to this morning's latest estimate on fourth-quarter gross domestic product (GDP), which held at 1.9%, despite an upward revision to consumer spending. Plus, the Chicago purchasing managers index (PMI) and the Conference Board's consumer confidence survey come out today, on top of speeches from a number of regional Fed presidents. The day's main highlight, though, is scheduled for after the close, when President Donald Trump addresses Congress for the first time. However, even if the Dow's historic run comes to an end, the index is on pace for a healthy monthly gain of 4.9%.

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

  • Schaeffer's Senior V.P. of Research Todd Salamone on the 2 riskiest commodities sectors
  • 2 energy stocks due for a bounce. 
  • How BlackBerry Ltd's (NASDAQ:BBRY) new phone fell flat. 
  • Plus, Target's earnings miss, Valeant falls again, and Endo dips ahead of the S&P axe. 

stock futures today

Futures on the Dow Jones Industrial Average (DJIA) are 12.4 points below fair value. 

5 Things You Need to Know Today
  1. The Chicago Board Options Exchange (CBOE) saw 774,156 call contracts traded on Monday, compared to 484,472 put contracts. The resultant single-session equity put/call ratio fell to 0.63, while the 21-day moving average stayed at 0.65.
  2. Target Corporation (NYSE:TGT) is set to sell off this morning, down 13% in pre-market trading. The company missed the Street's fourth-quarter earnings and revenue forecasts, and gave a weak full-year outlook. The drop would put the shares at a more than two-year low, all the while crushing the hopes of put sellers
  3. Lacklaster quarterly results are also pressuring Valeant Pharmaceuticals Intl Inc (NYSE:VRX), with the drugmaker dropping 5% in electronic trading. The company's fourth-quarter earnings beat was overshadowed by a 13% decline in revenue. As such, VRX shares' recent hot streak looks ready to cool. 
  4. Fellow pharmaceutical stock Endo International plc (NASDAQ:ENDP) is edging lower ahead of the open, as well, even though the company posted better-than-expected quarterly results. Of course, even if the shares struggle today, they could be in store for a short-term boost after leaving the S&P 500 Index (SPX) on Thursday. 
  5. Kansas City Fed President Esther George, San Francisco Fed President John Williams, and St. Louis Fed President James Bullard will speak today, while Domino's (DPZ), Etsy (ETSY), Halozyme Therapeutics (HALO), and Palo Alto Networks (PANW) are some of the companies reporting earnings

Buzz Stocks Feb 28

Overseas Trading

It was a mostly positive finish for markets in Asia, with traders awaiting details from Trump's speech before Congress and digesting hawkish comments from Dallas Fed President Robert Kaplan. Japan's Nikkei ended 0.06% higher amid mixed economic data, which showed retail sales increasing for a third consecutive month, but industrial production dropping for the first time in six months. China's Shanghai Composite and South Korea's Kospi also managed gains, adding 0.4% and 0.3%, respectively. Hong Kong's Hang Seng bucked the trend higher, though, dropping 0.8%.

Stocks in Europe are mixed, as investors parse the latest round of corporate earnings. In the U.K., engineering firm Meggitt is leading the gainers, up 14% after posting a revenue increase for 2016. This is helping boost fellow defense stocks throughout the region, which are also higher after Trump promised a "historic increase" in military spending. At last check, London's FTSE 100 is up 0.03%, while France's CAC 40 is down 0.1% as a disappointing consumer price index overshadows a rise in consumer spending. Germany's DAX was last seen 0.3% lower.

Stay on top of breaking stock market news with Schaeffer's Midday Market Check.


Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI