Dow Jones Industrial Average Futures Inch Higher With Fed on Horizon

The S&P Signal Suggesting Stocks Have Room to Run

Mar 13, 2017 at 9:02 AM
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After snapping a four-week win streakDow Jones Industrial Average (DJIA) futures are slightly higher ahead of the open, despite Dow stock Intel Corporation (NASDAQ:INTC) headed lower on M&A news. The economic calendar for today is bare, and earnings relatively light, giving traders little to do but wait for the expected interest rate hike to come to fruition after this week's two-day Federal Open Market Committee (FOMC) meeting, which will wrap up on Wednesday. Meanwhile, stocks are shaking off a continued dip in oil prices, with April-dated crude futures down 0.5% at $48.27 per barrel -- a more than three-month low.

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

  • The S&P 500 signal suggesting stocks have room to run. 
  • Is it finally time to give Chipotle Mexican Grill, Inc. (NYSE:CMG) stock a chance?
  • The retail stock tapping all-time highs.
  • Plus, Mobileye breaks out, Yahoo! names Mayer's successor, and Ford plans to expand production abroad. 

Dow Futures March 13

Futures on the Dow Jones Industrial Average (DJIA) are 8 points above fair value.

5 Things You Need to Know Today
  
  1. The Chicago Board Options Exchange (CBOE) saw 903,793 call contracts traded on Friday, compared to 511,666 put contracts. The resultant single-session equity put/call ratio slid to 0.57, while the 21-day moving average edged lower to 0.61.
  2. Shares of Mobileye NV (NYSE:MBLY) are soaring more than 31% in electronic trading, on news INTC will purchase the self-driving tech firm for $15.3 billion, or $63.54 per share -- not far from record-high territory for MBLY. The jump could help the stock open at fresh annual highs, which is likely to please a recent batch of bold option bulls.
  3. Internet stock Yahoo! Inc. (NASDAQ:YHOO) is 0.3% higher ahead of the bell, after announcing board member Thomas McInerney will take over as CEO of Altaba once Verizon Communications Inc. (NYSE:VZ) completes its acquisition. Meanwhile, Marissa Mayer will remain in her position until the deal closes. 
  4. Carmaker Ford Motor Company (NYSE:F) announced its Lincoln luxury unit will being producing SUVs in China by late 2019, as the brand's imports to the country nearly tripled in the last year. Shares of F were last seen unchanged, but the underloved stock still looks unusually appealing for call buyers.
  5. Today's economic calendar is bare, but Del Taco (TACO), Inovio (INO), and Tilly's (TLYS) are among the companies scheduled to report earnings.

Buzz Stocks March 13

Overseas Trading

Asian equities had a solid start to the week, with traders digesting last Friday's jobs data out of the U.S. ahead of this week's Fed meeting. Starting in China, the Shanghai Composite managed to climb 0.8%, and Hong Kong's Hang Seng rose 1.1%. Japan's Nikkei also gained, ending up 0.2%, with stocks aided by a weaker yen. In South Korea, investors continued to consider the fallout surrounding President Park Geun-hye's impeachment, though the Kospi still finished 1% higher.

Stocks in Europe are also on the rise at midday, despite ongoing weakness in oil prices and reports the U.K. could formally begin the "Brexit" process in the coming days. Broad gains in mining shares and a bevy of M&A activity are helping boost the major indexes, while financial giant HSBC Holdings is rallying after naming a new chairman. Leading the way was London's FTSE 100, up 0.3%, followed by France's CAC 40, which has so far added 0.2%. In Germany, the DAX is up 0.1%. 

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