Dow Jones Industrial Average Futures Rise as Tech Sector Signals Rebound

The SPY Warning Sign We're Watching

Jun 13, 2017 at 9:01 AM
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Dow Jones Industrial Average (DJIA) futures are trading above fair value this morning, as the stock market tries to bounce back from a two-day slump. Specifically, a number of tech stocks -- including Apple Inc. (NASDAQ:AAPL) -- are pointed higher ahead of the open, boding well for the Nasdaq Composite (COMP). Outside of tech, investors will be watching the testimony of Attorney General Jeff Sessions, and preparing for the start of the Fed's two-day meeting, largely expected to end with an interest-rate hike tomorrow afternoon. As for economic data, the producer price index (PPI) was flat in May, while small business optimism was also unchanged for the period. 

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


  • The SPY pattern that could be a warning sign, according to Schaeffer's Senior V.P. of Research Todd Salamone.
  • How QQQ options traders played tech's rough day.
  • 2 Apple suppliers trading near key Fibonacci levels.
  • Plus, a rallying display stock; JNJ stock gets a lift; and more bull notes for Tesla. 

stock futures today


5 Things You Need to Know Today
  
  1. The Chicago Board Options Exchange (CBOE) saw 983,309 call contracts traded on Monday, compared to 667,330 put contracts. The single-session equity put/call ratio moved down to 0.68, and the 21-day moving average remained at 0.61.
  2. Shares of touch and display specialist Synaptics, Incorporated (NASDAQ:SYNA) are pointed 6.8% higher ahead of the open, thanks to a pair of acquisitions. Specifically, the company announced it's buying audio software firm Conexant for $300 million in cash and stock, as well as Marvell Technology's 's multimedia solutions business for $95 million in cash. SYNA stock closed at $58.79 yesterday, up 9.7% year-to-date. 
  3. Johnson & Johnson (NYSE:JNJ) could hit fresh highs today, thanks to mostly promising results from its diabetes drug, Invokana, in two big studies. JNJ stock has been hot in 2017, adding 14.4% to trade at $131.82, including a record high of $132.04 yesterday. 
  4. Berenberg upgraded Tesla Inc (NASDAQ:TSLA) to "buy" from "hold," and set a $464 price target -- in record-high territory. Further, Tesla shareholder Ron Baron predicted the stock will trade near $1,000 in 2020. TSLA stock is pointed 2.6% higher in electronic trading, after closing yesterday at $359.01. The shares touched a record high of $376.87 on June 9. 
  5. Traders will be eyeing the start of the Fed meeting today. H & R Block (HRB) will report earnings.

Buzz Stocks June 13

Overseas Trading

It was a mixed session for stocks in Asia, as investors prepared for the central bank meeting in the U.S. A number of tech stocks in South Korea posted big gains, bouncing back from Monday's steep sell-off, helping the Kospi pick up 0.7%. Chinese stocks also recovered in a light trading session. Specifically, the Shanghai Composite closed up 0.5% and Hong Kong's Hang Seng added 0.6%. However, after oscillating between positive and negative territory, Japan's Nikkei settled down 0.1%.

European stocks are mostly higher at midday, though London's FTSE 100 is underperforming. Specifically, the index was last seen 0.1% lower, with traders digesting a four-year high for U.K. inflation in May. Elsewhere, British Prime Minister Theresa May is set to meet with Democratic Unionist Party members today. Rounding out the region, Germany's DAX is up 0.5%, and France's CAC 40 has added 0.4%. 

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