Dow Jones Industrial Average Futures Slip With GE, Microsoft Stocks

Dow Jones Industrial Average (DJIA) futures are trading below fair value, pressured by negative earnings reactions for General Electric and Microsoft. While losses could be limited on a positive post-earnings session for Dow stock Visa, futures on the Nasdaq Composite (COMP) are also lower. A daily loss for the COMP would mark its first in 11 sessions, and would snap its longest winning streak in two years.

Traders are also keeping an eye trained on D.C., as the political climate heats up on news that special counsel Robert Mueller is widening his investigation to include President Donald Trump's finances. And while today's economic calendar is bare, Wall Street will be looking ahead to next week's Fed meeting, though the central bank isn't expected to announce a rate hike.
 
Continue reading for more on today's market, including:

• Call buying frenzy ensued as the VIX broke records.
• A quick refresher on the best stocks to own during Fed weeks.
• The best way to trade SPY options next week, courtesy of Bernie Schaeffer.
• Plus, Wall Street weighs in on embattled Chipotle; eBay's forecast disappoints; and a regulatory headache for Amazon.

1. The Chicago Board Options Exchange (CBOE) saw 1.01 million call contracts traded on Thursday, compared to 534,242 put contracts. The single-session equity put/call ratio fell to 0.53, and the 21-day moving average dropped to 0.61.
2. Chipotle Mexican Grill, Inc. (NYSE:CMG) saw its price target cut at Instinet and Canaccord Genuity, after a string of health and safety issues cropped up at several of the burrito chain's locations this week. CMG stock is staring at a 10% week-to-date loss heading into today's trading, and is slightly lower ahead of the bell.
3. eBay Inc (NASDAQ:EBAY) reported adjusted second-quarter of 45 cents per share on $2.33 billion in revenue -- roughly in line with what analysts were expecting. However, the e-tailer's downwardly revised current-quarter profit forecast has EBAY stock trading down 4% ahead of the bell.
4. Following last month's announcement that it would buy Whole Foods, Amazon.com, Inc. (NASDAQ:AMZN) is reportedly being investigated by the Federal Trade Commission (FTC) for its pricing practices, according to Reuters. AMZN stock is down 0.7% in electronic trading, but hit a record high of $1,034.97 yesterday. Separately, Amazon will report earnings after next Thursday's close.
5. Colgate-Palmolive (CL), Fifth Third Bancorp (FITB), Honeywell International (HON), and Schlumberger (SLB) make up the earnings slate, while next week's action will focus on FAANG stocks and the Fed.

Overseas Trading

Asian markets settled mostly lower today, pressured by headlines suggesting that the independent investigation into U.S. President Donald Trump has expanded in scope. A rising yen pressured Japan's Nikkei to a drop of 0.2%, while Hong Kong's Hang Seng snapped a nine-day win streak with its 0.1% decline. Elsewhere, China's Shanghai Composite gave up 0.2%, but South Korea's Kospi defied the downside bias to rise 0.3%.

Over in Europe, major equity benchmarks are cautiously lower as traders eye a surging euro following Thursday's policy decision from the European Central Bank (ECB). London's FTSE 100 is faring the best at midday with its modest 0.05% dip, as a 6% rally in takeover target Paysafe props up the index. France's CAC 40 has slipped 0.7% at last look, while the German DAX is down 0.9%.