Dow Futures Jump After Boeing Earnings Beat

ADP's private payrolls data came in stronger than expected

Jan 31, 2018 at 9:13 AM
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After two days of heavy selling, a big earnings beat for Boeing (BA) has Dow futures trading more than 200 points above fair value this morning. Adding to the positive momentum, ADP data showed private employers added a stronger-than-expected 234,000 jobs in December. Traders are also looking ahead to a 2 p.m. policy announcement from the Fed. No changes are expected in Janet Yellen's last meeting as the head of the central bank, though the statement could expand on a possible March rate hike.

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

  • What gold prices are saying about the Dow rally, according to Schaeffer's Senior Quantitative Analyst Rocky White.
  • 2 reasons to buy ATVI stock this week.
  • Citigroup thinks Intel is headed toward levels not seen since the dot-com bubble.
  • Plus, EA stock set for record highs; AMD earnings get a cryptocurrency boost; and Anthem bounces back.

us stock futures jan 31

5 Things You Need to Know Today

  1. The Chicago Board Options Exchange (CBOE) saw 1.02 million call contracts traded on Tuesday, compared to 620,521 put contracts. The single-session equity put/call ratio jumped to 0.61, while the 21-day moving average rose to 0.55.
  2. Electronic Arts Inc. (NASDAQ:EA) reported lower-than-expected fiscal third-quarter adjusted revenue of $1.97, citing disappointing sales of its "Star Wars: Battlefront II" game. However, the company boosted its current-quarter guidance, earning the stock a round price-target hikes. EA options bulls could profit today, with the shares set to jump 7.3% out of the gate to a new record high.
  3. Rising demand for graphics chips from cryptocurrency miners helped Advanced Micro Devices, Inc. (NASDAQ:AMD) turn in stronger-than-forecast fourth-quarter profit and revenue. Credit Suisse chimed in by raising its AMD price target to $13.50 from $12, and the shares are now trading 3% higher ahead of the bell -- which could squeeze shorts.
  4. Anthem Inc (NYSE:ANTM) reported a fourth-quarter adjusted profit of $1.29 per share on $22.45 billion in revenue -- more than analysts were expecting. The health insurer also gave an upbeat 2018 profit forecast and boosted its quarterly dividend. ANTM stock is up 1.5% in electronic trading, on track to recover from Tuesday's sector-wide slump in healthcare stocks.
  5. The Chicago purchasing managers index (PMI) will be released, along with data on existing home sales and the weekly crude inventories update. AT&T (T), Microsoft (MSFT), Facebook (FB), PayPal (PYPL), Qualcomm (QCOM), and U.S. Steel (X) will report earnings.

premarket stock movers jan 31

Asian Stocks Fall After Trump's State of the Union Speech

Stocks throughout Asia mostly closed lower, with investors taking cues from President Donald Trump's State of the Union speech. Hong Kong's Hang Seng managed to outperform, snagging a 0.9% win, but that was about it for positive finishes for the major indexes in the region. In China, the Shanghai Composite dipped 0.2% after the manufacturing PMI for January missed estimates, though a number of blue chips stabilized in the session. The scene was even worse in Japan, where the Nikkei fell 0.8%. South Korea’s Kospi also struggled, closing down 0.1%.

In Europe, trading has been mixed thus far. Traders are digesting the latest corporate earnings reports, as well as inflation data out of the eurozone, which remained below the European Central Bank’s (ECB) targets. Among the names making the biggest moves are appliance maker Electrolux and telecom equipment giant Ericsson, with the former storming higher after earnings while the latter slides. At last check, London's FTSE 100 was down 0.1%, the German DAX was up 0.2%, and the French CAC 40 was up 0.3%.


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