FAANG stocks and TSLA shares are rebounding, too
It's set to be another volatile day of trading on Wall Street, with futures on the Dow Jones Industrial Average (DJI) signaling a triple-digit start. Futures on the S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) are also in the green, with the former looking to reclaim a key technical level. While the tech sector will remain in focus -- and with FAANG stocks up in pre-market trading -- music-streaming service Spotify's public trading debut will likely grab some of the attention, too. Traders will be watching automakers, as well, with monthly vehicle sales data due throughout the day. Embattled electric car stock Tesla (TSLA) is higher ahead of the bell, ahead of this week's release of first-quarter Model 3 production numbers.
Continue reading for more on today's market, including:
- Schaeffer's Senior V.P. of Research Todd Salamone highlights 2 sentiment extremes we're watching this week.
- Citron Research: This retail stock will be cut in half.
- This Chinese stock has pulled back to a historically bullish trendline.
- Plus, a busted blockchain stock; a big media merger may be in the works; and GameStop takes another hit.
5 Things You Need to Know Today
- The Chicago Board Options Exchange (CBOE) saw 764,054 call contracts traded on Monday -- the fewest since Feb. 13 -- compared to 588,316 put contracts. The single-session equity put/call ratio jumped to 0.77, and the 21-day moving average stayed at 0.64.
- It's been a volatile run for shares of Longfin Corp (NASDAQ:LFIN), which plunged 75.7% last week after a scathing Citron tweet. This morning, the equity is down 20% in electronic trading, after the blockchain technology company said it was being investigated by the Securities and Exchange Commission (SEC) for possible fraud. LFIN stock is set to open at its lowest level since mid-December.
- Reuters is reporting a possible merger between media giants CBS Corporation (NYSE:CBS) and Viacom, Inc. (NASDAQ:VIAB), with the former expected to make an all-stock bid for the latter. The offer is rumored to be below VIAB's current valuation, sending its shares down 5% ahead of the bell. CBS stock, meanwhile, is up 2.2% in premarket trading.
- Loop Capital downgraded GameStop Corp. (NYSE:GME) to "hold" from "buy," and slashed its price target by $12 to $14, citing a lack of positive catalysts for the video game retailer. This follows last week's earnings-induced bear gap that sent GME stock tumbling to a 12-year low. Today, the shares are set to open down 1.3%, after closing last night at $12.82.
- Minneapolis Fed President Neel Kashkari will take the stage as the opening bell rings. Dave & Buster's (PLAY) and Finish Line (FINL) are slated to report earnings.
Energy Shares Pressure Asia Stocks
Stocks in Asia were lower today, led by weakness in oil stocks and tech names like Fanuc, which fell 2.6% by the close. South Korea's Kospi finished 0.07% lower, as the energy sector decline offset gains for automakers. China's Shanghai Composite gave back 0.9%, while Hong Kong's Hang Seng bucked the regional trend and finished 0.3% higher.
Markets in Europe are also lower at midday, after the IHS Markit purchasing managers index (PMI) for the eurozone was confirmed at 56.6 for March, solidifying the metric's biggest monthly downturn since June 2011. Meanwhile, Apple suppliers are falling on reports the tech giant will produce its own chips. At last check, the German DAX is 0.8% lower. The French CAC 40 is nursing a 0.5% loss, with airline giant Air France-KLM down 4.7% amid a worker strike. Lastly, London's FTSE 100 is off 0.1%.