Stock Futures Signal Positive Open as Second Quarter Wraps Up

Bank stocks are in focus after the second round of Fed stress tests

Jun 29, 2018 at 9:20 AM
facebook twitter linkedin

Futures on the Dow Jones Industrial Average (DJI) are signaling a higher open, with bank stocks catching a lift after most big lenders -- including Wells Fargo (WFC) and Citigroup (C) -- passed the second round of the Fed's annual stress tests. Traders are also cheering solid overnight gains in Asia, as well as a strong start to the session in Europe.

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

  • Red-hot XLU flashes a rare bullish signal.
  • 4 stocks crushed by Amazon.
  • 50 stocks to watch for the third quarter.
  • Plus, Nike gets showered with post-earnings price-target hikes; Walgreens stock gets slammed by analysts; and KB Home stock soars on earnings beat.

us stock futures today june 29

5 Things You Need to Know Today

  1. The Chicago Board Options Exchange (CBOE) saw 784,221 call contracts traded on Thursday, compared to 506,913 put contracts -- the lowest daily call and put volume recorded since May 23. The single-session equity put/call ratio fell to 0.65, while the 21-day moving average rose to 0.57.
  2. Following the company's fiscal fourth-quarter earnings and revenue beat, as well as its $15 billion buyback program announcement, Nike Inc (NYSE:NKE) has landed no fewer than 12 price-target hikes. NKE is up more than 10% in electronic trading, and on track to open at new record highs near $80 per share.
  3. Newly christened Dow component Walgreens Boots Alliance Inc (NASDAQ:WBA) has been slammed with two downgrades and four price-target cuts just one day Amazon announced its PillPack acquisition. Notably, Jefferies downgraded WBA to "hold" from "buy" and slashed its price target to $65, while Baird cut the stock to "neutral" from "outperform" and dropped its price target to $64. WBA has shed 23.7% over the past 52 weeks, but is fractionally higher in pre-market action after yesterday's big bear gap.
  4. KB Home (NYSE:KBH) is up 9.4% in pre-market trading after the builder reported a fiscal second-quarter earnings and revenue beat last night. Credit Suisse slashed its price target on KBH to $29 from $32, while Wedbush hiked its price target to $33 from $29. It's been a rough year for KBH shares, as the stock has shed 34% since its early January peak -- but today's pre-market rally has the equity on track to challenge recent resistance at its 200-day moving average.
  5. Core inflation data, personal income and spending stats, the Chicago purchasing managers index (PMI), the University of Michigan consumer sentiment index, and the Baker-Hughes weekly rig count will hit today. Constellation Brands (STZ) will report earnings. Looking ahead, jobs data will headline the holiday-shortened week.

stocks in the news today june 29

China's Shanghai Composite Snaps Losing Streak

Asian stocks ended the second quarter on a strong note. Chinese stocks especially saw strong price action after the country cut back on restrictions for foreign investments, helping the Shanghai Composite jump 2.2% to snap its four-day losing streak. Hong Kong's Hang Seng followed suit, adding 1.6%. In Japan, the Nikkei settled up 0.2% following the latest round of economic data. The unemployment rate for the country fell to the lowest levels in a quarter century, while industrial output for May fell less than expected. Rounding out the region, South Korea’s Kospi picked up 0.5%.

European stock markets are tracking their Asian counterparts, after European Union leaders struck a deal on migration. London's FTSE 100 is up 0.8% today, putting it on pace for its best quarter in almost eight years. Traders there are reacting to an upwardly revised report on first-quarter U.K. economic growth, which has the pound pushing higher. Elsewhere, France’s CAC 40 is up 1.3% at last check, while Germany’s DAX is 1.4% higher.


Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 



Special Offers from Schaeffer's Trading Partners