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Stock Futures Pivot Lower After Jobs Data

Job growth missed estimates, but the unemployment rate dropped to 3.9%

Managing Editor
Aug 3, 2018 at 9:16 AM
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U.S. stock futures are trading just below fair value this morning, as investors digest July's nonfarm payrolls report. The U.S. economy added 157,000 jobs in July, lower than the 194,000 estimate, and year-over-year wage growth remained at 2.7%. The unemployment rate fell to 3.9% from 4%. Dow Jones Industrial Average (DJI) futures are inching lower in response, and Wall Street is also watching trade tensions with China, after the country threatened $60 billion in retaliatory tariffs against the U.S. S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) futures are stagnant as well, as the latter looks poised for a breather in the wake of Apple's (AAPL) historic milestone

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

  • The Fortnite stock up more than 1,600% this year.
  • This options strategy is great for nervous shareholders.
  • How Schaeffer's subscribers scored a 100% profit on Goldman Sachs in four days.
  • Plus, Take-Two stock soaring on a revenue beat; Symantec issues weak guidance; and Biogen announces a new share buyback program.

Stock Futures Chart Aug 3

5 Things You Need to Know Today

  1. The Chicago Board Options Exchange (CBOE) saw 1.23 million call contracts traded on Thursday, compared to 709,735 put contracts. The single-session equity put/call ratio fell to 0.58, while the 21-day moving average remained at 0.63.
  2. Take-Two Interactive Software, Inc. (NASDAQ:TTWO) stock is up 12.8% in electronic trading, after the video game maker reported quarterly revenue that exceeded expectations, thanks to strong sales from the company's "NBA 2K18" and "Grand Theft Auto" franchises. Take-Two also hiked its fiscal-year revenue outlook. In response, at least four brokerages have issued price-target hikes, including to $150 from $132 at Wedbush. TTWO stock could come within striking distance of its Feb. 1 high of $129.25, if today's gains hold.
  3. On the other hand, Symantec Corporation (NASDAQ:SYMC) stock is down 13.4% ahead of the bell, after the cybersecurity firm issued current-quarter guidance that fell short of expectations. The company also announced a workforce reduction of 8%. A flurry of bear notes have ensued, including a price-target cut to $18 from $21 at Cowen. SYMC shares are on track to open at a two-year low, and had shed 25% in 2018 prior to today, gapping lower in May after the firm revealed an internal audit
  4. Shares of Biogen Inc (NASDAQ:BIIB) are up 1.3% in electronic trading, after the biotech announced a $3.5 billion share repurchase program. Biogen stock raced to a two-year high of $388.67 on July 25, thanks to an upbeat earnings report, but since then has pulled back to its 30-day moving average. Overall, BIIB has added 20% in the last 12 months. 
  5. Wall Street will also get the latest international trade data, the ISM non-manufacturing index, and the Baker-Hughes rig count today. Berkshire Hathaway (BRK.A), Kraft Heinz (KHC), and Noble Energy (NBL) will report earnings.
  6.  

stock market news august 3

Stocks in Europe Boosted By Tech

Stocks in Asia finished the day mixed, as trade tensions continued to weigh on investor sentiment. Japan's Nikkei eked out a gain of 0.06%, while South Korea's Kospi picked up 0.8%. On the flip side, Hong Kong's Hang Seng fell 0.1%, and China's Shanghai Composite suffered at 1% loss after the Caixin services PMI slipped last month.

European markets are higher at midday on the back of gains in tech and impressive corporate earnings offset disappointing eurozone retail sales and PMI data. At last check, London's FTSE 100 is up 0.9% on a positive earnings reaction for Royal Bank of Scotland, Germany's DAX is 0.7% higher, and France's CAC 40 is seeing a 0.5% gain, at last check.  

 

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