The U.S. and South Korea agreed to a revised trade deal
Stock futures are signaling a positive start on Wall Street, as traders digest a newly revised trade deal between the U.S. and South Korea and bank shares rise amid the kickoff of the two-day Fed meeting. Pre-market upside for big-cap financial stocks JPMorgan (JPM) and Goldman Sachs (GS) has the Dow Jones Industrial Average (DJI) on track to pare a portion of Monday's losses, while futures on the S&P 500 Index (SPX) are higher, as well. Plus, oil prices continue to climb, with November crude futures up 0.4% at $72.40 per barrel.
Continue reading for more on today's market, including:
- What to expect if the Fed raises rates again, courtesy of Schaeffer's Senior V.P. of Research Todd Salamone.
- Citi is targeting nearly 400% upside for this potential takeover target.
- This car parts stock could be ready to bounce.
- Plus, the retail stock ready to rally; two key figures exit Facebook; and new Square price targets.
5 Things You Need to Know Today
- The Chicago Board Options Exchange (CBOE) saw 885,457 call contracts traded on Monday, compared to 558,660 put contracts. The single-session equity put/call ratio rose to 0.63, and the 21-day moving average remained at 0.59.
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Ascena Retail Group Inc (NASDAQ:ASNA) reported a fiscal fourth-quarter adjusted profit of 7 cents per share on $1.77 billion in revenue, more than analysts were expecting. Plus, the Ann Taylor parent said same-store sales surged an impressive 4% over the three-month period. ASNA stock is up 18.5% ahead of the bell, likely catching bearish options traders off guard.
- Instagram co-founders Kevin Systrom and Mike Krieger said they are leaving Facebook, Inc. (NASDAQ:FB), with reports pointing to growing frustration with CEO Mark Zuckerberg. After closing last night at $165.41, FB stock is 2.1% lower in electronic trading, set to retreat back near a key technical level.
- Square Inc (NYSE:SQ) received price-target hikes at Jefferies (to $88) and Instinet (to $125), with both brokerage firms waxing optimistic on the electronic payments processor's growth potential. SQ stock settled at $86.04 last night, and is trading 2.3% higher ahead of the bell. The shares hit a record high of $92.91 as recently as Sept. 11.
- The S&P CoreLogic Case-Shiller housing price index, consumer confidence data, and the Richmond Fed manufacturing survey will be released today. Nike (NKE), Carnival (CCL), Jabil (JBL), and KB Home (KBH) are expected to release earnings.
Rising Oil Prices Boost Tokyo, European Stocks
With markets in Hong Kong and South Korea closed for holiday, traders in China and Japan were left to consider renewed trade fears. China's Shanghai Composite shed 0.6%, after the country vowed to fight back against U.S. trade blows. On the other hand, Japan's Nikkei managed a 0.3% lift, thanks in large part to gains out of the energy sector as oil prices rose.
Rising oil prices are also helping to lift European stock markets. Sector heavyweights like Royal Dutch Shell and BP PLC are leading the way, while retailer Next also joins the winners' table following an upbeat sales forecast. London's FTSE 100 was last seen up 0.5%, Germany's DAX has gained 0.3%, and the French CAC 40 is up 0.2%.