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Stock Futures Dip Ahead of Post-Fed Session

The Dow could be poised to trade at new lows again

Dec 20, 2018 at 9:14 AM
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Dow Jones Industrial Average (DJI) futures are trading slightly below fair value, with stocks still on shaky ground after sliding to new lows yesterday. While traders will certainly continue to consider the Fed's actions, there's also plenty to watch on the earnings front. Namely, Dow stock Walgreens Boots Alliance (WBA) is trading in the red after earnings, and fellow blue chip Nike (NKE) will report post-close. As for data, jobless claims rose less than expected in the past week, with roughly 214,000 Americans filing for unemployment benefits.

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

stock futures today dec 20

5 Things You Need to Know Today

  1. The Chicago Board Options Exchange (CBOE) saw 754,723 call contracts traded on Wednesday, compared to 640,131 put contracts. The single-session equity put/call ratio jumped to 0.85, and the 21-day moving average ticked up to 0.72.
  2. Altria Group Inc (NYSE:MO) is making strategic moves once again, this time acquiring a 35% stake in e-cigarette company Juul for $12.8 billion. MO shares are set to open slightly higher, as they come off yesterday's three-year low of $50.68.
  3. BlackBerry Ltd (NYSE:BB) is up 5.4% in pre-market trading, after the company's better-than-expected quarterly profit. However, BB shares are coming off fresh lows of their own, settling at an annual closing low of $7.35 yesterday.
  4. Tilray Inc (NASDAQ:TLRY) shares are set for a big move at the open, after the weed company announced a $100 million joint venture with Anheuser Busch Inbev (NYSE:BUD) to develop cannabis-infused drinks. TLRY stock has been unimpressive in recent weeks, closing right at $71 yesterday.
  5. The Fed's balance sheet and Philadelphia Fed business outlook survey are due out today. Accenture (ACN), Conagra (CAG), and Sanderson Farms (SAFM) will report earnings.

stocks in the news premarket dec 20

Global Stocks Fall Again After Fed Hikes

Markets in Asia were lower across the board today, taking cues from the sharp pivot lower U.S. equities made following the Fed rate hike. China’s Shanghai Composite fell by 0.5%, with bank stocks incurring the worst of the losses after the People’s Bank of China decided to keep short-term borrowing rates steady, but announced a surprise lending program to help small businesses. Hong Kong’s Hang Seng and South Korea’s Kospi both gave back 0.9%, with tech giant LG Electronics a notable loser. Lastly, Japan’s Nikkei paced the regional losses with a 2.8% drop, as SoftBank continued to decline after its mobile unit’s disappointing initial public offering (IPO) on Wednesday.

European stocks are taking a hit too, under pressure in the wake of the Fed decision. Basic resource stocks are feeling the pain, after the U.S. Treasury said it would lift sanctions on Rusal, while AirBus is dropping amid reports of a U.S. Department of Justice probe. London’s FTSE 100 is down 0.2%, at last check, after the Bank of England held its interest rates steady, but warned that Brexit “uncertainties have intensified considerably.” Elsewhere, the French CAC 40 is off 1.5%, while the German DAX is down 1%.

 

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