Dow Futures Turn Lower After Retail Sales Surprise

Monthly retail sales saw their biggest decline since September 2009

Deputy Editor
Feb 14, 2019 at 9:14 AM
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Dow Jones Industrial Average (DJI) futures were initially higher this morning, amid continuing optimism over a U.S.-China trade deal. President Donald Trump yesterday said talks were "going along very well." However, a lackluster report on December retail sales -- which suffered their worst drop since 2009 -- has taken the wind out of the bulls' sails, with the Dow now headed for a loss at the open. Economists were expecting December retail sales to rise. Along those same lines, a negative earnings reaction from Coca-Cola (KO) is offsetting post-earnings gains for fellow Dow stock Cisco Systems (CSCO).

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

Futures Chart Feb 14

5 Things You Need to Know Today

  1. The Chicago Board Options Exchange (CBOE) saw 1.04 million call contracts traded on Wednesday, compared to 596,519 put contracts. The single-session equity put/call ratio stayed at 0.57, and the 21-day moving average was flat at 0.62.
  2. The Coca-Cola Co (NYSE:KO) stock is down 3.7% in pre-market trading, after the company announced fourth-quarter earnings in line with analysts' expectations, but issued full-year guidance below estimates. KO stock has recently been in striking distance of its all-time-highs, but has found some resistance at the $50 level. 
  3. Bloomin' Brands (NASDAQ:BLMN) shares are up 6.6% ahead of the bell, after fourth-quarter earnings and full-year guidance exceeded analysts' estimates. The Outback Steakhouse parent cited strong same-restaurant sales and increased traffic. The equity has been struggling to top the round-number $20 level, but could achieve that feat today.
  4. The shares of Google parent Alphabet (NASDAQ:GOOGL) are up 0.7% in electronic trading, after Citi replaced Amazon (AMZN) with the FAANG name as its "top pick." The stock recently bounced off its 100-day moving average and is pacing for its third daily win. 
  5. Today's economic schedule will bring weekly jobless claims and the Fed balance sheet. There will also be the producer price index (PPI) and business inventories. Applied Materials (AMAT), Canada Goose (GOOS), Canopy Growth (CGC), CyberArk Software (CYBR), Incyte (INCY), Nvidia (NVDA), Waste Management (WM), Yeti (YETI), XPO Logistics (XPO), and Zoetis (ZTS) all step into the earnings confessional.

stock market news feb 14

 

Asia Lower Amid Trade Meeting; Europe Celebrates Strong Earnings

Asian stocks were mostly lower today, as investors globally tuned in to the latest trade meeting between the U.S. and China looking for evidence of progress. China's Shanghai Composite gave back 0.1%, despite stronger-than-expected trade data coming out of Beijing, which saw exports rise 9.1% year-over-year. Hong Kong's Hang Seng lost 0.2% and the Nikkei finished marginally lower, after Japan's gross domestic product grew 1.4% last quarter, in line with expectations. South Korea's Kospi was the region's only winner, tacking on a 1.1% gain.

Markets in Europe, meanwhile, are inching higher after a host of upbeat corporate reports. London's FTSE 100 is up 0.5% at last check, as parliament prepares for another vote on Brexit later today. The French CAC 40 is up 0.7% thanks to a blowout earnings win from Airbus. Lastly, the German DAX sports a 0.3% gain, propped up by a huge day from medical device maker Gerresheimer.  


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