MMR

Dow Futures Sluggish as Trade Worries Linger

President Trump said the U.S. is "not ready" for a trade deal with China

Managing Editor
May 28, 2019 at 9:09 AM
facebook X logo linkedin


Fresh off a fifth straight weekly loss, Dow Jones Industrial Average (DJI) futures are trading just above fair value this morning. In Tokyo yesterday, President Donald Trump said the U.S. was "not ready" for a trade deal with China, and implied steeper tariffs on Chinese imports could be on the way. As trade tensions linger without a resolution, the 10-year Treasury yield fell to a 19-month low.

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

Stock Futures Chart May 28

5 Things You Need to Know Today

  1. The Chicago Board Options Exchange (CBOE) saw 882,744 call contracts traded on Friday, compared to 671,818 put contracts. The single-session equity put/call ratio fell to 0.76, while the 21-day moving average remained at 0.68.
  2. Beyond Meat Inc (NASDAQ:BYND) stock is up 3.8% in electronic trading, after the company announced it's partnered with Zandbergen to produce plant-based meat products in Europe. J.P. Morgan Securities also initiated coverage on the vegan specialist with an "overweight" rating and $97 price target, just below its May 16 record high of $96.78. BYND has more than tripled its initial public offering (IPO) price of $25, settling Friday at $79.67. 
  3. Alibaba Group Holding Ltd (NYSE:BABA) is up 1% ahead of the bell, after a Reuters report indicated the Chinese e-commerce giant was considering a $20 billion Hong Kong listing. BABA is fresh off its third straight weekly loss, but one analyst last week said this is a "buying opportunity."
  4. Shares of Teva Pharmaceutical Industries Ltd (NYSE:TEVA) are up 1% in electronic trading, after the drugmaker agreed to an $85 million settlement with the state of Oklahoma over its role in the state's opioid crisis. TEVA fell to a 19-year low of $10.82 on Friday, and has shed 50% over the past six months.
  5. Today will kick off the short week with the release of the Conference Board's consumer confidence index and the S&P CoreLogic Case-Shiller home price index. Momo (MOMO), Nio (NIO), and Workday (WDAY) will all step into the earnings confessional. 

stock market news may 28

Trump Visits Japan, Europe Eyes Italy Deficit

It was a positive, though rather uneventful, session for equities in Asia. Grabbing the most attention was President Trump’s visit to Japan, where he indicated a trade deal with the country could come later this year. The Nikkei popped 0.4% in response. In China, the Shanghai Composite closed up 0.6%, and Hong Kong’s Hang Seng added 0.4%. The Kospi closed with a 0.2% lead in South Korea.

In Europe, stocks are finding it difficult to gain momentum, as investors digest the weekend’s parliamentary election results and growing concern about Italy’s deficit situation. The uncertainty has France’s CAC 40 and Germany’s DAX holding near breakeven, while the FTSE 100 has managed a 0.3% lead, despite weakness in banking shares. 

 

AI has exploded ever since ChatGPT set the world on fire near the end of 2022.

Numerous companies with connections to artificial intelligence have seen their stocks soar.

That includes Nvidia, the poster boy of AI.

Its stock has skyrocketed 716% since ChatGPT’s debut. But here’s the thing …

While everyone’s still counting their money from this first AI boom … Nvidia and countless others have moved on to the next stage.

That includes Big Tech, which is currently making a series of peculiar investments in a few strange companies. This has nothing to do with tech. At least on the surface …

Yet, these strange investments could be the early ripples of a massive wave …Without them, ChatGPT could stop operating … Amazon, Google, Microsoft and more could see profits drop drastically.

In fact, Elon Musk says these investments are critical when it comes to solving the number one problem facing AI.

Now, Silicon Valley legend Michael Robinson has identified two companies that could play a significant role in the solution.

Their stocks just may be the key to AI 2.0.

Find out more about these two companies today.
 (ad)