Stock Futures Continue Dramatic Plummet

All three major indexes are looking to erase their weekly gains

Deputy Editor
Mar 6, 2020 at 9:11 AM
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Stocks are looking to end the first full week of March deep in the red this morning, with Dow Jones Industrial Average (DJI) futures staring down a 700 drop, while the the S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) are eyeing sizable daily (and weekly) losses of their own. Meanwhile, the 10-year treasury yield hit its lowest point on record as fears over an economic slowdown continue to plague Wall Street. Even better-than-expected nonfarm payrolls data isn't enough to prop up stocks, with the U.S. adding 273,00 new jobs in February and notching its lowest unemployment rate in over 50 years. 

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

  • One real estate stock that could see some serious upside. 
  • How AEO got dragged down with the struggling retail sector, despite an earnings beat.
  • Plus, 2 struggling retail stocks; and AOBC's set for big post-earnings drop. 

Stock Futures Chart March 6

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw 1.1 million call contracts traded on Thursday, compared to 824,473 million put contracts. The single-session equity put/call ratio moved to 0.78, and the 21-day moving average was 0.64.
  2. Costco Wholesale Corporation (NASDAQ:COST) is struggling this morning, off 1.6%, despite posting an earnings and revenue beat for its fourth quarter and nine subsequent price target hikes. The big box retailer also noted that it's seeing an uptick in consumer staple sales as COVID-19 fear grips customers, as well as a 12.1% spike in comparable sales. 
  3. Another retailer suffering in pre-market trading is apparel name Gap Inc (NYSE:GPS), which is down 6.4% following news that the head of the firm's Old Navy unit Sonia Syngal will assume the role of CEO, effective March 23. 
  4. The shares of American Outdoor Brands Corp (NASDAQ:AOBC) are down 24.7% this morning before the open. The firearms maker reported fiscal third-quarter earnings that fell short of expectations, while also 2020 guidance that missed its target. AOBC is set to open at its lowest point since early November. 
  5. Today's economic calendar features data the trade deficit, wholesale inventories, and consumer credit. 

Buzz Chart March 6

Asian, European Markets End Roller Coaster Week in the Red

Asian markets finished lower today, a fitting end to a roller-coaster week. Japan's Nikkei paced the region with a 2.7% drop, dragged lower by index heavyweight Softbank. South Korea's Kospi shed 2.2%, while Hong Kong's Hang Seng lost 2.3% thanks to tumble from China Eastern Airliners. Not to be outdone, China's Shanghai Composite gave back 1.2%.

Turning to Europe, stocks are also swimming in red ink. London's FTSE 100 is down 3.5% at last check, after the U.K. reported its first death from the coronavirus. The French CAC 40 is off by 4%, after trade balance figures came in steeper than expected. Lastly, the German DAX is 3.6% lower, despite a better-than-expected monthly climb in industrial orders.

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