Schaeffer's 43rd Anniversary Stock Picks in 2024

Dow Futures Soar After Encouraging Jobs Report

May's unemployment rate came in much better than expected

Deputy Editor
Jun 5, 2020 at 9:23 AM
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Futures on the Dow Jones Industrial Average (DJI) are up nearly 600 points above fair value this morning, soaring after the U.S. Labor Department's May unemployment rate came in at 13.3%, much better than the anticipated 19.5% estimate. The report also showed that 2.5 million jobs were added last month, a surprise figure considering the expected loss of 7.3 million jobs. S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) futures are also in the black -- brushing off a snapped winning streak at the close yesterday -- with airline and casino stocks leading the charge amid more reopening buzz. 

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

  • Eldorado stock was embossed with a bull note.
  • Two reasons for options bears to target FedEx stock
  • Plus, Uber helps locate black-owned businesses; Wrangler parent upgraded, and bull notes galore for Gap post-earnings.
stock futures june 5

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw 2.3 million call contracts traded on Thursday and 1 million put contracts. The single-session equity put/call ratio rose to 0.43, and the 21-day moving average dropped to 0.53.
  2. Uber Technologies Inc (NYSE:UBER) stock is up 1.8% in electronic trading, after its Uber Eats platform launched a service that lets customers in the U.S. and Canada easily find black-owned businesses with a $0 delivery fee, in the wake of the nation-wide protests following the death of George Floyd. Uber stock is up 30% in the last month.
  3. The shares of Wrangler parent Kontoor Brands (NYSE:KTB) are up 8.2% before the open, following an upgrade by Susquehanna Financial to "positive" from "neutral." The firm cited a jump in sales as well as noting that the temporary suspension of dividend payments has already been factored in. Still struggling to come back from early April lows below $13, the equity is up 34.8% in the last week. 
  4. Gap Inc (NYSE:GAP) stock is down 1.9% ahead of the bell, after the retailer reported wider-than-expected losses per share for the first quarter as well as a revenue miss. However, 55% of its North American stores are now open, and GAP has gained no fewer than eight price target hikes since last night's close. Though still struggling to rebound from bear market lows, the stock is up 63% in the last month. 
  5. Today will also feature consumer credit, with no notable earnings to report.
Buzz Chart June 5

European Stocks Get ECB Boost Once More

Stocks in Asia rose to close out the week, as investors looked toward the U.S. unemployment rate for the next global economic cue. Leading the charge was Hong Kong’s Hang Seng, up 1.7%, followed closely by South Korea’s Kospi, which finished 1.4% higher. Additionally, Japan’s Nikkei tacked on 0.7%, while China’s Shanghai Composite rose 0.4%.

In Europe, investors are awaiting the crude production update from major oil producers, though stocks are boosted by an expansion of the European Central Bank’s (ECB) bond-buying program. France’s CAC 40 is enjoying a notable lift, last seen up 1.9%, while the German DAX rose 1.8%, and London’s FTSE 100 tacked on 1.2%. 

 

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