Stock Futures Stumble Amid Second-Wave Fears

Stocks are extending their losses after last week's steep sell-off

Assistant Editor
Jun 15, 2020 at 9:21 AM
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Futures on the Dow Jones Industrial Average (DJI) are nearly 600 points below fair value this morning, signaling an extended pullback as panic over a second wave of coronavirus brews. Areas of China and various U.S. states have reported a spike in coronavirus cases, causing many to reassess their stance on the market and reopening of the economy. Nasdaq-100 Index (NDX) and S&P 500 (SPX) futures are also in the red, as airline and retail stocks take a breather from their rally earlier in the month stemming from reopening optimism. Meanwhile, oil prices are falling as well, with July-dated crude down over 3.7% at $34.91 per barrel, at last check. 

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

    • Oracle stock picked up a bull note before its quarterly report
    • Johnson & Johnson stock faced off with a key level amid a busy news day. 
    • Plus, a cruise line tumbling; MDLZ upgraded; and Disney's Hong Kong park reopening. 
    Futures June 15

    5 Things You Need to Know Today

    1. The Cboe Options Exchange (CBOE) saw 1.7 million call contracts traded on Friday, compared to 1.2 million put contracts. The single-session equity put/call ratio rose to 0.71, and the 21-day moving average rose to 0.50.
    2. U.S. cruise lines are spiraling this morning amid the spike in coronavirus cases, sending Norwegian Cruise Line Holdings Inc (NYSE:NCLH) down 9.8% in electronic trading. The shares are up 98.8% in the last monthly period, but were turned away by their descending 100-day moving average at the end of last week. 
    3. Mondelez International Inc (NASDAQ:MDLZ) is off by 1% ahead of the open, weighed down by the broader market, despite Berenberg's upgrade to "buy" from "hold" and price-target hike to $61 from $52. The food processing stock has traded in a tight range in the last two months, consolidating between the $49 and $53 level.
    4. Walt Disney (NYSE:DIS) is down 3% during pre-market trading, after announcing that Hong Kong's Disneyland Theme Park will reopen June 18 -- with social distancing measures. Despite a recent pullback, DIS stock is up 12% in the last month. 
    5. Today will bring the Empire State manufacturing index and earnings from JinkoSolar (JKS). 
    OV Buzz Chart June 15

    Stocks Fall in Europe, Asia as Cases Spike

    Stocks in Asia fell to begin the week, as investors continued to analyze the impact of a surge in coronavirus cases. South Korea’s Kospi led the region’s losses after it fell 4.8%, while Japan’s Nikkei dropped 3.5%. Elsewhere, one district in China’s Beijing was declared a “wartime emergency” amid a cluster of new infections, sending Hong Kong’s Hang Seng and China’s Shanghai Composite down 2.2% and 1%, respectively.

    European stocks are following their Asian counterpart at midday, falling amid fears of a second wave of COVID-19. At last check, London’s FTSE 100 and the German DAX were both down 0.7%, as some countries –including the U.K. – begin lifting travel restrictions. Meanwhile, France’s CAC 40 was trading 0.6% lower.

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