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Stock Futures Mixed as Tech Sector Takes Spotlight

Investors are digesting a blowout quarterly report from Zoom as well

Digital Content Manager
Sep 1, 2020 at 9:15 AM
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Stock futures are a mixed bag to kick off September, as Wall Street looks to build off a historic August. Dow Jones Industrial Average (DJI) and S&P 500 Index (SPX) futures are nestled right around breakeven or slightly below, while a resurgent tech sector has the Nasdaq-100 Index (NDX) futures confidently above fair value. Investors will have manufacturing data to unpack later this morning, while keeping an ever vigilant eye on any coronavirus-based updates. 

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

  • Fresh highs for this Apple supplier ahead of earnings.
  • Will a return to sports slow down market momentum?
  • Plus, Tesla's $5B stock sale; a notable oil merger to watch; and Zoom reports blowout earnings.

Stock Futures 901

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw over 1,673,711 million call contracts traded on Monday, and 758,138 put contracts. The single-session equity put/call ratio rose to 0.45, and the 21-day moving average stayed at 0.44.
  2. Tesla Inc (NASDAQ: TSLA) is up 0.6% in pre-market trading, after the company announced it will sell up to $5 billion in stock amid its record rise. A handful of big-name banks will sell shares at the directive from Tesla. The announcement comes just one day after the stock's five-for-one stock split went into affect. Year-to-date, the security is up almost 500%. 
  3. Schlumberger NV (NYSE:SLB) is down 0.2% before the bell, after the oil services name announced it will merge its North American fracking business with Liberty Oilfield. Schlumberger will hold a 37% stake in the new company. SLB is down 52% year-to-date.
  4. Zoom Video Communications Inc (NASDAQ:ZM) is up a whopping 35% in electronic trading, after the conferencing platform reported second-quarter earnings and revenue that topped analyst estimates. Zoom also upped its yull-year guidance, prompting no fewer than 10 brokerages to raise their price targets, the highest coming from Baird to $465. Even prior to today’s breakout, ZM was up 377% in 2020.
  5. It'll be a slow start to the week, with no economic data to report today. Meanwhile, the aforementioned Zoom Video (ZM) is the only notable name stepping into the earnings confessional

OV Buzz Chart Sept 1

Upbeat Chinese Data Gives Asian, European Markets a Boost

Stocks in Asia were mostly higher following today’s session, after a private survey of Chinese manufacturing activity in August was growing at its fastest rate since January 2011. Reaping the benefits of this news, China’s Shanghai Composite gained 0.4% and Hong Kong’s Hang Seng rose marginally. However, it was South Korea’s Kospi that ended the day with the biggest win, tacking on 1%. Elsewhere, Japan’s Nikkei finished flat.

European markets are mostly higher this morning as well, also taking cues from the positive Chinese manufacturing data. London’s FTSE 100 was last seen down around 1.3%, while the German DAX has gained 0.6%. Rounding out the region, the French CAC 40 is up 0.3%.

 

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