Stock Futures Higher on Coronavirus Treatment Approval

Meanwhile, U.S. President Donald Trump and former Vice President Joe Biden had their final debate

Deputy Editor
Oct 23, 2020 at 9:16 AM
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Stock futures are on the rise to close out the week, as investors continue to await a final outcome for the looming fiscal stimulus. Additionally, Wall Street is keeping its eyes on a slew of corporate earnings and the Food and Drug Administration's (FDA) approval of Gilead Sciences' (GILD) remdesivir, as a treatment against the coronavirus. As a result, futures on the Dow Jones Industrial Average (DJI) are up around 80 points, while S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) futures are marginally higher, as well. Meanwhile, last night U.S. President Donald Trump and former Vice President Joe Biden took the stage for the final presidential debate before Election Day, and while futures remain little changed throughout the event, the pair spoke on a broad range of issues including the pandemic, foreign policy and health care.

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

  • DocuSign stock could regain strength soon if this bull signal plays out.
  • Why this blue chip giant has a few big weeks ahead.
  • Plus, Intel beat revenue expectations; Gilead Sciences's big win; and Shake Shack stock lands analyst praise.

Futures Chart October 23

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw more than 1.5 million call contracts traded on Thursday, and 745,352 put contracts. The single-session equity put/call ratio fell to 0.48 and the 21-day moving average stayed at 0.47. 
  2. Intel Corporation (NASDAQ:INTC) is down 9% before the open, after the company reported third-quarter earnings that were in line with estimates. Revenue, meanwhile came in above expectations, while the equity boasts a year-over-year lead of 4.2%.
  3. The Food and Drug Administration (FDA) approved Gilead Sciences, Inc.'s (NASDAQ:GILD) remdesivir, as a treatment for coronavirus, after previously being authorized for emergency use. As a result, GILD is up7.1% in pre-market trading, but down 6.6% in 2020.
  4. Shake Shack Inc (NYSE:SHAK) is up 1.1% ahead of the bell, after Oppenheimer initiated coverage at "outperform," citing the potential for the restaurant chain's footprint to grow triple its current size. Longer term, is up 21.8% year-to-date.
  5. The week closes out with the Markit Manufacturing Purchasing Managers Index (PMI), the Markit Services PMI, and no earnings of note.

Buzz Chart Oct 23

European Stocks Pivoting Higher Thanks to Auto and Earnings

Stocks in Asia were mostly higher after today’s session, as investors eyed semi-conductor related stocks after Intel’s (INTC) mixed earnings report. China’s Shanghai Composite, the only outlier, fell 1%. Elsewhere, Japan’s Nikkei and the South Korean Kospi added 0.2%, while Hong Kong’s Hang Seng tacked on 0.5%.

In Europe, shares are rising midday with help from auto and earnings from bank stocks such as Barclays, brushing off the flash Eurozone composite PMI, which came in below the 50 mark. London’s FTSE 100 is up 1.5% at last check, after sales volume increased by 1.5 in September, bring overall sales to pre-pandemic levels. Elsewhere, the German DAX is up 1.2%, while the French CAC 40 enjoys a 1.4% gain.


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