Stock Futures Eye Rebound Amid Stimulus Buzz

Treasury Secretary Janet Yellen is advocating for a large stimulus bill

Assistant Editor
Feb 19, 2021 at 9:23 AM
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Futures on the Dow Jones Industrial Average (DJI) are up over 90 points at last check, looking to end a choppy week on a high note. S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) futures on the rise too, as investors monitor negotiations for further coronavirus relief. Last night, Treasury Secretary Janet Yellen told CNBC that more pandemic stimulus is necessary, while advocating that the benefits of a bigger stimulus outweigh the costs. For the week, the major benchmarks are largely looking at losses, though the blue-chip index could eke out a small gain.

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

  • Navigating market volatility is less tricky with these two strategies
  • Uber stock is getting hailed by options bulls. 
  • Plus, Apple supplier rises after earnings; TripAdvisor stock stumbles; and Novavax jumps on a new agreement. 

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 5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw more than 1.8 million call contracts traded on Thursday, and 971,729 put contracts. The single-session equity put/call ratio rose to 0.51 and the 21-day moving average stayed at 0.41.
  2. Applied Materials Inc (NASDAQ:AMAT) stock is up 5.4% ahead of the bell, after the semiconductor company reported better-than-expected fiscal first-quarter earnings and revenue as well as a strong forecast. In response, no fewer than 13 analysts raised their price targets. Looking to contend with its recent Feb. 16 record high at the open, the equity is up 68.3% year-over-year. 
  3. The shares of TripAdvisor Inc (NASDAQ:TRIP) are down 2.2% in electronic trading, after the online travel company announced wider-than-expected losses per share, overshadowing a revenue beat. Coming into today, TRIP was up 33.6% already in 2021. 
  4. Novavax Inc (NASDAQ:NVAX) is up 8% ahead of the open this morning, after the biotech company announced a deal with the global initiative COVAX to supply 1.1 billion doses of its coronavirus vaccine. Year-to-date, NVAX is up an impressive 137.9%. 
  5. Today will feature the Markit manufacturing PMI, Markit services PMI, and existing home sales.    

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Global Markets Digest Economic Data

Asian markets were mixed to close out the week, as investors monitored how worse-than-expected jobless data negatively impacted Wall Street overnight. Pacing the laggards was Japan’s Nikkei, which fell 0.7%, after new data showed core consumer prices dropped 0.6% for January, marking a sixth consecutive monthly decline. Elsewhere, the South Korean Kospi rose 0.7%, while China’s Shanghai Composite and Hong Kong’s Hang Seng added 0.6% and 0.2%, respectively.

Meanwhile, European stocks are higher, with corporate earnings reports from the likes of Allianz, Danone, and Renault still in focus. Investors are also digesting February’s Markit flash PMI (purchasing managers’ index) data from France, Germany, and the euro zone, while also keeping an eye on rising U.S. bond yields and Covid-19 stimulus. In other news, United Kingdom Prime Minister Boris Johnson will host an online meeting with the major G-7 economies, in which he will propose shortening vaccine development time to 100 days. At last check, the German DAX is 0.8% higher, while France’s CAC 40 is up 0.7%, and London’s FTSE 100 is up 0.2%.

Trader: Sell These 8 Stocks in 2021

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