Lackluster Jobs Data No Match For Surging Stock Futures

Jobless claims topped 400,000 for the second-straight week

Assistant Editor
Jun 24, 2021 at 9:17 AM
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Dow Jones Industrial Average (DJI) futures are up over 140 points at last check, while S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) futures are both indicating a run toward fresh record highs, as inflation fears ease. Lackluster weekly jobs data has not yet deterred Wall Street this morning, with initial weekly jobless claims for last week coming in at 411,000 -- higher than the estimated 380,000 and the second-straight week above 400,00.

Elsewhere in economic data, the first-quarter gross domestic product (GDP) growth was unrevised at 6.4%, and U.S. durable goods orders rose 2.3% in May. Investors are also eyeing Washington D.C., where bipartisan infrastructure package negotiations will be discussed with U.S. President Joe Biden later today.

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

  • Don't sweat this aerospace stock pullback. 
  • Checking in with Conagra Brands stock
  • Plus, Ride Aid stock falls after revenue miss; MGM upgraded; and big FDA news for Eli Lilly. 

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5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw more than 1.9 million call contracts traded on Wednesday, and 783,715 put contracts. The single-session equity put/call ratio fell to 0.39 and the 21-day moving average dropped to 0.44.
  2. Rite Aid Corporation (NYSE:RAD) is dropping 9% pre-market, after the drugstore chain reported a first-quarter revenue miss, despite better-than-expected earnings per share. The company also provided a mixed full-year outlooks. Rite Aid stock is up 29% heading into today.
  3. Deutsche Bank upgraded casino stock MGM Resorts International (NYSE:MGM) to "buy" from "hold" with a price-target hike to $54 from $42. MGM is up 2.6% before the bell, poised to near its 13-year high.  
  4. Eli Lilly and Company (NYSE:LLY) is up 8.3% in electronic trading, after the drugmaker's Alzheimer's treatment was granted "breakthrough therapy" status by the Food and Drug Administration (FDA). The company is seeking accelerated approval for the treatment this year. 
  5. There will be no more economic data of note today.  

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Stocks on the Rise in Europe

Markets in Asia saw muted settlements on Thursday, with the Nikkei in Japan and the Shanghai Composite in China, both finishing virtually unchanged. Meanwhile, the Hong Kong Hang Seng added 0.2%, and the South Korean Kospi saw a 0.3% jump.

European markets are eyeing significant gains. However, while the bourses keep an eye on U.S. Federal Reserve Chairman Jerome Powell’s recent inflation comments, they are also eyeing the upcoming jobless data stateside. The French CAC 40 is leading the region, up 1.1% at last check, while the London FTSE 100 is 0.6% higher, bolstered by news that the Bank of England (BoE) has decided to hold its monetary policy steady and keep an eye on rising inflation. Over in Germany, the country’s Ifo Institute business climate index is boosting sentiment. The reading came in at 101.8 for June – slightly higher than what was expected. As a result, the DAX is up 0.7%.

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