Dow Futures Pointed Lower as Pandemic Fears Grip Wall Street

Wall Street is also eyeing the bipartisan infrastructure bill

Deputy Editor
Aug 10, 2021 at 9:07 AM
facebook twitter linkedin


U.S. Stock futures are relatively unchanged this morning. Dow Jones Industrial Average (DJI) futures are pointed roughly 13 points lower, while futures on the S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) are looking to open just above their respective breakeven levels. Covid-19 cases have climbed back to their highest volume since February in the U.S., keeping weight on markets and preventing the Dow and S&P 500 from claiming even more record highs, as investor sentiment sours. Attention is also being directed to the $1 trillion bipartisan infrastructure bill, which could be passed as soon as Tuesday. 

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

  • Red-hot manufacturing stock can't be missed this month. 
  • An eye on Weight Watchers as it heads into the earnings confessional. 
  • Plus, AMC enjoys post-earnings pop; PLNT stumbles on profit miss; and the bid for KSU drives higher. 

futures chart aug 10

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw more than 1.6 million call contracts traded on Monday, compared to 793,910 put contracts. The single-session equity put/call ratio fell to 0.49 and the 21-day moving average stayed at 0.52.
  2. The shares of AMC Entertainment Holdings Inc (NYSE:AMC) are up 11.5% ahead of the bell, following the firm's quarterly report in which it posted slimmer-than-expected losses, and revenue that topped analysts' estimates. AMC noted lifting lockdown measures and a boost from several blockbuster movie releases. AMC is up an incredible 1,581.6% this year. 
  3. Planet Fitness Inc (NYSE:PLNT) also reported earnings after the close last night, though it's second-quarter profits missed estimates by 2 cents. Its revenue bested analysts' expectations, however, and the fitness name thanked the reopening of its gyms and a rise in membership numbers for the partial beat. Despite this, PLNT is off 3.2% ahead of the open this morning, adding to its 4.9% six-month deficit. 
  4. Kansas City Southern (NYSE:KSU) is up 6.7% in electronic trading on news that Canadian Pacific Railway (CP) has lifted its cash-and-stock bid to buy KSU to $300 per share, from its original bid of $275 per share, in an effort to top an offer from Canadian National Railway (CNI). KSU is up 34.1% in 2021. 
  5. Today's economic calendar features the National Federation of Independent Business' (NFIB) small-business index, as well as preliminary productivity, and unit labor costs data.

newbuzzaug10

Asian Markets Largely Overlook Covid-19 Worries

Stocks in Asia were mostly higher on Tuesday, though the South Korean Kospi turned in a 0.5% loss, after game developer Krafton made its market debut in the country today, and tumbled as much as 20% from its initial public offering (IPO) price. The PUBG creator pared some losses, finishing 8.8% lower, but still logged the worst South Korean debut since 2004. Meanwhile, mainland stocks are shrugging off Covid-19 concerns, with Hong Kong’s Hang Seng and China’s Shanghai Composite adding 1.2% and 1%, respectively. Rounding out the region, the Nikkei in Japan finished 0.2% higher.

European markets are also mostly higher, building on a cautious start to the week. Earnings season is beginning to wind down, but more corporate reports are offsetting a rise in global coronavirus cases, which continues to dent investor sentiment. At last check, Germany’s DAX is up 0.2%, despite the country’s ZEW survey of economic sentiment for the month missing expectations by a wide margin. Meanwhile, France’s CAC 40 is 0.1% higher, while London’s FTSE 100 is down a paltry 0.05%.

Grab your FREE Eternal Contrarian report!


 




 
Special Offers from Schaeffer's Trading Partners