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Dow Futures Inch Higher on Retail Sales, Earnings

Walmart and Home Depot both reported upbeat earnings

Digital Content Manager
Nov 16, 2021 at 9:16 AM
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Futures on the Dow Jones Industrial Average (DJI) are pointed higher this morning, enjoying tailwinds after blowout earnings reports from blue-chips Home Depot (HD) and Walmart (WMT). Meanwhile, futures on the S&P 500 (SPX) and Nasdaq-100 (NDX) are flat and slightly lower, respectively. Investors are unpacking retail sales data for October, which came in at 1.7% as opposed to the 1.5% Wall Street anticipated, its biggest pop since March. Elsewhere, Bitcoin (BTC) has ceded the psychologically significant $60,000 level.

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

  • Schaeffer's Senior Market Strategist Matthew Timpane dives into holiday seasonality amid expiration week.
  • What made Boeing stock pop yesterday.
  • Plus, more on Home Depot's earnings; Workday upgraded; and more Tesla drama.

Futures 1116

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw more than 2 million call contracts traded on Monday, compared to 859,044 put contracts. The single-session equity put/call ratio fell to 0.42, and the 21-day moving average stayed at 0.47.
  2. The shares of Home Depot Inc (NYSE: HD) are up 0.8% ahead of the open, after the home improvement retailer posted a third-quarter earnings and revenue beat. Contributing to the strong results were upbeat comparable-store sales, which rose 6.1% due to higher demand for building materials and building materials. Year-to-date, HD is up 39.7%.
  3. Workday Inc (NASDAQ:WDAY) stock is up 2.8% in electronic trading, after the software name earned an upgrade from UBS to "buy" from "neutral." The analyst in question cited trends of higher spending in HR systems. Year-over-year, Workday stock is already up 33.5%.
  4. Electric vehicle giant Tesla Inc (NASDAQ:TSLA) is down 0.9% before the bell, after JPMorgan Chase (JPM) sued the company for allegedly breaching a stock warrant contract. Plus, CEO Elon Musk sold $930 million worth of shares to meet tax obligations. Over the past 12 months, TSLA has added a whopping 148.1%.
  5. Today also brings industrial production, capacity utilization, and business inventories data. Plus, investors will be eyeing the import price index, as well the National Association of Home Builders' (NAHB) home builders' index.
OV Buzz Chart Nov 16

European Markets Move Higher on U.K. Employment Data

Stocks in Asia were all over the place on Tuesday, following a virtual meeting between U.S. President Joe Biden and Chinese President Xi Jinping. The meeting, described as cordial, was the closest communication between the leaders since the former assumed office. Hong Kong’s Hang Seng led the region’s gainers, tacking on 1.3% after shares of Razer surged following a report that top executives at the hardware firm plan to value the company at nearly $4.49 billion in a private-take deal. Elsewhere, Japan’s Nikkei added 0.1%, while China’s Shanghai Composite and South Korea’s Kospi shed 0.3% and 0.08%, respectively.

The major bourses in Europe are higher at midday, as investors unpacked U.K. employment that showed payrolls rising by 160,000 last month. Euro zone third-quarter gross domestic product (GDP) also grew at a pace on target with estimates. Geopolitical tension in the post-Soviet bloc is also in focus. NATO said it’s prepared to defend the border from Russia’s build-up of troops at the Ukraine border, while the European Union manages an  escalating migrant crisis in Belarus. At last check, France’s CAC 40 and Germany’s DAX are up 0.4% each, while London’s FTSE 100 is 0.08% higher.

 

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