Stock Futures Eye Rebound as Wall Street Unpacks Omicron Threat

Omicron infections have not yet been reported in the U.S.

Digital Content Manager
Nov 29, 2021 at 9:07 AM
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Futures on the Dow Jones Industrial Average (DJI) are eyeing a triple-digit pop this morning. The blue-chip index is poised to bounce back after logging its worst day of 2021 last Friday, amid the discovery of the Covid-19 omicron variant. Futures on the S&P 500 (SPX) and Nasdaq-100 (NDX) are also pointed confidently higher, as investors weigh the global risks of the variant, which has not yet been reported in the U.S. Plus, vaccine makers say they are already studying the new threat. In turn, travel stocks and the 10-year Treasury yield are joining the rally.

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

  • Place your bets on these 2 alternative energy stocks.
  • Chinese regulators want this tech stock off Wall Street.
  • Plus, Moderna promises reformulated vaccine; blue-chip pharma giant downgraded; and Coinbase Global bounces back.

Futures 1129

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw more than 1.4 million call contracts traded on Friday, compared to 800,807 put contracts. The single-session equity put/call ratio rose to 0.52, and the 21-day moving average stayed at 0.47.
  2. Moderna Inc (NASDAQ:MRNA) stock is up 9.5% this morning, after its chief medical officer said the company could release a reformulated vaccine against the Covid-19 omicron variant by early 2022. Today's pop has the security adding to Friday's rally, which saw it jump 20%. Year-to-date, MRNA sports a 215.5% lead.
  3. Pharmaceutical stock Merck & Co., Inc. (NYSE:MRK) is down 2.3% in electronic trading, after receiving a downgrade from Citi to "neutral" from "buy." The analyst in coverage said the company's struggles to develop HIV drug islatravir could hurt its long-term prospects. In the past month, the blue-chip name has shed over 10%.
  4. The shares of Coinbase Global Inc (NASDAQ:COIN) are up 1.8% before the bell,  as Bitcoin (BTC) recovers from Friday's selloff. Quarter-to-date, COIN has jumped 33.3%.
  5. The week starts off quiet, with only pending home sales data on tap.
OV Buzz Chart Nov 29

European Stocks Brushing of Covid-19 Variant Concerns

Stocks in Asia tumbled on Monday, as investors monitored developments of the recently discovered omicron variant of Covid-19, labeled a “variant of concern” by the World Health Organization (WHO) last week. Japan’s Nikkei led losses in the region, falling 1.6% after the country’s government announced it will suspend new entries from foreign visitors beginning Nov. 30. Hong Kong’s Hang Seng took a 1% haircut after Meituan posted a disappointing quarterly report, while South Korea’s Kospi shed 0.9%, and China’s Shanghai Composite lost a much more modest 0.04%.

Over in Europe, the major bourses are brushing off the omicron fears this afternoon, with nearly all industries – including the battered travel sector – seeing gains following Friday’s selloff. Meanwhile, euro zone data showed business climate and economic sentiment pulled back slightly in November, which lined up with economists expectations. At last check, London’s FTSE 100 was 1.3% higher, France’s CAC 40 was up 1.1%, and the German DAX had risen 0.6%.

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