Stock Futures Rise as Oil Prices Extend Their Fall

The Fed's two-day meeting will kick off today

Assistant Editor
Mar 15, 2022 at 9:17 AM
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Dow Jones Industrial Average (DJIA) futures are up 151 points above fair value ahead of the open, while futures on the Nasdaq-100 Index (NDX) and S&P 500 Index (SPX) move higher as well. Gains could be capped this morning, however, as Russia continues its Kyiv assault. Meanwhile, oil prices are continuing their descent from multi-year highs, with West Texas Intermediate (WTI) crude now sitting below the $100 mark.

The producer price index (PPI) jumped 0.8% in February -- slightly below expectations of 0.9%. Core PPI that excludes food, energy and trade services, rose just 0.2% and far lower than the estimated 0.6%. This data comes ahead of the U.S. Federal Reserve's much-anticipated two-day meeting, which kicks off today. 

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

  • The S&P 500 just broke below two key trendlines tracked by Schaeffer's V.P. of Research Todd Salamone. 
  • Behind this food stock's drop to multi-year lows. 
  • Plus, COUP plummets after disappointing guidance; PTON upgraded; and GTLB jumps higher. 

Futures March15

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw over 1.2 million call contracts traded on Monday, and 806,218 put contracts. The single-session equity put/call ratio fell to 0.63, and the 21-day moving average stayed at 0.57.
  2. Coupa Software Inc (NASDAQ:COUP) is down 27.1% before the bell, after the tech company issued a weak full-year and current-quarter forecast, following better-than-expected fourth-quarter results. In response, Oppenheimer downgraded COUP to "perform" from "outperform," while Piper Sandler lowered its rating to "neutral" from "overweight." No fewer than 10 other analysts slashed their price targets as well. COUP is down 43% heading into today.
  3. Bernstein initiated coverage on Peloton Interactive Inc (NASDAQ:PTON) with an "outperform" rating. The firm cited the stock's recent plummet, as well as its underlying business and new management, as potential catalysts. PTON is up 3% premarket, looking to bounce off yesterday's two-year low of $21.04. 
  4. The shares of Gitlab Inc (NASDAQ:GTLB) are up 10.3% in electronic trading, after the tech company reported better-than-expected fourth-quarter results and a positive outlook. GTLB is brushing off no fewer than four price-target cuts as well. Year-to-date, the equity is down 62% coming into today.
  5. Today will bring the Empire state manufacturing index for March.

OV Buzz Chart March 15 

Hong Kong's Hang Seng Hit Multi-Year Lows

Asian markets brushed off upbeat economic data out of China on Tuesday to settle mostly lower. Specifically, the Chinese industrial output for January and February rose a better-than-expected 7.5% year-over-year, while retail sales data also came in above estimates at 6.7%. Still, U.S.-listed Chinese stocks including Alibaba (BABA) and Nio (NIO) plummeted, with the Securities and Exchange Commission (SEC) sparking delisting fears after spotting companies that are not complying with the Holding Foreign Companies Accountable Act. In response, Hong Kong’s Hang Seng shed 5.7% to close at its lowest level since February 2016, while China’s Shanghai Composite shed 5%. Elsewhere, South Korea’s Kospi was 0.9% lower, while Japan’s Nikkei was up 0.2%.

European markets are also lower, with the Russia-Ukraine war raging on after yesterday’s negotiations over a ceasefire agreement seemingly yielded few results, despite being set to resume today. Investors are also keeping an eye on China’s worst Covid-19 outbreak since 2020, as well as the U.S. Federal Reserve’s incoming interest rate decision, which is expected at the end of its two-day meeting tomorrow. At last check, both the German DAX and France’s CAC 40 are down 1.2%, while London’s FTSE 100 is 0.8% lower.

 




 
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