Stock Futures Flat as Earnings Season Heats Up

The 10-year Treasury yield hit a three-year high yesterday

Digital Content Manager
Apr 19, 2022 at 9:16 AM
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Futures on the Dow Jones Industrial Average (DJIA)S&P 500 Index (SPX), and Nasdaq-100 Index (NDX) are all hovering near breakeven this morning. With the earnings season now well underway, traders are awaiting reports from Netflix (NFLX) and IBM (IBM), which are due after today's close.

Meanwhile, inflation and the Federal Reserve's next move are both on investors' minds, especially after the 10-year Treasury yield hit a three-year high of 2.91% yesterday. Elsewhere, the International Monetary Fund (IMF) revised its global economic growth projections for 2022 and 2023, lowering its gross domestic product (GDP) rate for the world economy to 3.6% as the war in Ukraine continues.

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

Futures 0419

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw more than 1.3 million call contracts traded on Monday, and 622,880 put contracts. The single-session equity put/call ratio fell to 0.45, and the 21-day moving average remained at 0.57.
  2. Wework Inc (NYSE:WE) is surging ahead of the bell, last seen up 5.7%, after Piper Sandler initiated coverage of the security with an "overweight" rating.  The analyst in coverage said the co-working space provider will benefit from flexible office models after the pandemic, and is on a path to profitability. Year-over-year, WE remains down 50.9%.
  3. The shares of Johnson & Johnson (NYSE:JNJ) are down 0.3% before the open, despite the pharmaceutical name reporting better-than-expected quarterly profits. What's weighing on the equity instead is a revenue miss, as well as the suspended sales guidance of its Covid-19 vaccine amid a global supply surplus. Still, Johnson & Johnson announced a dividend hike of 6.6%, and the stock has added 11% over the last six months.
  4. Plug Power Inc (NASDAQ: PLUG) is up 7.6% in premarket trading. This bull gap came after the company announced it will supply Walmart (WMT) with liquid green hydrogen moving forward. Year-to-date, however, Plug Power stock remains down 9.5%.
  5. Building permits and housing starts are both due out today.
OV Buzz Chart April 19

European Markets Lower Amid Ukraine Updates

Asian markets settled on both sides of the aisle on Tuesday. The Hong Kong Hang Seng and China's Shanghai Composite dropped 2.3% and 0.05%, respectively, as Covid-19 cases continue to surge in China. Yesterday, the People's Bank of China announced increased financial support amid lockdowns. Meanwhile, Japan's Nikkei rose 0.7%, while the South Korean Kospi tacked on 1%.

European markets are lower midday, as investors keep an eye on updates from Ukraine. Citing the Russian invasion, the World Bank lowered its 2022 global growth forecast to 3.2% from 4.1%.  London's FTSE 100 is down 0.4%, while the French CAC 40 is 1.1% lower, and the German DAX has shed 0.7%.

 

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