The back-and-forth rhetoric with China over tariffs is a drag on investors
Stock futures are indicating another lower open, with investors wary of tariff whiplash. Added pressure this morning is coming from the Organization for Economic Co-operation and Development (OECD) cutting its growth outlook for the U.S. At last check, futures on the Dow Jones Industrial Average (DJIA) were still in the red but off their premarket lows, while S&P 500 (SPX) and Nasdaq-100 (NDX) futures were flat. At least bond yields are cooling off, with the 10-year Treasury yield last seen at 4.42%.
Continue reading for more on today's market, including:
- Senior V.P. of Research Todd Salamone has two options trends for you to follow.
- Buy the dip on this grocery stock.
- Plus, META goes nuclear; HIMS eyes Europe; and bull notes for Block.
5 Things You Need to Know Today
- The Cboe Options Exchange (CBOE) saw more than 1.8 million call contracts and over 1.1 million put contracts traded on Monday. The single-session equity put/call ratio rose to 0.58, while the 21-day moving average stayed at 0.59.
- Constellation Energy Inc (NASDAQ:CEG) stock is 10% higher before the bell, after the utility concern inked a 20-year agreement to supply nuclear power to Meta Platforms' (META) data centers. CEG is 40% higher in 2025 amid rampant demand to power data centers across the Big Tech sphere.
- Hims & Hers Health Inc (NYSE:HIMS) stock is up 6.7% ahead of the open, after the company acquired European telehealth platform Zava. This potentially adds 1.3 million customers to Hims’ existing base of 2.4 million. Hims & Hers Health stock is 134.8% higher year-to-date.
- The shares of Block Inc (NYSE:XYZ) are 3% higher in electronic trading, after Evercore ISI issued an upgrade to "outperform" from "in-line," while also hiking its price target to $75 from $58. Jefferies chimed in with a bull note of its own, hiking its price target to $61 from $60. The fintech stock is down 27.3% year-to-date, and is battling its year-over-year breakeven level.
- June kicks off with a big batch of jobs, services, and manufacturing data.
Asian, European Markets Struggle for Direction
Asian markets were mixed Tuesday, after China saw worse-than-expected manufacturing activity in May, which tumbled at the fastest rate since September 2022. Tariff talks remain in focus as well. Japan’s Nikkei settled slightly below breakeven with a 0.06% loss, China’s Shanghai Composite added 0.4%, and Hong Kong’s Hang Seng rose 1.5%. Elsewhere, South Korea’s Kospi was closed for polling day, where opposition Democratic Party leader Lee Jae-myung is projected to win the country’s snap presidential election.
European markets are struggling for direction despite a bigger-than-expected drop in euro zone inflation data for May, which came in below the 2% target set by the European Central Bank (ECB). London’s FTSE 100 and the German DAX are slightly above breakeven with 0.09% and 0.06% gains, respectively, while France’s CAC 40 is down 0.3%.