DJIA futures are more than 310 points below fair value as crude oil futures tumble to new 12-year lows
Dow Jones Industrial Average (DJIA) futures are more than 300 points below fair value this morning, with stocks getting hammered as oil prices tank. February crude futures have plummeted 5.7% to $29.42 per barrel, marking oil's lowest price since November 2003. Fresh losses for stocks in China are also stoking the bearish mood, as is disappointing revenue growth from one of the biggest tech names on the Dow. As a result, the DJIA is currently at risk of erasing all of
Thursday's big gain.
Continue reading for more on today's market, including:
Futures on the Dow Jones Industrial Average (DJIA) are more than 310 points below fair value.
5 Things You Need to Know Today
- Stocks are lower across the globe today, with China officially entering a bear market.
- The Chicago Board Options Exchange (CBOE) saw 1.53 million call contracts traded on Thursday, compared to 1.25 million put contracts. The resultant single-session equity put/call ratio fell to 0.82, while the 21-day moving average rose to 0.74.
- Chip giant Intel Corporation (NASDAQ:INTC) has tumbled more than 6% ahead of the open, as the company's stronger-than-forecast fourth-quarter earnings were offset by a slowdown in data center revenue growth. As a result, INTC is now at risk of closing below its 200-day moving average for just the second time since early October.
- Bank stock Citigroup Inc (NYSE:C) is off 3.5% in electronic trading, despite topping analysts' profit and revenue expectations in the fourth quarter. C earned an adjusted profit of $1.06 per share as legal expenses dropped, while revenue jumped to $18.64 billion. However, with Dow futures broadly lower ahead of the open, stocks across the banking sector are getting slammed pre-market, with names like JPMorgan Chase & Co. (NYSE:JPM) and Goldman Sachs Group Inc (NYSE:GS) set to pare Thursday's gains.
- After tumbling nearly 10% yesterday on dismal holiday sales, Best Buy Co Inc (NYSE:BBY) has shed another 3.1% in pre-market action today. A round of negative analyst notes is exacerbating the stock's slide, led by a Wedbush downgrade to "underperform" from "neutral."
Earnings and Economic Data
Today's calendar features the producer price index (PPI), core PPI, retail sales, industrial production, business inventories, and the Thomson Reuters/University of Michigan consumer sentiment index. New York Fed President William Dudley will round out the week's central bank speeches.
Bank earnings continue to roll in. Wells Fargo (WFC), U.S. Bancorp (USB), PNC Financial (PNC), BlackRock (BLK), and Regions Financial (RF) will report. To see what's coming up on next week's agenda, click here.