The DJIA is set to extend yesterday's post-Fed momentum
Dow Jones Industrial Average (DJIA) futures are above fair value, indicating stocks are set to start the day higher as traders continue to respond to yesterday's
rate hike from the Fed. Recovering
oil prices are also lifting the market, with April-dated crude up 0.9% at $49.28 per barrel, following yesterday's surprise drop in U.S. stockpiles. On the economic front, weekly jobless claims came in essentially in line with estimates, dropping a hair from the previous week, to 241,000. Meanwhile, housing starts rose by 3% in February, beating expectations and notching the second-highest level since 2007. The Philadelphia Fed business outlook survey for March also topped predictions, but fell to 32.8 from a 33-year high of 43.3 a month earlier.
Continue reading for more on today's market, including:
- Analyst: 5 reasons to expect new lows from Snap Inc (NYSE:SNAP).
- Why analysts trimmed their price target by 41% on this tech stock.
- How options traders are playing Adobe Systems Incorporated (NASDAQ:ADBE) ahead of earnings.
- Plus, GoPro makes cuts; Oracle takes off on earnings; and Guess falls short of expectations.
Futures on the Dow Jones Industrial Average (DJIA) are nearly 54 points above fair value.
5 Things You Need to Know Today
- The Chicago Board Options Exchange (CBOE) saw 823,472 call contracts traded on Wednesday, compared to 500,625 put contracts. The resultant single-session equity put/call ratio fell to 0.61, while the 21-day moving average sat put at 0.62.
- Camera maker GoPro Inc (NASDAQ:GPRO) is set to open 11% higher, after the company announced late Wednesday it will cut about 270 jobs, or 17% of its workforce, and forecast first-quarter sales at the high end of previous guidance. This morning's gains could have GPRO shares back above the recently breached $8 mark after notching an all-time low in yesterday's session.
- A well-received earnings report has software stock Oracle Corporation (NYSE:ORCL) up 6.4% ahead of the bell, and on pace to open at a 16-year high. The news has so far been met with at least two analyst upgrades, and no fewer than a dozen price-target hikes.
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Retailer
Guess?, Inc. (NYSE:GES) is set to open at a 10-year low after reporting quarterly earnings below expectations, along with a weak outlook. The stock has received at least six price-target cuts so far, and could widen its already 43.6% year-over-year deficit, should these pre-market losses materialize.
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The Job Openings and Labor Turnover Survey (JOLTS) will be released later today. For earnings, Dollar General (DG), JA Solar (JASO), MannKind (MNKD), and Vivint Solar (VSLR) are on the schedule.
Overseas Trading
Asian stocks enjoyed a positive session following the Fed's decision to raise interest rates, while central bank decisions in China and Japan were also in focus. For instance, the Bank of Japan left its monetary policy unchanged, helping the yen gain against the dollar. At the close, the Nikkei was up 0.1%. Meanwhile, the People's Bank of China raised short-term interest rates by 10 basis points. The Shanghai Composite closed up 0.9% after the decision, while Hong Kong's Hang Seng rallied 2.1%. South Korea's Kospi also had a strong day, picking up 0.8%.
European stocks are also moving higher today, as traders digest the latest policy decision from the Bank of England (BoE), and election results out of the Netherlands. Starting with the BoE, the central bank left interest rates unchanged -- though one voter dissented -- pushing the pound higher against the dollar and lifting bank stocks. Meanwhile, Dutch voters rejected populist candidate Geert Wilders in the general election. Mining stocks are among the top performers in the region, with Anglo American PLC leading the way, thanks to a 12% stake from Volcan Investments. After earlier touching a record high, the FTSE 100 was last seen 0.9% higher, as was Germany's DAX. In France, the CAC 40 is up 0.7%.
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