The Dow is still holding to weekly gains, however
Dow Jones Industrial Average (DJI) futures are trading below fair value this morning, following the September nonfarm payrolls report. Government data showed that the U.S. economy created 134,000 jobs during the month, missing expectations of 185,000, though the unemployment rate fell to a 49-year low of 3.7%. In addition, August payrolls were upwardly revised. As such, stocks are set to extend their pullback from yesterday's session, putting the Dow's weekly gains in jeopardy, while the Cboe Volatility Index (VIX) and 10-year Treasury yield should also continue to get plenty of attention, as well.
Continue reading for more on today's market, including:
5 Things You Need to Know Today
- The Chicago Board Options Exchange (CBOE) saw 998,160 call contracts traded on Thursday, compared to 713,835 put contracts. The single-session equity put/call ratio moved up to 0.72, and the 21-day moving average moved up to 0.60.
- Costco Wholesale Corporation (NASDAQ:COST) stock is in the red in pre-market trading, following the company's fiscal fourth-quarter results. Revenue for the period edged out estimates, but investors are focusing instead on tepid gross margins and decelerating online sales growth. COST stock is set to open down 3.5%, going against its historical trend of outperforming in the fourth quarter.
- GoPro Inc (NASDAQ:GPRO) last night released a statement touting the strong sales for its new HERO7 camera, sending the stock 4.6% higher before the open. The camera's weekly sales were the best for any new camera in the company's history, while social media engagement surged from last year's release. GPRO stock rallied on upbeat analyst attention late last month, but has since given back those gains.
- Cybersecurity stock Fortinet Inc (NASDAQ:FTNT) is slightly lower in pre-market trading, despite news the security will be added to the S&P 500 Index (SPX). FTNT stock has been a major outperformer in the past year, yet the vast majority of analysts still have just "hold" ratings -- which could be a bullish signal, based on our research on new SPX additions.
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International trade data, the consumer credit report, and Baker-Hughes rig count are also expected. There are no notable earnings to report. Dow component Walgreens Boots Alliance (WBA) highlights next week's earnings schedule.
Tech Losses Weigh on Asian Markets
Asian markets finished lower as tech extended its global sell-off, and investors reacted to yesterday’s surge in U.S. bond yields. Japan's Nikkei closed 0.8% lower, while Hong Kong's Hang Seng shed 0.2%, as Apple suppliers weighed heavy following Bloomberg Businessweek's Chinese hacking report. Lastly, South Korea's Kospi finished down 0.3%, and China's Shanghai Composite remained closed for holiday.
European stocks are lower at midday, as traders digest U.S. jobs data. London's FTSE 100 and Germany's DAX are both 0.7% lower, and France's CAC 40 is down 0.4%, at last check.