This is the worst jobs report since September 2017
Dow Jones Industrial Average (DJI) futures are trading 185 points below fair value, with the blue-chip index poised to extend its daily losing streak. Stocks are under a double-dose of pressure after China reported a 20% year-over-year drop in exports last month, fueling concerns about a global economic slowdown. And back home, investors are digesting the nonfarm payrolls report, which showed the U.S. added only 20,000 jobs in February, the smallest increase in since September 2017, and sharply below forecasts. Meanwhile, oil prices continue to fluctuate, with April-dated crude futures last seen down 2.7% at $55.15 per barrel.
Continue reading for more on today's market, including:
- History suggests record highs may be on horizon for Boeing stock.
- Manchester United stock scored a big win after a dramatic comeback.
- One analyst thinks this pharma stock could double.
- Plus, weak guidance hits AOBC; and bearish analyst attention for Exxon Mobil and Tilray.
5 Things You Need to Know Today
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The Chicago Board Options Exchange (CBOE) saw 940,954 call contracts traded on Thursday, compared to 718,836 put contracts. The single-session equity put/call ratio climbed to 0.76, and the 21-day moving average rose to 0.62.
- American Outdoor Brands Corp (NASDAQ:AOBC) stock is down 6.2% in electronic trading, after the gunmaker gave weak fiscal fourth-quarter guidance. AOBC is set to trade at its lowest level since a late-August bull gap. Prior to today, the shares had shed 11.5% in 2019, with their 80-day moving average providing resistance overhead.
- Exxon Mobil Corporation (NYSE:XOM) stock is down 2% ahead of the bell, after Cowen downgraded the energy name to "market perform" from "outperform," while slashing its price target to $75 from $100. Cowen sees lower dividend growth ahead for Exxon Mobil amid heightened capital spending. XOM has added 17.5% in 2019, and today's pullback could be contained by its ascending 20-day moving average.
- Shares of Tilray Inc (NASDAQ:TLRY) are down 6.9% in electronic trading, after Jefferies initiated coverage on the cannabis name with an "underperform" rating and $61 price target. The analyst in coverage called Tilray's valuation as "too rich" and dependent on a murky medical marijuana outlook. It's been a largely stagnant year for the pot stock, but today's drop has the shares on track for a second straight day of big losses.
- The Baker-Hughes rig count is due today. Navistar (NAV) will report earnings.
Chinese Export Data Crushes Asian Stocks
The huge sell-off in the Shanghai Composite paced the trading action in Asia today, with the Chinese benchmark falling 4.4% in response to the disappointing trade data. Japan’s Nikkei fell 2%, and Hong Kong’s Hang Seng dipped 1.9%, while the South Korea Kospi closed down 1.3%.
Not surprisingly, European stocks are under pressure at midday, as well. The weak Chinese data has pushed the FTSE 100 0.9% lower, while disappointing German manufacturing data is weighing heavy on the French CAC 40 and German DAX, which were last seen down 0.6%, and 0.7%, respectively. Traders also continue to consider the stimulus measures introduced by the European Central Bank (ECB) on Thursday, on top of ongoing Brexit discussions.