Oil futures are rising today, too
Dow Jones Industrial Average (DJI) futures are signaling a strong push higher, on renewed U.S.-China trade optimism. More specifically, U.S. Treasury Secretary Steven Mnuchin tweeted about "constructive trade talks in Beijing," with the two sides set to meet in Washington next week. Investors are also digesting a 0.1% monthly drop in the personal consumption expenditures (PCE) index for January, bringing the year-over-year reading to 1.4% -- the lowest level since late 2016. Elsewhere, despite President Donald Trump's tweets yesterday about oil prices, May-dated crude futures are up 1.9% at $60.45 per barrel.
Continue reading for more on today's market, including:
- History says drop this tech stock before April.
- Troubled FedEx stock just flashed a sell signal.
- Bullish bias grows on this drug stock.
- Plus, BlackBerry toasts earnings beat; GM sells Korean plant; and Credit Suisse pumps the brakes on Spotify.
5 Things You Need to Know Today
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The Chicago Board Options Exchange (CBOE) saw 709,462 call contracts traded on Thursday, compared to 501,508 put contracts. The single-session equity put/call ratio rose to 0.71, and the 21-day moving average climbed to 0.63.
- BlackBerry Ltd (NYSE:BB) stock is up 11.2% in electronic trading, after the tech concern reported fourth-quarter earnings and revenue that exceeded analyst expectations. Options traders had been bracing for a big post-earnings move, and BB is now set to topple their 200-day moving average once more.
- General Motors Company (NYSE:GM) stock is up 0.9% ahead of the bell, after the automaker sold a South Korean plant to a Tesla supplier for $99 million. GM has recently consolidated below the $37.50 area, home to its post-bull gap levels from late January.
- The shares of Spotify Technology SA (NYSE:SPOT) are down 1.2% in electronic trading, after Credit Suisse initiated coverage with an "underperform" rating and $120 price target. The analyst in coverage believes long-term expectations are unrealistic despite strong subscriber growth. SPOT has added 21.2% in 2019, but has encountered a stiff ceiling at its 160-day trendline.
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The Chicago purchasing managers manufacturing index (PMI), new home sales, and consumer sentiment all come out today. CarMax (KMX) will round out the earnings reports.
Asia Boosted by Trade Talks, Europe Cheers Economic Data
Stocks in Asia got a boost on the heels of another day of trade talks between the U.S. and China, with news reports quoting officials from the countries describing the meetings as "constructive" and "productive." What’s more, China said it would expand access for foreign entities for a number of markets, most notably the financial services space. As such, the Shanghai Composite jumped to a 3.2% win. Meanwhile, Hong Kong's Hang Sang added 1%, Japan's Nikkei rose 0.8%, and South Korea’s Kospi closed up 0.6%.
Turning to Europe, buyers are also in control, with the major benchmarks holding positive territory halfway through the day. On top of apparent optimism around trade, investors are considering a raft of economic data out of the U.K., including a slightly better-than-expected gross domestic product (GDP) number for the fourth quarter. Meanwhile in Germany, retail sales for February topped expectations. All this comes as British lawmakers continue to work out a Brexit deal, with another vote taking place today. London’s FTSE 100 is up 0.4%, while the German DAX and French CAC 40 are up 0.9% each.