Stocks Set to Gain Again

Futures on the Dow Jones Industrial Average (DJI) are trading above fair value, as stocks try to build off their best day in months on Tuesday. However, investors this morning were greeted by a bad miss in the ADP employment report, with just 27,000 private payrolls added in May, compared to 173,000 expected -- potentially adding to recent fears of an economic slowdown. Regardless, futures on the S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) are also above fair value.

Continue reading for more on today's market, including: 

• Schaeffer's Senior Quantitative Analyst Rocky White dives into what quadruple witching expiration means for stocks.
• Drug stock that has Wall Street "confused" gets huge price target.
• Why not to buy into that recent CVS stock rally.
• Plus, GameStop gets torched; Salesforce sails higher; and data concerns grow from lab stocks.

5 Things You Need to Know Today

1. The Chicago Board Options Exchange (CBOE) saw 999,117 call contracts traded on Tuesday, compared to 668,182 put contracts. The single-session equity put/call ratio stayed at 0.67, while the 21-day moving average came in at 0.71.
2. GameStop Corp (NYSE:GME) reported another quarter of slowing sales and halted its dividend as a result, sending shares of the video game retailer down 29% before the bell. This would put GME shares in territory not touched since 2004, as the stock extends its incredible sell-off from recent months.
3. The shares of Salesforce.com, Inc. (NYSE:CRM) are gaining 3.3% in electronic trading on the company's beat-and-raise from last evening. According to Thomson Reuters, this is at least the eighth straight quarter the company has topped expectations on the top and bottom line, as CRM stock tries to create distance between the $150 region.
4. Quest Diagnostics Inc (NYSE:DGX) yesterday announced a data breach that exposed the sensitive information of up to 12 million patients, and that was followed up by similar news from rival Laboratory Corp. of America Holdings (NYSE:LH). Specifically, the company last evening said almost eight million customers may be affected by a breach.
5. Today, Atlanta Fed President Raphael Bostic will speak. Elsewhere, Wall Street will digest weekly crude inventories data, the ISM non-manufacturing index, and the Fed's Beige Book. Quarterly earnings reports are expected from American Eagle (AEO), Campbell Soup (CPB), Five Below (FIVE), and Stitch Fix (SFIX).
   
   

Overseas Markets Gain After U.S. Rally

Stocks in Asia ended mostly higher today, taking their bullish cues from Wall Street. Japan’s Nikkei boasted the largest gains, up 1.8%, amid reports that SoftBank is expecting 1.2 trillion yen in profit after selling its stake in Alibaba. Hong Kong’s Hang Seng added 0.5%, while South Korea’s Kospi tacked on 0.1%. China's Shanghai Composite was the only index to close below the breakeven, down 0.03%, after the Caixin services purchasing managers index slowed in May and the International Monetary Fund (IMF) cut its China growth forecasts for this year and next on trade war risks.

Hopes for a U.S. rate cut created tailwinds in Europe, with markets in the black at midday. London’s FTSE 100 is up 0.5%, after the Markit's services PMI for the U.K. beat estimates in May. And ahead of a visit from U.S. President Donald Trump, the French CAC 40 up 0.6%. Elsewhere, the German DAX has risen 0.4%.