Disappointing jobs data might mean more fodder for the Fed to cut rates
Dow futures are back above fair value this morning, with Wall Street hoping that disappointing private-sector payrolls data might be grounds for the Fed to potentially cut interest rates later this month. ADP reported payrolls growth of just 102,000, falling short of expectations for an increase of 135,000 -- and setting the stage for a possible miss when the Bureau of Labor Statistics reports June payrolls this Friday before the opening bell. It will be a shortened session for stocks today, with markets closing at 1 p.m. ET ahead of the Fourth of July Holiday.
Continue reading for more on today's market, including:
- What the S&P's big first-half performance could mean for the rest of 2019, according to Schaeffer's Senior Quantitative Analyst Rocky White.
- 3 stocks analyst love right now.
- Plus, Broadcom could buy Symantec, Canopy Growth's CEO gets fired, and Tesla announces record production and delivery data.
5 Things You Need to Know Today
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The Chicago Board Options Exchange (CBOE) saw 735,974 call contracts traded on Tuesday, compared to 485,435 put contracts. The single-session equity put/call ratio landed at 0.66, while the 21-day moving average is 0.62.
- Cybersecurity stock Symantec Corporation (NASDAQ:SYMC) is soaring in pre-market trading on reports from Bloomberg that Broadcom (AVGO) is in advanced talks to purchase the company. SYMC stock is up more than 13% to trade just above $25 per share, while AVGO is down 3.7%.
- Shares of Canada-based marijuana concern Canopy Growth Corp (NYSE:CGC) are down 1.2% in electronic trading after the firm's co-CEO Bruce Linton announced that he was fired from the company in a CNBC interview. Linton's hasty exit means that Mark Zekulin is now the sole CEO of the firm.
- Tesla Inc (NASDAQ:TSLA) just announced second-quarter production and delivery data that shattered its previous records, and beat out analysts' expectations. Specifically, 95,200 cars were delivered during this quarter, and 87,048 were produced. TSLA stock is up 6.7% ahead of the open.
- Today, international trade data, weekly jobless claims, factory orders, the PMI services index,and the ISM non-manufacturing index are on tap before markets close at 1:00 p.m. ET.
European Markets Slightly Higher as Investors Digest Dovish BoE Speech
Stocks in Asia traded lower overnight. China’s Shanghai Composite fell 0.9% and Hong Kong’s Hang Seng dipped 0.1%, as traders digested a multi-month low in June’s Caixin services purchasing managers index (PMI). Japan’s Nikkei also closed in the red, giving back 0.5%, and South Korea’s Kospi fell 1.2%.
Meanwhile, European benchmarks are managing to rise halfway through the session. Investors are still reacting to Tuesday’s announcements of new nominees for leadership roles in the major European institutions, while a dovish speech from Bank of England (BoE) Governor Mark Carney is also in focus. London’s FTSE 100 was last seen trading 0.7% higher, while France’s CAC 40 and Germany’s DAX are both sporting midday leads of 0.6%.