China will reportedly increase its U.S. soybean purchases next month
Futures on the Dow Jones Industrial Average (DJI) are above fair value this morning, as the blue-chip index looks to build on Wednesday's big swing higher. Today's attention will remain focused on U.S.-China trade, after a Bloomberg News report suggested China may boost the amount of U.S. soybeans it buys in October. Wall Street will also keep one eye trained on Washington, D.C, where Acting Director of National Intelligence Joseph Maguire will testify in front of the House Intelligence Committee about the whistleblower scandal that sparked an impeachment inquiry into President Donald Trump.
Continue reading for more on today's market, including:
5 Things You Need to Know Today
- The Cboe Options Exchange (CBOE) saw 903,105 call contracts traded on Wednesday, compared to 604,220 put contracts. The single-session equity put/call ratio fell to 0.67 while the 21-day moving average rose to 0.64.
- Beyond Meat Inc (NASDAQ:BYND) stock is up 16.4% ahead of the bell, on news McDonald's (MCD) will test a plant-based sandwich using a patty made by the faux-meat firm. BYND stock closed last night at $138.32 -- triple its May 2 open at $46, but well off of its July 26 record high at $239.71.
- Peloton Interactive (NASDAQ:PTON) will begin trading on the Nasdaq this morning. The web-connected stationary bikes and treadmills maker priced its initial public offering (IPO) last night at $29 per share, at the high end of the expected $26-$29 per share range, which gives the company an $8.1 billion market cap.
- KB Home (NYSE:KBH) reported stronger-than-expected fiscal third-quarter profit of 73 cents per share on $1.16 billion in revenue -- slightly below the consensus estimate. Several bullish analysts have already raised their KBH price targets, too, sending the stock up 1.6% ahead of the bell, and putting it on pace to open at a new annual high of $32.80 per share.
- The final reading on second-quarter gross domestic product (GDP), international trade data, pending home sales, and weekly jobless claims are all due. Dallas Fed President Robert Kaplan, St. Louis Fed President James Bullard, San Francisco Fed President Mary Daly, and Minneapolis Fed President Neel Kashkari are slated to speak. Accenture (ACN) and Conagra Brands (CAG) will report earnings.
German Stocks Rise on Upbeat Economic Data
Stocks in Asia ended mostly higher as investors combed over Trump's latest comments that a trade deal between the U.S. and China could be struck "sooner than you think." The Shanghai Composite in China was the only major Asian market to end lower, however, as traders continued to reel over Trump's earlier warning that he refuses to make a "bad deal." Elsewhere, the Hong Kong Hang Seng is up 0.4% on a boost from tech name Tencent, while a solid day for auto stocks on tariff optimism pulled Japan's Nikkei 0.1% higher. South Korea's Kospi remained mostly unmoved for the day, up 0.05% with surging semiconductor stocks in focus.
Renewed optimism over a trade deal between the U.S. and China has stocks in Europe trading higher at midday. London's FTSE 100 has managed to tack on 1.1%, brushing off recent Brexit drama, with Prime Minister Boris Johnson challenging opposition leaders to vote no-confidence in his leadership in a heated session of the House of Commons. The French CAC 40 is 0.8% higher, and the German DAX has added 0.5% -- boosted by its Gfk consumer confidence survey, which rose for the first time this year.