All three benchmarks are wrapping up a year of big gains
In the wake of the market pullback yesterday, Dow Jones Industrial Average (DJI) futures are drifting below fair value on the last trading day of the year and decade. Futures on the S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) have also slipped into the red, taking a final breather on a banner year of gains across the board. In geopolitical news, after an attack on a U.S. embassy in Iraq, President Donald Trump placed the blame on Iran, tweeting, "They will be held fully responsible."
Continue reading for more on today's market, including:
- 2 risks to bulls heading into 2020, according to Schaeffer's Senior V.P. of Research Todd Salamone.
- This oil stock is signaling more upside.
- Plus, Core Laboratories sinks on trimmed guidance; SINA announces stock buyback program; and Nio set to extend its breakout.
5 Things You Need to Know Today
- The Cboe Options Exchange (CBOE) saw 870,951 call contracts traded on Monday, compared to 511,550 put contracts. The single-session equity put/call ratio slipped to 0.59, while the 21-day moving average stayed at 0.57.
- Core Laboratories N.V. (NASDAQ:CLB) stock is down 21.5% in electronic trading, after the oil company cut its fourth-quarter guidance and quarterly dividend, and gave a weaker-than-anticipated first-quarter forecast. Three brokerages have issued price-target cuts already, including Cowen to $39 from $42. CLB is set to open near its Aug. 15 10-year low of $36.61.
- SINA Corp (NASDAQ:SINA) stock is up 3.4% ahead of the bell, after the Chinese tech name announced a $500 million share buyback program. SINA is down 30.6% year-to-date, with recent pressure looming at the 80-day moving average.
- The shares of Nio Inc (NYSE:NIO) seem poised for another big day, up 12.4% before the open, after Piper Jaffray upped its price target to $4.15. The analyst in coverage cited a short squeeze likely assisted in Nio stock's 53.7% gain yesterday, with initial optimism sparked by the Tesla rival's quarterly report.
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The S&P CoreLogic/Case Shiller home price index and consumer confidence index will hit. There are no earnings on the docket, and the stock market will be closed tomorrow for New Year's Day.
Overseas Markets Mixed in End-of-Year Trading
On the whole, trading was mixed in Asia for the last day of the year, though Chinese shares managed to outperform. In fact, the Shanghai Composite moved up 0.3% to notch its highest close since April, following reports the phase one trade deal between the U.S. and China could be signed this week. Still, markets in Hong Kong and Japan failed to rise, with the Hang Seng and Nikkei notching respective losses of 0.5% and 0.8%. South Korea’s Kospi dipped, too, closing down 0.3%.
With a number of stock markets in the region closed, investors in Europe monitored thin trading to end the year. Amid the light volumes, London’s FTSE 100 shed 0.6% in an abbreviated session, while the CAC 40 was last seen with a 0.07% decline in France.