Initial jobless claims fell to their lowest level since 1968
Stock futures are muted this morning, as Wall Street wraps its head around the U.S. Federal Reserve's plans to shrink its balance sheet by $95 billion a month, with 50 basis-point interest rate hikes potentially on the horizon. Futures on the Dow Jones Industrial Average (DJIA) are eyeing a 45-point drop, while S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) futures are flat. In other news, initial jobless claims totaled 166,000 last week -- their lowest level since 1968, and well below analysts' estimates.
Continue reading for more on today's market, including:
- Why this red-hot drug stock could keep surging.
- Dell stock looks like a solid bet for the risk-averse.
- Plus, Levi Strauss stock pops; dismal annual forecast hurts CAG; and e-tailer attracts downgrade.
5 Things You Need to Know Today
- The Cboe Options Exchange (CBOE) saw over 1.4 million call contracts traded on Wednesday, and 873,727 put contracts. The single-session equity put/call ratio rose to 0,60, and the 21-day moving average stayed at 0.57.
- Apparel retailer Levi Strauss & Co. (NYSE:LEVI) is up 2.5% before the bell, after the company posted better-than-expected fiscal first-quarter earnings and revenue. The upbeat results were attributed to stronger demand, higher prices, and fewer promotions. Year-to-date, LEVI remains down 22.5%.
- Conagra Brands Inc (NYSE:CAG) is down 2.6% ahead of the open, after the food name issued a dismal annual forecast due to higher transportation, as well as raw material costs. Longer term, the security has shed 8.7% over the past 12 months.
- Wells Fargo downgraded Wayfair Inc (NYSE:W) to “underweight” from “equal weight” earlier, noting cooling demand for the e-tailer's products, as well as overly optimistic sentiment. W is down 3.9% at last check, and already carries a 68.5% year-over-year deficit.
- Consumer credit data is slated for release later today.
Asian Markets Drop on C-Suite Shakeup
Markets in Asia fell today, as investors eyed two-straight days of losses for their U.S. counterparts. Vey-Serin Ling, a managing director at UBP, noted geopolitical tensions for Hong Kong-listed tech shares, as well as delisting concerns for Chinese companies. However, he also noted low valuations as well as potentially supportive factors for these companies. Also on investors’ radars today was news that Xu Lei will succeed Richard Liu as the CEO of Hong Kong-based company JD.com (JD), effective immediately. Japan's Nikkei led the losses with a 1.7% drop, while Hong Kong's Hang Seng fell 1.2%, and China's Shanghai Composite and the South Korean Kospi both fell 1.4%.
European markets are mostly higher midday, with eyes on further sanctions against Russia as well as the U.S. Fed policy. London's FTSE 100 is down 0.1%, while the French CAC 40 and German DAX have both added 0.5% so far today.