PCE inflation fell to 4.2% in March
The latest batch of corporate earnings is sending the major indexes lower before the bell. At last glance, futures on the Dow Jones Industrial Average (DJIA), Nasdaq-100 Index (NDX), and S&P 500 Index (SPX) are all comfortably in the red, with disappointments from Snap (SNAP), Intel (INTC), and Pinterest (PINS) overshadowing more upbeat reports.
The key inflation gauge for March rose an anticipated, 0.3%, while personal consumption expenditure (PCE) inflation slipped to 4.2% in March -- compared to February's reading of 5.1%. For the week, the Dow and S&P 500 are eyeing wins, while the tech-heavy Nasdaq is inching lower.
Continue reading for more on today's market, including:
- Keep a close eye on these 2 airline stocks.
- Best way to trade in a high volatility market.
- Plus, Intel's earnings whiff; oil giant suffers production drop; and social media giant's pre-market plunge.
5 Things You Need to Know Today
- The Cboe Options Exchange (CBOE) saw more than 1.4 million call contracts and 991,476 million put contracts exchanged on Thursday. The single-session equity put/call ratio fell to 0.70 and the 21-day moving average dropped to 0.76.
- Intel Corporation (NASDAQ:INTC) is up 5.8% in pre-market trading, a surprise lift following the company's first-quarter report. The tech giant dealt its worst quarterly loss ever -- -4 cents per share -- though it did come in better than analyst estimates. Intel stock is sporting a 12.9% year-to-date gain and enjoying a slew of fresh price-target hikes.
- Oil leader Chevron Corporation (NYSE:CVX) is down a modest 0.5% before the the bell, after the equity's production division suffered a 25% drop in net profit last quarter. The company did manage a quarterly beat and remains 6% higher year-over-year.
- Snapchat parent Snap Inc (NYSE:SNAP) is moving significantly lower before the open, off 18% after reporting a first-quarter revenue miss. Year-over-year revenue fell 6%, and in response the equity is seeing several price-target cuts. SNAP is gripping to its 17% year-to-date lead.
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For
economic data today, the employment cost index is due out, along with consumer spending data, and the Chicago purchasing managers' index (PMI).
Asian Markets Jump Amid Interest Rate Update
Asian markets closed Friday higher, responding favorably to the Bank of Japan (BoJ) keeping interest rates unchanged in its first monetary policy meeting chaired by new governor Kazuo Ueda. In response, Japan’s Nikkei jumped 1.4%, likely aided by a blowout earnings report from Sony. South Korea posted a smaller-than-expected 7.6% year-over-year drop in industrial output for March, helping the Kospi add 0.2%. Rounding out the region, China’s Shanghai Composite and Hong Kong’s Hang tacked on 1.1% and 0.3%, respectively.
In Europe, the major bourses are lower this afternoon, after data showed the euro zone economy grew by just 0.1% in the first quarter. Germany’s DAX is 0.2% lower at last glance, after the country’s gross domestic product (GDP) stagnated during the quarter. France’s CAC 40 is down 0.7% midday after GDP grew by 0.2%, while London’s FTSE 100 is down 0.1% on the back of flailing bank stocks.