The major benchmarks are quiet before the bell
Yesterday's muted price action is extending into today, with stock futures barely moving before the bell. The U.S. Federal Reserve’s two-day policy meeting kicks off today, taking much of Wall Street's focus. CME Group's FedWatch tool is pricing in a 99% chance the central bank skips a hike tomorrow, although investors remain on edge. Elsewhere, U.S. housing starts fell 11.3% in August from a revised 2% rise the previous month.
Continue reading for more on today's market, including:
- Watch these century marks and millennium levels on the SPX, per Schaeffer's Senior V.P. of Research Todd Salamone.
- How this pharma stock doubled options traders' money.
- Plus, RKLB plummets on launch failure; SBUX downgraded; and outperforming SMCI hit with bull note.
5 Things You Need to Know Today
- The Cboe Options Exchange (CBOE) saw over 1.3 million call and more than 802,601 put contracts exchanged on Monday. The single-session equity put/call ratio fell to 0.61 and the 21-day moving average stayed at 0.66.
- Rocket Lab USA Inc (NASDAQ:RKLB) stock is down 23% premarket, after the company suffered its first launch failure in over two years. The next mission has been postponed. Heading into today, the stock is up 33.7% since the start of the year, though if these losses hold, the stock will drop back into penny stock territory.
- Starbucks Corp (NYSE:SBUX) is down 1.2% in electronic trading, after Cowen downgraded the stock to "market perform" from "outperform," with a price-target cut to $107 from $117. The firm cited the "worrisome" macro backdrop in China, which could affect share growth. SBUX is down 2.5% in 2023.
- Super Micro Computer Inc (NASDAQ:SMCI) stock is up 1.9% before the bell, after Barclays initiated coverage with an "overweight" rating and $327 price target -- a 34% premium to yesterday's close. On the charts, SMCI is outperforming with a 197.6% year-to-date lead.
- See what economic data is scheduled this week.
Investors Eye Fed Minutes Overseas
Stocks in Asia mostly fell today, as traders digested the Reserve Bank of Australia’s meeting minutes from Sept. 5. Hong Kong’s Hang Seng bucked this sentiment, rising 0.4%, while China’s Shanghai Composite turned in a marginal loss. Rounding out the region, Japan’s Nikkei and South Korea’s Kospi fell 0.9% and 0.6%, respectively.
European markets are mixed, as investors in the region await the beginning of the U.S. Fed's two-day policy meeting. At last check, London’s FTSE 100 is fractionally higher, France’s CAC 40 sports a 0.2% lead, and Germany’s DAX is down 0.2%.