Options Trading News

December 7, 2012  Fri 7:10 AM CT


Stocks are drifting lower as traders brace for key employment data this morning.

The S&P 500 is down by less about one-quarter of a percent, tracking similar declines in Europe. Asian markets were modestly higher overnight after the S&P 500 closed near its highs yesterday.

The index fell between mid-October and mid-November, rebounded quickly and has been trading in a tight range over the last two weeks as investors await resolution of the so-called fiscal cliff in Washington. Today they're also focusing on the monthly non-farm payrolls report at 8:30 a.m. ET, which is forecast to show that 85,000 jobs were created last month.

While normally important, today's job numbers carry less weight because they were probably reduced by Hurricane Sandy hitting New York and New Jersey in late October. Other employment data has been mixed this week, with ADP's private-sector payrolls report missing estimates on Wednesday but weekly jobless claims coming in better than expected.

The University of Michigan's index of consumer sentiment follows the job report at 9:45 a.m. ET. Economists forecast a reading of 82.4, down from 82.7 last month.

The main economic news overseas came from Germany, whose central bank lowered its 2013 growth outlook.

Currencies and commodities are also painting a cautious picture. The euro, Canadian dollar and Australian dollar, which tend to follow share prices, are all slightly lower. The Japanese yen, which moves in the opposite direction, is also higher across the board.

Crude oil and gold are down by about one-quarter of a percent. Copper is slightly positive and most agricultural foodstuffs are lower. Silver is dropping by almost a full percentage point.

In company-specific news, Irish drug maker Amarin is indicated to fall about 19 percent after saying it would borrow $100 million and market its Vascepa without the help of a partner.

Share this article with your friends

Related Stories


Stocks drop after weak jobs report

October 2, 2015

S&P 500 futures are down more than 1 percent after non-farm payrolls missed forecasts. Bonds and gold moved higher.


Monthly job report leads calendar

October 2, 2015

Due at 8:30 a.m. ET, the report is expected to show that 205,000 jobs were added last month, up from August's 173,000 gain.


Stocks higher before ISM report

October 1, 2015

S&P 500 futures are up 0.2 percent but well below their pre-market peak. Europe has traded similarly, with Germany turning negative while France and Italy are up about 0.8 percent.


ISM manufacturing leads agenda

October 1, 2015

Economists are looking for an ISM reading of 50.6, down from 51.1 in August. Natural-gas inventories round out the agenda at 10:30 a.m. ET.


Stocks hold ground after ADP data

September 30, 2015

S&P 500 futures are up more than 1 percent after ADP's payrolls report met expectations. Most of Europe is up more than 2 percent, and Tokyo surged 2.7 percent overnight.

Invest Like a Monster - San Antonio: October 9-10

Premium Services

Archived Webinar

Education & Strategy

Options Academy: More on the Covered Call Strategy

Last week, we talked about the Covered Call and the misconceptions that surround it. We spoke about how an investor must realize that the Covered Call is actually a premium collection strategy and not so much a directional one. If an investor can grasp this idea, the investor stands to do a heck of a lot better in the strategy than they currently do.

View more education articles »