Learn the trade here. Make it on tradeMONSTER

Options Trading News

August 15, 2013  Thu 7:00 AM CT

SPX: SEE CHART GET CHAIN FIND STRATEGIES
U.S. stock futures are pointing to a lower open after disappointing quarterly results by two industry leaders.

Cisco and Wal-Mart are down about 7 percent and 3 percent respectively following their respective reports last night and this morning. Attention now turns to today's barrage of economic data, which includes initial jobless claims, consumer prices, and the Empire State manufacturing index, all scheduled for release at 8:30 a.m. ET.

Stock indexes are at an important juncture as traders consider whether to continue their bullish momentum of recent months or pull back amid uncertainty over a potential shift in the Federal Reserve's monetary policy. Today's economic data will be examined closely for clues about the future of quantitative easing, as will a speech by St. Louis Federal Reserve President James Bullard at 8:15 a.m. ET. (See related story)

S&P 500 futures are down about 0.6 percent, while Nasdaq 100 contracts are lower by about 0.7 percent at the time of this writing. Both have been weakening throughout the morning, as have overseas indexes.

The U.K. FTSE is losing more than 1 percent, while Germany's DAX and France's CAC are falling about 0.5 percent. Japan's volatile Nikkei led Asia's losses with a 2 percent drop overnight as the Shanghai Composite dropped nearly 1 percent.

The U.S. dollar is down against other major currencies, including the euro and the Japanese yen. A rising yen, traditionally viewed as a "safe haven" asset, is usually bearish for equities.

Crude oil is up about 0.4 percent, while metals are mixed. Spot gold is flat while silver is showing a slight gain, but copper is down about 0.4 percent.

Metals and materials have been rising recently, and mining companies have been leading the way after being beaten down mercilessly all year. Gold and silver are back above their 50-day moving averages, while industrial metals have gotten a boost from recent positive economic data from China. Despite copper's decline today, it is still up sharply since late July.

The retail sector will also likely be in focus today after the weak reports from market leaders Wal-Mart this morning and Macy's yesterday. Traders will be focusing on technology as well to see if Cisco's numbers will counter the positive effects of Apple's resurgence in the sector.
Share this article with your friends


Related Stories

SPX

Earnings, housing data on docket

July 22, 2014

Today's first economic report is the consumer-price index at 8:30 a.m. ET. Comcast, DuPont, McDonald's, Verizon, United Technology, Lockheed Martin, and Ingersoll-Rand report earnings this morning.

SPX

Futures lower on Ukraine tensions

July 21, 2014

Stock futures are lower this morning as geopolitical tensions simmer between Russia and the West. A stream of earnings reports are awaited as well.

SPX

Earnings dominate week's calendar

July 21, 2014

Earnings reports will take center stage today in the absence of any large economic releases, barring further geopolitical pressures.

SPX

Stocks try to rebound from selloff

July 18, 2014

S&P 500 futures are up 0.1 percent, and Europe is holding its ground with fractional declines. Japan was the only Asian index to fall more than 1 percent overnight.

SPX

Earnings, consumer data on docket

July 18, 2014

Consumer sentiment is the main economic report today, and geopolitical event could steal the show. There are also earnings from GE, Honeywell, Johnson Controls, Bank of New York Mellon, and Cemex.

Premium Services

Free Webinars

Join The 100k Challenge: Turn 3k into 100k

Education & Strategy

Why the VIX isn't 'broken'

For months there has been lots of talk about complacency and the "broken" CBOE Volatility Index, but both discussions are...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER