Options Trading News

March 28, 2013  Thu 7:10 AM CT

Stocks are indicated to open slightly higher today as the S&P 500 refuses to back down from multiyear highs.

Index futures rose less than one-tenth of one percent, while the gains have been accelerating in Europe over the last hour. Asia fell in the overnight session, punctuated by a drop of more than 1 percent Tokyo and a 3 percent decline in Shanghai.

The catalyst for today's gains appears to be little more than the ongoing bullish momentum in equities, plus a lack of crisis in Europe. Cyprus reopened banks with limits on the size of withdrawal to prevent bank runs. Meanwhile, German retail sales and Italian business confidence were both better than economists had forecast.

Few sellers have been willing to push the S&P 500 as is consolidates in a range barely 1 percent below its previous all-time high from 2007. It's made steadily higher lows for the last week and refused to close below its 10-day moving average for more than one session at a time, which may suggest it's preparing for an attempted breakout. Other key indexes, including the Dow Jones Transportation Average, the Dow Jones Industrial Average and the Russell 2000 are already in record territory.

Today's event calendar included weekly jobless claims and the revision to fourth-quarter gross domestic product numbers at 8:30 a.m. The Chicago purchasing managers index follows at 9:45 a.m. and natural-gas inventories will be announced at 10:30 a.m.

Foreign-exchange and commodity trading are relatively muted, but consistent with a strong equity market. The euro is up slightly, trying to bounce after declining to a 4-1/2 month low against the U.S. dollar. The safe-haven Japanese yen is also weaker across the board. Oil and copper are modestly higher, along with agricultural products, while precious metals are down fractionally.

In company-specific news, BlackBerry is down less than 1 percent after its earnings beat expectations but revenue missed. Fertilizer company Mosaic is up marginally after reporting its numbers.
Share this article with your friends

Related Stories


Stocks inch higher before data

November 25, 2015

S&P 500 futures are up about 0.1 percent, while most of Europe is rallying more than 1 percent. Asia was mostly lower overnight.


Calendar is busy before holiday

November 25, 2015

Today's agenda is packed with data, including mortgage applications, jobless claims, durable goods, personal income and spending, consumer sentiment, and new home sales.


Stocks fall after Russian jet downed

November 24, 2015

S&P 500 futures are down 0.6 percent, while most of Europe has fallen more than 1 percent. Asian markets were little-changed.


GDP, consumer confidence on tap

November 24, 2015

The second reading on third-quarter GDP is scheduled for 8:30 a.m. ET. Forecasters anticipate growth of 2 percent, up from the previously reported 1.5 percent gain.


Stocks drift into busy week of data

November 23, 2015

S&P 500 futures are little-changed, while most of Europe is fractionally lower. Asia also posted small losses overnight. There's also significant volatility in oil.


Premium Services

Education & Strategy

The art of trading

As I stated in last week's article, a break out or a break down needs to have a couple things happen before it is considered a confirmed break out or break down. The only problem is that in today's market where things move much more quicker than they did just a few years ago, two days could wind up being the majority of the expected movement, if not the whole movement.

View more education articles »