Learn the trade here. Make it on tradeMONSTER

Options Trading News

July 29, 2013  Mon 7:13 AM CT

SPX: SEE CHART GET CHAIN FIND STRATEGIES
Stocks are down slightly before a flood of economic news and corporate earnings this week.

Stock futures hit their lows late last night as worries about China's economy and a strong Japanese yen triggered losses of 2 percent to 3 percent in Asia. But Europe received a boost from earnings and merger news, lifting markets in Frankfurt, Paris, and London by more than 0.25 percent. S&P 500 futures have also recovered, and are now down by less than 0.2 percent. Treasury bond yields are also edging lower.

Pending home sales at 10 a.m. ET are the only item on today's agenda, but the calendar grows more active each day. Tomorrow brings consumer confidence data, the Case-Shiller index of home prices and economic sentiment data from Europe. Wednesday is packed with private-sector payrolls, second-quarter gross domestic product and the Federal Reserve's interest-rate decision.

Thursday features Europe's purchasing managers index and central-bank news, plus initial jobless claims and the Institute of Supply Management's forward-looking manufacturing index. Non-farm payrolls, perhaps the most important release each month, is scheduled for Friday morning.

Today's big earnings announcements include Hertz Global, Tenneco, Franklin Resources, Masco, and Herbalife.

The S&P 500 has spent more than a week hovering slightly above its previous all-time highs from May. Our researchLAB market scanner shows evidence of investors growing more cautious during that time by favoring non-cyclical health-care stocks over industrials. Transports have also lagged.

Other industry groups have shown strength. Gold and silver miners have outperformed, trying to rebound from more than a year of weakness. Chinese Internet companies, emerging markets, oil refiners, and videogame stocks have also been rallying in the last week.

Precious metals are up more than 1 percent today, which may continue to favor the miners. Brent crude is leading oil modestly higher, which could support refiners. Copper also rose fractionally despite the weakness in China overnight.

Trading in the foreign-exchange market is more cautious as the safe-haven Japanese yen posts small gains across the board. Currencies associated with risk appetite, such as the euro and Australian dollar, are also down slightly.

In company-specific news, advertising firm Omnicom rose about 4 percent after agreeing to merge with France's Publicis Groupe. Casino operator Wynn Resorts is down 1.5 percent after earnings and revenue missed expectations. Luxury retailer Saks also agreed to be acquired by Canada's Hudson's Bay department-store chain.
Share this article with your friends


Related Stories

SPX

Durable goods, jobless data on tap

April 24, 2014

The earnings calendar is heavy as well, with results from Caterpillar, GM, UPS, Verizon, Eli Lilly, Freeport-McMoRan, PulteGroup, D.R. Horton, Starwood, and American Airlines.

SPX

Equities retreat after quick rally

April 23, 2014

S&P 500 futures are off about 0.1 percent, while Europe is lower by about 0.5 percent. Asia was mixed overnight, with Tokyo up 1 percent and Hong Kong down by a similar amount.

SPX

Earnings, manufacturing on tap

April 23, 2014

In addition to HSBC/Markit's preliminary purchasing managers indexes for China and Europe, we will get earnings from Boeing, Delta Air Lines, Biogen Idec, EMC, and Dow Chemical this morning.

SPX

Stocks hover, pausing from rebound

April 22, 2014

S&P 500 futures are little-changed as the index pauses at a resistance level, but the Nasdaq 100 is continuing to claw its way back from its recent selloff.

SPX

Flood of earnings leads calendar

April 22, 2014

McDonald's, Travelers, United Technologies, Xerox, Lockheed Martin, Lexmark, AK Steel, and Arch Coal announce quarterly results before the opening bell.

Premium Services

Education & Strategy

Options and high-frequency trading

There has been much talk lately of high-frequency trading (HFT) and what it does--or doesn't--mean to the markets and retail...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER