Learn the trade here. Make it on tradeMONSTER

Options Trading News

June 12, 2014  Thu 7:13 AM CT

SPX: SEE CHART GET CHAIN FIND STRATEGIES
Stocks are trying to rebound from yesterday's shallow pullback as investors prepare for monthly retail sales data. Oil is surging as Iraq continues to destabilize.

S&P 500 futures are up less than 0.1 percent, tracking gains of a similar magnitude in Europe. Asia was mostly lower overnight as Japan fell 0.6 percent and Chinese indexes posted smaller losses. India remained strong, advancing 0.4 percent.

Today is the busiest news day of the week, with retail sales and weekly jobless claims both due at 8:30 a.m. ET. Oil inventories follow two hours later. Europe already reported that industrial production rose 0.8 percent in April, topping estimates for a 0.5 percent gain. The World Cup also gets underway in Brazil, which is likely to draw attention to emerging markets. Japan's central bank announces monetary policy tonight.

But perhaps the biggest story is the spread of violence in Iraq, where Sunni Islamists took Saddam Hussein's hometown of Tikrit--one day after storming the country's No. 2 city of Mosul. Kurdish forces responded by seizing the oil hub of Kirkuk. The net result is a dramatic weakening of the Shiite-dominated government in Baghdad.

Oil is up 1.5 percent on the news, while gold and silver are rising by about half a percent.

The S&P 500 has fallen the last two sessions after breaking out to record highs in May. Gains have slowed among transportation stocks and large caps, which had previously led the advance, while smaller companies in the Russell 2000 have played catch-up. Energy and financials have been the strongest sectors in the last week, according to our researchLAB market-analysis tool, while emerging markets such as Brazil, Colombia, Russia, and India have rallied. Utilities, health care, and bonds have lagged.

In company-specific news, Restoration Hardware is ripping 15 percent after reporting strong quarterly results. Subscribers to our InsideOptions Pro service are poised to more than double their money thanks to a strategy cited on May 30. Lululemon Athletica fell 10 percent after guiding second-quarter earnings and sales below current consensus.

Geron is surging 35 percent after the Food and Drug Administration lifted a hold on studies of the company's imetelstat cancer drug. The news comes one day after bullish call buying in the company's December 3 calls. Hewlett-Packard is also gaining 1 percent on a Goldman Sachs upgrade and after the company released a new cloud-based computer system called The Machine.

In addition to the gains in energy and precious metals, grains are also inching higher. There are no big movers in foreign-exchange markets.
Share this article with your friends


Related Stories

SPX

Cramer: Answering all the critics

October 24, 2014

Wednesday's session was infuriating. The moment this market went down big, it was a terrific opportunity to buy. But so many people offered excuses not to.

SPX

Futures pause after sharp rebound

October 24, 2014

U.S. equity futures are pointing to a lower open this morning after stocks rallied sharply yesterday, recovering losses from the previous session.

SPX

Earnings, housing data top docket

October 24, 2014

The earnings parade will continue to dominate the agenda today. New home sales at 10 a.m. ET are the only economic data scheduled for release.

SPX

Strong earnings push futures higher

October 23, 2014

Caterpillar is up more than 4 percent after blowing out estimates. General Motors, 3M, Southwest Airlines, Comcast, and Eli Lilly are higher as well.

SPX

Jobless claims, earnings top docket

October 23, 2014

Jobless claims will be reported at 8:30 a.m. ET. The pre-market earnings lineup includes General Motors, 3M, Eli Lilly, Union Pacific, Celgene, Comcast, American Airlines, and Under Armour.

Premium Services

Free Webinars

Make Money in a Volatile Market

Education & Strategy

Vexed by the VIX

Many people probably don't know that the calculation changed for the CBOE Volatility Index this week, but it's worth discussing...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER