Good morning! For June 24, here are your Dow futures, earnings reports, top stock market news, and stocks to watch...
Dow Futures Today
Dow futures today (Wednesday) forecasted a 67-point decline from yesterday's close as traders felt jitters over the current negotiations between Greece and its creditors. This morning, European ministers and creditors rejected a number of new proposals from the debt-ridden nation to reach a deal by this Sunday. (Editor's Note: Read here for a breakdown of what happens when - not "if" - Greece defaults.)
Yesterday, the DJIA added 25 points. The markets reversed early losses after Federal Reserve Governor Jerome Powell said today the U.S. economy may be prepared for two interest rate hikes in 2015. The Nasdaq Composite and the Russell 2000 index finished at a new record close, while the S&P 500 is now a few points off from its all-time record.
Top News in the Stock Market Today
- Stock Market Today: This morning, investors will react to the final revision of first-quarter GDP, which economists correctly guessed would register at NEGATIVE 0.2%. That's a slight uptick from the NEGATIVE 0.7% calculated during the second revision of the growth figure. Economists blamed bad weather, a strong dollar, capital expenditure cuts in the oil industry, and disruptions at West Coast ports for the final negative reading. In addition, keep an eye on the EIA petroleum status report and a monthly update on corporation profits.
- Oil Outlook: WTI oil prices were flat at $61 a barrel today as U.S. inventory data suggested a decline in supplies. Meanwhile, Brent oil was down 0.1% to $64.39 per barrel.
- Earnings Reports: Companies reporting earnings this morning include Bed Bath & Beyond Inc. (Nasdaq: BBBY), HB Fuller Co. (NYSE: FUL), Herman Miller Inc. (Nasdaq: MLHR), Monsanto Co. (NYSE: MON), and Steelcase Inc. (NYSE: SCS).
Pre-Market Movers in the Stock Market Today: SYY, NFLX, FB
- Pre-Market Movers No. 1, SYY: A federal judge issued a preliminary junction blocking the merger between food distributors U.S. Foods Inc. and SYSCO Corp. (NYSE: SYY). Shares of SYY tumbled more than 2.6% in post-market hours Tuesday, but recovered earlier this morning. For more insight on mergers and acquisitions, visit here.
- Pre-Market Movers No. 2, NFLX: Shares of Netflix Inc. (Nasdaq: NFLX) were up nearly 3% this morning after the content-streaming giant announced plans for a seven-to-one stock split. The split will be awarded to stockholders at the market close on July 2. So, what is a stock split? Read all about the biggest stock split winners and stock splits to watch for on the road ahead.
- Pre-Market Movers No. 3, FB: Shares of Facebook Inc. (Nasdaq: FB) were down slightly in pre-market hours after the stock gained 3.7% on Tuesday and hit an all-time high. Following a rally of FB stock, the social media giant bumped Wal-Mart Stores Inc. (NYSE: WMT) out of the top 10 companies by market cap. Wal-Mart stock is in focus today as well on news the company will be charging its suppliers more money to warehouse inventory as the global retailer aims to offset pressures from rising wages. Customers can expect costs to spiral up the supply chain, ending in higher in-store retail prices.
Stocks to Watch Today: BA, FMOG, BBRY
- Stocks to Watch No. 1, BA: Airline manufacturing giant Boeing Co. (NYSE: BA) announced that CEO James McNerney will step down on July 1. The 65-year-old executive has reached the company's mandatory retirement age, although he will remain as the company chairman until his retirement date in February 2016. The company will appoint COO Dennis Muilenburg in his place. Boeing shares were up marginally this morning.
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- Stocks to Watch No. 2, FMOG: The oil-and-gas energy arm of Freeport-McMoRan Inc. (NYSE: FCX) announced plans to file for an initial public offering. Freeport-McMoRan Oil & Gas Inc. will list its common stock under the ticker "FMOG" on the New York Stock Exchange. Shares of FCX were up more than 3.7% during yesterday's trading session. But that's not the only big IPO news this week. Sixteen companies filled this week's IPO calendar, including tomorrow's debut of TransUnion (NYSE: TRU). You can get the full list of companies going public right here.
- Stocks to Watch No. 3, BBRY: Shares of BlackBerry Ltd. (Nasdaq: BBRY) slipped more than 1.3% this morning on news the company missed quarterly earnings estimates. However, the company said it has seen stronger growth in its tech and software licensing business. Is BBRY stock dead money or a turnaround in the making? Find out here.
Today's U.S. Economic Calendar (all times EST)
- MBA Mortgage Applications at 7 a.m.
- GDP at 8:30 a.m.
- Corporate Profits at 8:30 a.m.
- EIA Petroleum Status Report at 10:30 a.m.
- 2-Year FRN Note Auction at 11:30 a.m.
- 5-Year Note Auction at 1 p.m.
What Investors Must Know This Week
- Four Trillion-Dollar Tech Trends to Get In On Today
- The New No. 1 Threat to Your Savings and How to Avoid It
- The Truth You're Not Hearing About the Oil Market
Follow us on Twitter @moneymorning.
About the Author
Garrett Baldwin is a globally recognized research economist, financial writer, consultant, and political risk analyst with decades of trading experience and degrees in economics, cybersecurity, and business from Johns Hopkins, Purdue, Indiana University, and Northwestern.