Breaking News
0

Top 5 Things to Know in The Market on Thursday

EconomyNov 08, 2018 05:31AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. Top 5 things to know today in financial markets: Fed, Disney, Stocks Point to Pullback

Investing.com - Here are the top five things you need to know in financial markets on Thursday, November 8:

1. Fed Policy Statement

The Federal Reserve will announce its latest policy decision at 2:00PM ET (1900GMT) and release its accompanying rate statement at the same time. No press conference is scheduled.

While no change in policy is expected, investors will be looking for fresh signals from the U.S. central bank on its plans for the rest of the year and beyond.

The Fed is likely to indicate that solid economic growth combined with rising inflation will keep it on track for a rate hike in December, despite mounting verbal pressure from the White House.

The Fed raised borrowing costs in September for the third time this year.

Fed fund futures currently price in an increase at the end-of-the-year meeting at a probability of around 80%, according to Investing.com’s Fed Rate Monitor Tool.

Besides the Fed, the economic calendar will be fairly light on Thursday, with just the weekly jobless claims report on tap at 8:30AM ET (1330GMT).

2. U.S. Futures Point to Pullback

U.S. stock futures pointed to a lower open, as investors took in the U.S. midterm election results, and turned their focus to the Fed's monetary tightening path.

At 5:30AM ET (1030GMT), the blue-chip Dow futures were down 65 points, or about 0.25%, the S&P 500 futures dipped 11 points, or around 0.4%, while the tech-heavy Nasdaq 100 futures indicated a loss of 45 points, or roughly 0.6%.

Wall Street rallied on Wednesday, with the Dow and S&P 500 recording their best post-midterm elections rally since 1982.

Elsewhere, shares in Europe traded modestly higher, as strong results from Societe Generale (PA:SOGN) and Commerzbank (DE:CBKG) soothed concerns about slowing corporate earnings.

Earlier, stocks in Asia were mostly higher, with the exception of mainland China.

3. Disney Earnings

Dozens of companies are expected to release earnings today in one of the last big waves of the earnings season.

Most of the focus will fall on Disney (NYSE:DIS), which reports after the close. The media giant is expected to report adjusted earnings per share of $1.33 on revenue of $13.72 billion, according to estimates.

Investors will be closely watching the results to see whether its growing efforts to take on Netflix (NASDAQ:NFLX) in the streaming space are starting to pay off.

Other high-profile names releasing quarterly results today include, DR Horton (NYSE:DHI), Discovery (NASDAQ:DISCA), Cardinal Health (NYSE:CAH), Crocs (NASDAQ:CROX), and Plug Power (NASDAQ:PLUG), which are all set to report during pre-market hours.

Joining Disney after the bell will be results from Yelp (NYSE:YELP), Dropbox (NASDAQ:DBX), Trade Desk (NASDAQ:TTD), Activision Blizzard (NASDAQ:ATVI), Hertz (NYSE:HTZ), and AMC Entertainment (NYSE:AMC).

4. Dollar, U.S. Bond Yields Edge Higher

Away from equities, the dollar edged higher against a currency basket and bond yields rose, as focus shifted away from politics to the Fed's monetary policy.

The U.S. dollar index, which measures the greenback’s strength against a basket of six major currencies, was up 0.3% to 96.09, pulling away from 2-1/2-week lows hit in the previous session.

In the bond market, U.S. Treasury prices edged lower, pushing yields higher across the curve, with the benchmark 10-year yield inching up to 3.22%, while the 2-year yield rose to 2.95%, around levels not seen since 2008.

While a divided Congress will make it harder for President Donald Trump to push through new legislation, there is already talk of bipartisan cooperation on infrastructure spending, which would add more to the deficit, pushing yields even higher.

5. China's Exports Smash Expectations in October

China reported much stronger-than-expected exports for October, as shippers racing to beat higher tariff rates due to kick in at the start of next year rushed goods to the U.S.

China's exports rose 15.6% last month from a year earlier, customs data showed, picking up from September's 14.5% and beating analysts' forecasts for a modest slowdown to 11%.

Import growth also defied forecasts for a slowdown, suggesting Beijing's growth-boosting measures to support the cooling economy may be slowly starting to make themselves felt.

Imports for October quickened to 21.4% from 14.3% in September, beating analysts' forecasts for a slight cooling to 14%.

Top 5 Things to Know in The Market on Thursday
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments
Jonathan Snell
Jonathan Snell Nov 08, 2018 6:35AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
pot stocks definitely are! I just want a real gauge on how Trump actually feels about pot.
Reply
4 0
Brian Weiss
Brian Weiss Nov 08, 2018 6:35AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
The States law
Reply
0 0
Brian Weiss
Brian Weiss Nov 08, 2018 6:35AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
He’s enacted a law for the States to choose so they are able to make the choices. He’d be a pretty unpopular guy if he didn’t take a chance on that!
Reply
0 0
David Copp
David Copp Nov 08, 2018 6:06AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
6. With Jeff Sessions out as Attorney General, Pot Stocks may continue their 7 day rally.
Reply
5 1
Suman Jutur
Suman Jutur Nov 08, 2018 6:06AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Unfortunate state of the Country. The country is losing its principles.
Reply
3 1
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email