U.S. stock futures are trying to hold on to yesterday’s rebound after three straight sessions of bloodbath. Currently, the S&P 500 is up +56 points, the Nasdaq is +233 points, and the Dow is +313 points.
Investors are trying to reassess the situation following last week’s weak jobs data that showed lower-than-expected job additions in July and a spike in the unemployment rate that raised concerns among investors about the economy’s health. Tech stocks that have been driving the Wall Street rally for so long led the selloff, with $1.5 billion of market capitalization being wiped out of the “Magnificent 7” stocks.
Wall Street has since been trying to stabilize, and the effort continues this morning. Following the bloodbath, the CME FedWatch tool shows a 100% probability of the Federal Reserve going for a 25-basis point rate cut, while there is a 64.5% probability of a 50-basis point rate cut. In early July, there was a 68% probability that the Fed would go for a rate cut of 25 basis points.
The Cboe Volatility Index also continued to cool, declining 17% today morning after recording its biggest plunge since 2010.
Meanwhile, Q2 earnings reports continue to flow in. The Walt Disney Company DIS reported third-quarter fiscal 2024 earnings of $1.38 per share, surpassing the Zacks Consensus Estimate of $1.20 per share. The company reported revenues of $23.16 billion, outpacing the Zacks Consensus Estimate of $22.9 billion.
E-commerce platform Shopify Inc. SHOP reported second-quarter 2024 earnings of $0.26 per share, beating the Zacks Consensus Estimate of $0.20 per share. The company posted revenues of $2.05 billion, surpassing the Zacks Consensus Estimate of $2 billion.
Global Payments Inc. GPN reported second-quarter 2024 earnings of $2.93 per share, beating the Zacks Consensus Estimate of $2.91 per share. The company posted revenues of $2.32 billion, surpassing the Zacks Consensus Estimate by 0.40%.
Emerson Electric Co. EMR came up with third-quarter fiscal 2024 earnings of $1.43 per share, beating the Zacks Consensus Estimate of $1.42 per share. The company posted revenues of $4.38 billion for the quarter ended June 2024, missing the Zacks Consensus Estimate by 1.60%.
After the bell, we will see quarterly reports from Occidental Petroleum Corporation OXY, Marathon Oil Corporation MRO and Monster Beverage Corporation MNST.
This week is low on economic data, but investors will keenly be waiting for the Initial Jobless Claims report, which is due tomorrow morning and can impact markets.
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Marathon Oil Corporation (MRO) : Free Stock Analysis Report
Emerson Electric Co. (EMR) : Free Stock Analysis Report
Occidental Petroleum Corporation (OXY) : Free Stock Analysis Report
The Walt Disney Company (DIS) : Free Stock Analysis Report
Global Payments Inc. (GPN) : Free Stock Analysis Report
Monster Beverage Corporation (MNST) : Free Stock Analysis Report
Shopify Inc. (SHOP) : Free Stock Analysis Report
