A Peek Into The Markets: US Stock Futures Mixed; JPMorgan, Citigroup Earnings In Focus

Pre-open movers

U.S. stock futures traded mixed in early pre-market trade as big banks including JPMorgan Chase & Co. JPM and Citigroup Inc. C are all set to report earnings for the latest quarter. Wall Street recorded gains in the previous session led by tech stocks.

The NFIB small business optimism index for September is scheduled for release at 6:00 a.m. ET, while the Consumer Price Index for September will be released at 8:30 a.m. ET. The U.S. Treasury budget statement for September is scheduled for release at 2:00 p.m. ET. Federal Reserve Bank of Richmond President Thomas Barkin is set to speak at 12:25 p.m. ET, while Federal Reserve Bank of San Francisco President Mary Daly will speak at 8:25 p.m. ET.

Futures for the Dow Jones Industrial Average dropped 113 points to 28,685 while the Standard & Poor’s 500 index futures traded fell 4.75 points to 3,528.00. Futures for the Nasdaq 100 index climbed 88 points to 12,186.20.

The U.S. has the highest number of COVID-19 cases and deaths in the world, with total infections in the country exceeding 7,804,330 with around 215,080 deaths. India reported a total of at least 7,175,880 confirmed cases, while Brazil confirmed over 5,103,400 cases.

Oil prices traded mostly flat as Brent crude futures rose 0.1% to trade at $41.75 per barrel, while US WTI crude futures fell 0.1% to trade at $39.41 a barrel.

A Peek Into Global Markets

European markets were down today after closing mostly higher the prior session. The Spanish Ibex Index fell 0.5% and STOXX Europe 600 Index declined 0.5%. The French CAC 40 Index fell 0.4%, while German DAX 30 declined 0.3% and London’s FTSE 100 fell 0.4%. The UK unemployment rate rose to 4.5% in the three months to August compared to 4.1% in the prior period, while labor productivity declined 2% in the second quarter, versus a preliminary estimate of a 2.5% drop. The UK government also announced new restrictions to contain the rise in coronavirus cases. Consumer prices in Germany declined the most since 2015, falling 0.2% year-over-year in September.

Asian markets traded mostly higher today. Japan’s Nikkei 225 rose 0.18%, China’s Shanghai Composite rose 2.64% and India’s BSE Sensex fell 0.2%. Exports from China climbed 9.9% year-over-year in September, while imports surged 13.2%.

Broker Recommendation

Analysts at JP Morgan upgraded AGCO Corporation AGCO from Neutral to Overweight and announced a $97 price target.

AGCO shares rose 0.1% to close at $80.61 on Monday.

Breaking News

• Johnson & Johnson JNJ said its COVID-19 vaccine trial has been paused over a participant developing an unexplained illness.
• Sanofi SA SNY and Regeneron Pharmaceuticals Inc REGN disclosed that their asthma drug Dupixent (dupilumab) met its primary and all key secondary endpoints in randomized Phase 3 clinical trials demonstrating improved lung functions in children aged between six to 11 years.
• Walt Disney Co DIS disclosed a strategic reorganization of its media and entertainment businesses that points to a renewed focus on the direct to consumer streaming model. The company’s CEO Chapek said theme parks are operating at a 25% capacity.
• The Blackstone Group Inc BX-backed Finance of America Equity LLC is planning to go public through a merger with a blank check company, the Wall Street Journal reported Monday.