Stock Futures Move Higher Ahead of Anticipated Rate Hike


The two-day policy meeting of the FOMC ends today

Stock futures are biased higher ahead of the Federal Open Market Committee (FOMC) close two-day political meeting. Wall Street is anticipating another 0.75 basis point rate hike as investors also eye the central bank’s long-term guidance. In other news, US defense stocks received a boost this morning after Russian President Vladimir Putin declared a partial military mobilization for Ukraine, putting military reservists on active duty.

Read on to learn more about today’s market, including:

  • There is plenty of support for this this insurance stock.
  • Schaeffer’s Senior Quantitative Analyst Rocky White breaks it down Low call buy Volume.
  • Plus, unpack the General Mills earnings report; Beyond Meats C-Suite Reorganization; and Estee Lauder’s Bull Note.

Futures chart September 21, 2022

5 things you need to know today

  1. More than 1.02 million call contracts and 686,965 put contracts were traded on the Cboe Options Exchange (CBOE) on Tuesday. The single-session stock put/call ratio rose to 0.67 while the 21-day moving average stayed at 0.66.
  2. shares of General Mills, Inc. (NYSE:GIS) are up 2.3% premarket after the foodmaker reported better-than-expected earnings for the fiscal first quarter. Additionally, the company raised its full-year sales guidance as it expects to benefit from higher prices and strong demand. Today, GIS is up 28.4% over the past 12 months.
  3. Alternative plant-based meat broth Beyond Meat Inc (NASDAQ:BYND) is marginally higher this morning, most recently up 0.7%, although it remains stuck at around 75% year-to-date deficit. Beyond Meat is making headlines after suspending its chief operating officer, Dough Ramsey, who was recently charged with third-degree assault and making a terrorist threat following a physical altercation. The company’s senior vice president of manufacturing operations, meanwhile, will fill the role on an interim basis.
  4. Goldman Sachs has upgraded its rating Estee Lauder Companies Inc (NYSE:EL) from neutral to buy and increased its price target by $5 to $303. The analyst says investors are underestimating the company’s path to “robust” top-line growth, with China’s “zero-Covid” policy already priced in. EL was last up 1.7%, slightly trimming its 6% quarterly deficit.
  5. Alongside the Fed rate decision is a statement from Fed Chair Jerome Powell and data on existing home sales.

OV buzz chart 21 September

European markets fend off Russian military mobilization

Asian markets were lower on Wednesday, reflecting price action in the US ahead of the Fed’s interest rate decision. Oil prices rose after Russian President Vladimir Putin drafted 300,000 reservists to go on active duty in Ukraine. Hong Kong’s Hang Seng ended the laggards down 1.8%, while Japan’s Nikkei shed 1.4%. Elsewhere, South Korea’s Kospi was down 0.9% and China’s Shanghai Composite fell 0.2%.

Meanwhile, European markets are mostly higher as investors dismiss news of a partial Russian military mobilization. Also in focus today is the Bank of England (BoE) interest rate decision, particularly after the pound previously hit its lowest level since 1985. Still, London’s FTSE 100 was last up 0.9%, France’s CAC 40 was up 0.1% and Germany’s DAX was flat despite a big day for auto and arms maker Rheinmetall.

Source link

Also Read :  Rough times ahead: Hurricane Ian batters SW Florida economy