Morning Update: Global economic concerns push market down

First Look

Major indices are down ahead of the open Thursday. U.S. futures dropped alongside European markets as concerns of a weakening global economy grow. The European Commission downgraded Italy’s 2019 growth forecast, weakening the Euro. Much of the growth weakness in the European regions are attributed to the Brexit fiasco and economic slowdown in China as a result of trade policy uncertainty. Lawmakers in the U.S. are hoping to reach a bipartisan agreement by the end of the week, but if the bill doesn’t include border wall funding, President Trump may refuse to sign the bill. If an agreement cannot be met by Feb. 15, another government shutdown is possible. Shares of Twitter (TWTR) rose after the bell yesterday, buy is down more than 7% in the pre-market following earnings misses from the company. The Dow Jones is down -0.55%, the Nasdaq is down -0.58%, the S&P 500 is down -0.6%.

Today's market outlook is Neutral

If there were no bad people, there would be no good lawyers.
Charles Dickens

Stocks on the Move

Chipotle Mexican Grill, Inc. (CMG), SunTrust Banks, Inc. (STI) and Hanesbrands Inc. (HBI) are moving higher this morning, while Tapestry Inc (TPR), Twitter Inc (TWTR) and Weyerhaeuser Co (WY) are headed lower. Suncor Energy Inc. (SU), PACCAR Inc (PCAR) and Spirit Airlines Incorporated (SAVE) were upgraded by analysts this morning, while Vale SA (VALE), PPL Corp (PPL) and USA Technologies, Inc. (USAT) were downgraded.

International Markets

Stocks in Asia are mixed. The Shanghai Stock Exchange is closed for the Lunar New Year, as is the Hong Kong Stock Exchange. The Australia ASX All Ordinaries is up 1.1%, the Mumbai Sensex is up 0.98% and the Nikkei 225 is down -0.59%. Stocks in Europe are down. The DAX is down -1.69%, the Euro Stoxx 50 is down -1.18%, the CAC 40 is down -0.96% and the FTSE 100 is down -0.25%.

Futures and Currencies

Energy futures are down today. The price for West Texas Intermediate crude oil is down -0.7 at 53.31 per barrel. Brent crude is down -0.46 at 62.23 per barrel. Natural Gas is down -0.04 at 2.62. Precious metals are mixed this morning. Gold is up 3.71 at 1310.31 per ounce. Platinum is down -0.43 at 805.95 while silver is down -0.02 at 15.69. The dollar is mixed compared to the major currencies today. The greenback is up against the euro, down against the Yen and up against the Pound.

Put/Call Ratio

Yesterday, 1,000,045 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 640,447 put contracts. The single-session put/call was 0.64 while the 20-day moving average is now at 0.63.

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    $284.71 - $289.33
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Today's Economic Calendar

What's Happening Period Release Time
Initial Claims 02/02 08:30
Continuing Claims 01/26 08:30
EIA Natural Gas Inventories 02/02 10:30
Consumer Credit Dec 15:00

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