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Stock Futures Lower Before Final Trading Day of May

The House of Representatives is expected to vote on the debt ceiling this evening

Deputy Editor
May 31, 2023 at 9:07 AM
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Stock futures are lower this morning, with futures on the Dow Jones Industrial Average (DJIA) down 117 points, as Wall Street's focus once again turns to Washington. The final House vote on the debt ceiling is expected to take place this evening, after the bill yesterday passed through the 13-member House Rules Committee. There is still quite a bit of buzz around Nvidia (NVDA), though not enough to prop up Nasdaq-100 Index (NDX) futures this morning. 

Continue reading for more on today's market, including:

  • Senior Quantitative Analyst Rocky White notes mega cap stocks making big moves. 
  • What are the next pivot points for the S&P 500? Senior V.P. of Research Todd Salamone has you covered.  
  • Plus, two stocks plummeting on poor outlooks; and SOFI on the rise. 

Futures May31

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw more than 1.5 million call contracts and 781,417 put contracts exchanged on Tuesday. The single-session equity put/call ratio fell to 0.51 and the 21-day moving average stayed at 0.69.
  2. Ambarella Inc (NASDAQ:AMBA) is down 19.1% premarket, after the semiconductor name announced a weak second-quarter outlook. Keybanc downgraded the stock to "sector weight" from "overweight," while a handful of other analysts threw in price-target cuts. Should these losses hold, AMBA will give back this month's gains and pull back near a line of support at the $65 level.
  3. Advance Auto Parts Inc (NYSE:AAP) is off 28.5% before the bell, after the company's wide first-quarter earnings miss and disappointing full-year profit guidance. On track for three-year lows, the equity is off by 23.6% year-to-date even before today's bear gap. 
  4. Fintech name SoFi Technologies Inc (NASDAQ:SOFI) is up 4.1% in electronic trading, amid musings over student loan payments, which would allegedly continue after a vote on the debt ceiling. Year-to-date, the stock is 30.8% higher. 
  5. See what economic data and earnings are scheduled for the rest of this week. 

buzzmay31

Hang Seng Settles at 2023 Lows

Asian markets were lower Wednesday, after China’s factory activity reading for May came in at 48.8, missing economists’ estimates. In response, Hong Kong’s Hang Seng shed 1.9%, settling in bear market territory and at its lowest level in 2023. China’s Shanghai Composite erased 0.6% and Japan’s Nikkei lost 1.4%, after retail sales failed to meet forecasts, rising 5% over the last 12 months. Rounding out the region, South Korea’s Kospi ticked 0.3% lower.

Europe’s major bourses are lower ahead of the U.S. debt ceiling vote. France’s CAC 40 is leading the laggards, down 0.6% at last check, even after the country’s May inflation reading fell at its lowest year-over-year rate. Elsewhere, London’s FTSE 100 and Germany’s DAX were last seen 0.1% and 0.4% lower, respectively.

 

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