Stock futures tick up after Iranian retaliation deemed lesser than expected, plus stocks to watch today in the Money and Markets Wall Street Wake-Up.
The Morning Open
Bucking the trend of turning down amid Middle East uncertainly, U.S. markets are all up in Wednesday morning trading.
As of 10:20 a.m. Eastern time, the Dow Jones Industrial Average was up 47 points, or 0.1% to 28.630. The S&P 500 was up nearly 0.3% and the Nasdaq inched up 0.3% despite a retaliatory attack by Iran on coalition bases in Iraq. The attack was deemed less than feared, hence the rise in equities.
The Opening Bell
U.S. companies added 202,000 jobs in December — mainly by small and mid-sized companies, according to payroll processor ADP.
Construction, trade, transportation and utilities led the way in hiring according to the survey. November hiring was revised upward, indicating a stronger job market that previously suggested.
Stocks to Watch Today
Walgreens Boots Alliance Inc. (Nasdaq: WBA) — Revenue and earnings were both below estimates for the drug store chain in the last quarter. Shares of Walgreens were down 5.8% in premarket trading.
Lennar Corp. (NYSE: LEN) — The Florida-based homebuilder’s stock was up 3.6% in premarket trading after its quarterly profit of $2.13 beat estimates. Revenue was also up over Wall Street forecasts.
Macy’s Inc. (NYSE: M) — The department store chain’s stock was up 7.5% in premarket trading Wednesday on news its same-day sales decline was not as bad as analysts projected.
Tesla Inc. (Nasdaq: TSLA) — Shares of Tesla were up more than 5% in premarket trading Wednesday after Argus Research upped its target price for the automaker to $556 per share.
In the News
Following an attack on two military bases in Iraq by Iran, President Donald Trump responded on Twitter that “All is well!”
All is well! Missiles launched from Iran at two military bases located in Iraq. Assessment of casualties & damages taking place now. So far, so good! We have the most powerful and well equipped military anywhere in the world, by far! I will be making a statement tomorrow morning.
— Donald J. Trump (@realDonaldTrump) January 8, 2020
Global markets were mixed following the attack that targeted bases where U.S. and coalition forces were stationed, according to CNBC.
American Express Application Accepted by China Central Bank, Filing Says
The People’s Bank of China has accepted an application from a unit of American Express Co. (NYSE: AXP) regarding the start of operations in China, according to Reuters.
American Express was approved to clear card payments in 2018 — the first U.S. card network to be approved for access to China.
Post-Brexit Deal Won’t Happen in 2020
European Commission President Ursula von der Leyen said UK Prime Minister Boris Johnson will have to choose what he wants to focus on if he hopes to have a post-Brexit agreement with the EU, Bloomberg reported.
Von der Leyen said Johnson will “have to make concessions if he wants comprehensive cooperation.”
Johnson and von der Leyen are meeting in London on Wednesday.
Other Morning Reads
Iran Threatens Trump Properties in Assassination Retaliation (Money and Markets)
Former Goldman Sachs Banker Pleads Guilty in Insider-Trading Case (Wall Street Journal)
7 5G Stocks to Buy Right Now (Money and Markets)
Here are the companies releasing earnings reports today:
Bed Bath & Beyond Inc. (Nasdaq: BBBY)
Walgreens Boots Alliance Inc. (Nasdaq: WBA)
Lennar Corp. (NYSE: LEN)
Helen of Troy Ltd. (Nasdaq: HELE)
Constellation Brands Inc. (NYSE: STZ)
Chart of the Day
Shares of Tesla Inc. (Nasdaq: TSLA) have been on the rise since the end of 2019. The company recently reported a new delivery record for 2019.
As of Jan. 6, 2020, the market capitalization of Tesla is $84.6 billion. The “Big Three” don’t even come close as you can see in the graphic above.
Check back each morning before the opening bell for stocks to watch today with the Wall Street Wake-Up, here on Money and Markets.