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The Market In 5 Minutes: Stocks Unfazed By Weekend's Violent Attacks

HPE, WU, WFC, X, AMD, QCOM, Z

Below is a tool used by the Benzinga News Desk each trading day -- it's a look at everything happening in the market, in five minutes. Apply for daily AM access by clicking here or email minutes@benzinga.com.

Macro Focus

The markets ended last week just a tick in the green. Indexes got a charge from Apple (NASDAQ: AAPL) to help close the week on a slightly positive note.

"The market was able to stabilize this week after last Friday's plunge," said Joel Elconin, co-host of PreMarket Prep. "Much of the rebound can be attributed to Apple, which had its best week in five years by adding nearly $13 per share off stronger than expected iPhone 7 sales."

On Monday morning, Futures for the Dow Jones Industrial Average surged 82 points to 18,133.00, while the Standard & Poor’s 500 index futures gained 8.30 points to 2,140.80. Futures for the Nasdaq 100 index rose 15.75 points to 4,830.00.

Oil prices traded higher as Brent crude futures gained 1.25 percent to trade at $46.34 per barrel, while US WTI crude futures also rose 1.33 percent to trade at $44.20 a barrel.

  • The National Association of Home Builders’ housing market index for September will be released at 10:00 a.m. ET.
  • The Treasury is set to auction 3-month bills at 11:30 a.m. ET.
  • The Treasury will also auction 6-month bills at 11:30 a.m. ET.

BZ News Desk Focus

While all eyes will be on this week's Federal Open Market Committee meeting, a few companies will be reporting their most recent earnings. Among them, Bed Bath & Beyond (NASDAQ: BBBY) and Rite Aid (NYSE: RAD). Wall Street expectations appear to be mild, but mixed, for these results. Earnings from both companies have fallen short of expectations in recent periods.

The Federal Open Market Committee will meet on Wednesday afternoon. Once again, all eyes will be waiting for a rate hike announcement. Joe Correnti, Scottrade Sr. VP, Brokerage Products, said, "Expectations for inflation and GDP continue to trend flat to downward, again both indicators the Fed typically pays attention to when consider a rate change."

Sell-Side Themes

KeyBanc upgraded AK Steel (NYSE: AKS), U.S. Steel (NYSE: X) and Olympic Steel (NASDAQ: ZEUS) to Sector Weight.

Sell-Side's Most Noteworthy Calls

  • Susquehanna downgraded Western Union (NYSE: WU) to Negative.
  • Stifel downgraded Viacom (NASDAQ: VIAB) to Hold.
  • Baird upgraded Wells Fargo (NYSE: WFC) to Outperform.
  • Morgan Stanley upgraded General Motors (NYSE: GM) to Overweight.
  • Canaccord initiated coverage on Energen (NYSE: EGN) at Buy.

Deal Talk

Eldorado Resorts (NASDAQ: ERI) to acquire Isle of Capri Casinos (NASDAQ: ISLE) for $23 per share. Capri Casino shareholders can opt for 1.638 shares of Eldorado stock or $23 cash.

McDonald's (NYSE: MCD) is negotiating a transaction to sell its point of sale system, people familiar with the matter told Benzinga. Suitors involved include SUPERVALU Inc. (NYSE: SVU) and Deloitte. The source suggested the McDonald's PoS sale discussions stem from ongoing talks with National Labor Relations Board in addressing franchisee-to-franchisor labor risks. McDonald's offboarding the PoS system is a center focus in alleviating that concern, the source said.

In The News

A backpack that appeared to contain pipe bombs exploded early Monday as a police robot examined it near a New Jersey train station. It was the second in New Jersey since Saturday morning and followed a bombing Saturday night in Manhattan that injured 29 people.

Nine people were hurt in a knife rampage at a Minnesota mall during which the attacker made references to Allah, authorities said. The suspect was shot dead by an off-duty police officer at the Crossroads Mall in St. Cloud.

OPEC members damped expectations over the weekend for an agreement to limit crude oil output this month, as new pledges of increased production from several countries threatened to render any pact meaningless. Mohammed Barkindo, the secretary-general of the Organization of the Petroleum Exporting Countries said Saturday that no decision would be made at informal talks among the cartel’s members in Algeria.

Blogosphere

If only 9.5 percent of active managers beat the S&P 500 index, then who is beating the index to make the index the average?

While talking about freezing supply may have helped to put a floor under oil prices, the outcome of the meeting itself is becoming more redundant by the day as almost all the world's top producers do exactly the opposite.

Trending

GPRO FB XLF CALD FNSR PYPL BBRY AG BCOM KO WNR CRBP LOW

The 68th Primetime #Emmys were awarded Sunday night. FX's "The People v. O. J. Simpson: American Crime Story" took home several awards. HBO's "Veep" won its second consecutive Comedy Series trophy. Its lead, Julia Louis-Dreyfus, took home a record-setting sixth Emmy win.

For the second year in a row, "Game of Thrones" took home the Emmy for Drama Series. With its 38 wins, the HBO series broke a 12-year record for most Emmy wins by a series which had been held by NBC's "Frasier."

Guess This Chart

  • This company raised its Q3 sales outlook on Friday to $15.3-$15.9 billion.
  • It recently sold a majority stake in their cybersecurity unit.
  • Sympathy plays include Hewlett Packard Enterprise (NYSE: HPE), Advanced Micro Devices (NASDAQ: AMD) and QUALCOMM (NASDAQ: QCOM).


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