Summary:
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Stock indices gain ahead of the US open
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S&P500 back around the 2860 mark
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Boeing rises on crash developments; Kohl to plunge
Stock markets on the whole still lack a clear direction in recent trade, with Monday’s attempt to run lower seeing buyers step in. Longs may now have their chance to push home their advantage with several indices making steady gains ahead of the US session. As is often the case the Nasdaq is the most volatile of the three major benchmarks and trades higher by around 0.6% on the day. The Dow could also be worth keeping a close eye on after some breaking news from Boeing has lifted the index ahead of the opening bell.
The S&P500 has seen its trading range narrow of late with a series of higher lows and lower highs over the past week. The market is now pressing back up against the H1 cloud and a move above there could target further upside towards key longer term resistance at 2895. Source: xStation
Boeing shares have received a boost in the past couple of minutes ahead of their cash open, with reports that a bird strike may have caused the 737 Max crash. This is a developing story and details remain a little sketchy but if it is true then this would be seen as a major boon for the airline that has faced a lot of scrutiny and criticism of its flight software after two crashes for one of its most popular planes. The stock is called to open higher by around 2.5% this afternoon.
Boeing is called to open back around the 360 swing level that has previously acted as resistance. If the market can push back up through there then the outlook improves markedly and investors will hope that more of the losses seen in recent months can be regained. Source: xStation
There’s been some bad news for Kohl’s investors this lunchtime with the stock expected to begin lower by as much as 10% after it reported a worse than expected trading update. Earnings per share on an adjusted basis came in at $0.61 vs $0.68 forecast and while revenue of $4.09B for the quarter topped analysts estimates of $3.94B it seems that the market has taken this as bad news. One of the most concerning aspects of the release was a 3.4% drop in sales at Kohl’s stores in the last 12 months which was far worse than the drop of 0.2% expected.
Shares in Kohl are called to open below $57 and if they do they will change hands at their lowest level since 2017. Source: xStation
