Earnings from JNJ and TRV are out this morning
Coming off a fourth straight weekly win, U.S. stocks are indicating a lower open this morning. Dow Jones Industrial Average (DJI) futures are trading more than 100 points below fair value, as traders consider earnings from blue chips Johnson & Johnson (JNJ) and Travelers Companies (TRV), with IBM (IBM) set to report after the bell. Despite the heavy earnings slate, there will be plenty of other headlines vying for Wall Street's attention, including the World Economic Forum currently underway in Davos and the ongoing government shutdown.
Continue reading for more on today's market, including:
Why the Hanesbrands stock rebound could be deceiving. The tech stock that collapsed to new lows on Friday. Plus, cigarette and beer stocks get revised ratings; a Nike upgrade; and why eBay is set to surge.
It was a lower finish in Asia on fresh growth concerns out of Beijing. Following Monday's release of data that showed the Chinese economy grew last year at its slowest pace since 1990, President Xi Jinping reportedly told officials to be alert for "major risks" like "black swans" and "grey rhinos." Downwardly revised global growth forecasts for 2019 and 2020 from the International Monetary Fund (IMF) are only exacerbating the anxiety. Against this backdrop, China's Shanghai Composite fell 1.2%, Hong Kong's Hang Seng gave back 0.7%, Japan's Nikkei slumped 0.5%, and South Korea's Kospi dropped 0.3% after a report showed the country's gross domestic product (GDP) decelerating in 2018 to its slowest growth rate in six years.
European markets are trading in negative territory at midday, with bank stocks struggling after an earnings miss from Swiss lender UBS, and energy shares lower with Brent crude futures. At last check, London's FTSE 100 and the German DAX are flirting with 0.5% declines, while the French CAC 40 is off 0.6%.