Thursday July 30, 2020 Trading Desk: (312) 236-8907
TODAY’S GAME PLAN: from the trading desk, this is not research
DATA/HEADLINES: 8:30ET GDP, Weekly Jobless Claims
Economists expect today’s weekly initial jobless claims to be around 1.4 million, in line with last week’s total which was the first rise in since March. Continuing claims will likely remain over 16 million. GDP is forecast to plunge an annualized 34.5%, the most on record going back to the 1940s.
- Democrats and Republicans remain far apart on a full stimulus package
- China says U.S. fueling new Cold War due to presidential election
- China says UK has poisoned relations after PM Johnson slapped a 5G ban on Huawei
- U.S. lawmakers expect to question Secretary of State Pompeo on dealings with China and Russia when the country’s top diplomat offers rare public testimony in the Senate
- FBI Director Christopher Wray, warned about China’s growing capability to interfere in U.S. elections
U.S. index futures fell ahead of a slew of earnings from American tech giants, with investors showing caution in the wake of a spike in German coronavirus cases All eyes today will be focused on earnings reports from Apple, Amazon, Alphabet and Facebook after the bell. Amazon is expected to get a massive boost in revenue from the pandemic. In U.S. pre-market trading, United Parcel Service jumped on a surge in delivery demand during the pandemic. Qualcomm Inc. rallied after giving a strong sales forecast. Eastman Kodak Co. extended yesterday’s 319% surge from winning a government loan to assist in the production of a coronavirus treatment.
E-Mini S&P is down 0.8%, Nasdaq -0.9%, Russell 2000 futures -1%, Dow futures -1%. ES will be negative early below 3230 area (.382) with some downside momentum potential below 3205 area which could lead to a retest of the 50dma.