U.S. stock futures point to further sharp declines as Asia follows Wall Street plunge - MarketWatch

U.S. stock futures fell sharply on Friday, a day after major benchmarks pushed into correction territory as investor fears heightened over just how much damage the fast-spreading coronavirus will wreak on the global economy.

How are major benchmarks trading?

Dow Jones Industrial Average futures YM00, -0.87%  slid nearly 300 points, or 1%, while S&P 500 futures ES00, -0.89%  dropped 1% to 2,926.75 and Nasdaq-100 futures NQ00, -0.95% fell 1.3% to 8,273. 

On Thursday, the Dow industrials DJIA, -4.42% lost 1,190.90 points, or 4.4%, to close below 26,000 at 25,766.60, while the S&P 500 SPX, -4.42%  slid 137.63 points, or 4.4%, to end at 2,978.76. The Nasdaq Composite COMP, -4.61% slumped 414.29 points, or 4.6%, finishing at 8,566.48.

Read: Dow’s weekly skid would rank within the top 15 worse in its 124-year history

All three benchmarks closed in correction territory, defined as a decline of at least 10%, but no more than 20%, from a recent peak. For the S&P 500 and Nasdaq, it marked the worst daily percentage drop since Aug. 18, 2011, but the steepest since Feb. 5, 2018 for the Dow.

The Dow is now down 9.71% for the year, while the S&P 500 is off 7.80% year-to-date, and the Nasdaq has lost 4.53%.

Read: Stock market slammed by fears coronavirus will deliver a ‘supply shock’ that central bankers can’t fix

What’s driving the market?

Investors have endured days of increasingly grim updates on fallout from the coronavirus, as new infections continue to rise even as countries enact stronger and stronger measures. New Zealand and Nigeria were among the latest countries to report their cases.

Asian markets took up the grim baton from Wall Street on Friday, with the Nikkei 225 index NIK, -3.67%  down 3.7%, as Japan Prime Minister Shinzo Abe asked schools to close for a month and Tokyo Disney Resort operator Oriental Land Co. 4661, +0.66% said it would close its theme parks for two weeks. European stocks were set to open deep in the red.

The outbreak has the potential to become a pandemic and is at a decisive stage, the head of the World Health Organization said Thursday. The latest slide began late Wednesday as investors dismissed reassurances by President Donald Trump. Sentiment took another dive Thursday after California’s governor said 8,400 people were being monitored after traveling to China.

“This crisis has escalated to the point where the risk to the global consumer is the real problem. Starbucks and Apple can reopen their stores in China, but few people will go into them,” Michael O’Rourke, chief market strategist at JonesTrading, told clients in a note.

Read: 5 reasons stocks are seeing their worst decline since 2008, and only one is the coronavirus

“People are no longer worried about buying a house or a car, their primary concern is whether the virus will emerge in their area, will their children’ school close and will their family be quarantined,” he said.

Crude oil prices CLJ22, -0.23%  on Friday slid 3%, while gold, a traditional haven investment, was down 0.5%. The ICE Dollar Index DXY, -0.08%  fell 0.2%. Investors flocked to the yen, with the currency up 0.6% against the dollar at 108.87, while the New Zealand dollar NZDUSD, -0.9513%  plunged 1% on news of the country’s first infection.

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMigAFodHRwczovL3d3dy5tYXJrZXR3YXRjaC5jb20vc3RvcnkvdXMtc3RvY2stZnV0dXJlcy1wb2ludC10by1mdXJ0aGVyLXNoYXJwLWRlY2xpbmVzLWFzLWFzaWEtZm9sbG93cy13YWxsLXN0cmVldC1wbHVuZ2UtMjAyMC0wMi0yONIBT2h0dHBzOi8vd3d3Lm1hcmtldHdhdGNoLmNvbS9hbXAvc3RvcnkvZ3VpZC9GNzQ1Q0NGQy01OUVGLTExRUEtQjY1MS1GNDUwRkI0NzMzRDY?oc=5

2020-02-28 07:02:00Z
52780630255565

Stock markets plunge with coronavirus spread - CBC News: The National

[unable to retrieve full-text content]

1. Stock markets plunge with coronavirus spread  CBC News: The National
2. Three Stocks That Went Up on Wall Street's Worst Day  Motley Fool
3. Stock Market Plunges As Coronavirus Fears Grip Wall Street | Hallie Jackson | MSNBC  MSNBC
4. China's Shenzhen stocks drop almost 5% as major markets enter correction territory  CNBC
5. Wall Street dips over growing coronavirus fears  ARIRANG NEWS
6. View Full Coverage on Google News

https://news.google.com/__i/rss/rd/articles/CBMiK2h0dHBzOi8vd3d3LnlvdXR1YmUuY29tL3dhdGNoP3Y9ZU9oeEd1LVFzQk3SAQA?oc=5

2020-02-28 03:13:03Z
52780637181212

Stocks Tumble Into Correction Territory On Coronavirus Fears - NPR

Stocks continued their downward slide on Thursday, with major indexes falling into correction territory. Investors are worried about the economic toll of a widening coronavirus epidemic.

The Dow Jones Industrial Average tumbled more than 500 points in the opening minutes of trading. The blue chip index is down more than 10% from its recent peak on Feb. 12. The broader S&P 500 index has also lost more than 10% of its value in just over a week.

President Trump tried to project a note of calm in a news conference Wednesday evening, stressing that the United States is well prepared for any health crisis and predicting the stock market will recover, thanks in part to robust consumer spending. But investors were not immediately reassured.

A poll by Morning Consult this week found that 69% of U.S. adults are either "very" or "somewhat" concerned about the domestic economic impact of the epidemic, a 14 point increase from a few weeks ago.

Health officials also reported the first known case of coronavirus in the U.S. with no apparent link to China or other sources, suggesting that the virus may be spreading domestically.

The steep drop in financial markets could put a dent in consumer confidence and spending — a major driver of the U.S. economy. It may also increase pressure on the Federal Reserve to lower interest rates. On Tuesday, the central bank's vice chairman, Richard Clarida, said the Fed is monitoring the outbreak closely but he cautioned it's too soon to assess the economic effects.

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMiZGh0dHBzOi8vd3d3Lm5wci5vcmcvMjAyMC8wMi8yNy84MDk5MzQxOTQvc3RvY2tzLXNsaWRlLWludG8tY29ycmVjdGlvbi10ZXJyaXRvcnktb24tY29yb25hdmlydXMtZmVhcnPSAQA?oc=5

2020-02-27 15:02:00Z
52780630255565

Dow tumbles into correction territory for the first time in 2 years as coronavirus outbreak slams stock market - MarketWatch

The stock market opened sharply lower Thursday morning, pushing the Dow Jones Industrial Average to its first correction in more than two years as investors around the world continued to flee equities amid the rapid spread of COVID-19, the infectious illness that reportedly originated in Wuhan, China late last year and has sickened tens of thousands. The Dow DJIA, -2.90% fell 517 points, or 1.9%, at 26,440, the S&P 500 index SPX, -2.88% fell 2% at 3,054, also not far from correction below 3,047.53. The Nasdaq Composite Index COMP, -3.35% declined 2.7% at 8,735. A correction is traditionally defined as a drop of at least 10%, but not more than 20%, from a recent peak. The last time the Dow entered correction was December of 2018, according to Dow Jones Market Data.

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMimwFodHRwczovL3d3dy5tYXJrZXR3YXRjaC5jb20vc3RvcnkvZG93LXR1bWJsZXMtaW50by1jb3JyZWN0aW9uLXRlcnJpdG9yeS1mb3ItdGhlLWZpcnN0LXRpbWUtaW4tMi15ZWFycy1hcy1jb3JvbmF2aXJ1cy1vdXRicmVhay1zbGFtcy1zdG9jay1tYXJrZXQtMjAyMC0wMi0yN9IBT2h0dHBzOi8vd3d3Lm1hcmtldHdhdGNoLmNvbS9hbXAvc3RvcnkvZ3VpZC84NTFFRTlBQS1EM0QyLTQ1QTEtQjNBQi04REE1N0Q1RDgwNDM?oc=5

2020-02-27 14:34:00Z
52780630255565

Dow futures plunge nearly 400 points on fears the coronavirus could be spreading to the US - USA TODAY

Jessica Menton USA TODAY

Published 9:09 AM EST Feb 27, 2020

Stock futures tumbled Thursday as fears mount that the deadly coronavirus could be spreading to the U.S. as the number of worldwide cases top 81,000.

Dow futures dropped nearly 400 points while Standard & Poor’s 500 futures slumped 1.5%.

Heading into Thursday, both averages were teetering on the brink of a correction, generally defined as a decline of 10% from a recent high. The Dow Jones industrial average is off 8.8% from its Feb. 12 record while the S&P 500 index was just under 8% off its all-time high reached Feb. 19. 

President Donald Trump announced late Thursday the U.S. was stepping up its efforts to combat the virus outbreak. Shortly after Trump spoke, the government announced that another person in the U.S. was infected — someone in California who appears not to have the usual risk factors of having traveled abroad or being exposed to another patient.

“The efforts by Trump to calm the markets are being overshadowed by the news from the CDC of a possible transmission of the virus in the U.S.,” Peter Cardillo, chief market economist at Spartan Capital Securities, says in a note. “We continue to recommend staying cautious.”

Coronavirus fears spook stocks: Here's how to protect your 401(k)

That Facebook ad promising a cure?: It's fake and Facebook's cracking down

Investors have been shifting money from stocks into safe havens like bonds and gold in the wake of the outbreak.

The yield on the 10-year Treasury, a closely watched barometer for the U.S. economy, hit a fresh record low, sliding to 1.27% Thursday, down from 1.34%. The yield on the 3-month Treasury bill edged up to 1.51%. The inversion in the yield between the 10-year and the 3-month Treasurys is a red flag for investors because it has preceded the last seven recessions.

Gold climbed $7.60 to $1,650.70 per ounce.

Germany’s DAX lost 2.2% and the CAC 40 in Paris dropped 2.3%. In London, the FTSE 100 lost 2.5%. Japan’s Nikkei 225 index lost 2.1% while in Australia, the S&P ASX/200 dropped 0.8%. Hong Kong’s climbed 0.3% to 26,778.62.

The Associated Press contributed to this report. 

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMiZWh0dHBzOi8vd3d3LnVzYXRvZGF5LmNvbS9zdG9yeS9tb25leS8yMDIwLzAyLzI3L2Rvdy1tYXJrZXRzLXBsdW5nZS1jb3JyZWN0aW9uLWNvcm9uYXZpcnVzLzQ4ODk5NzcwMDIv0gEnaHR0cHM6Ly9hbXAudXNhdG9kYXkuY29tL2FtcC80ODg5OTc3MDAy?oc=5

2020-02-27 14:03:45Z
52780635678610

Dow Jones Futures Tumble On US Virus First, Microsoft Coronavirus Warning, Trump After Stock Market Rally Fizzles - Investor's Business Daily

[unable to retrieve full-text content]

1. Dow Jones Futures Tumble On US Virus First, Microsoft Coronavirus Warning, Trump After Stock Market Rally Fizzles  Investor's Business Daily
2. Dow set to drop 400 points as worst week since the financial crisis continues  CNBC
3. Making Cents: How coronavirus fears affect Wall Street  KCRA News
4. Opinion: The Global Market Meltdown Reestablishes The Case for Cryptocurrency as Global Macro Hedge  CryptoPotato
5. Dow set to drop 300 points on report of first US coronavirus case of unknown origin  msnNOW
6. View Full Coverage on Google News

https://news.google.com/__i/rss/rd/articles/CBMijQFodHRwczovL3d3dy5pbnZlc3RvcnMuY29tL21hcmtldC10cmVuZC9zdG9jay1tYXJrZXQtdG9kYXkvZG93LWpvbmVzLWZ1dHVyZXMtbWljcm9zb2Z0LWNvcm9uYXZpcnVzLXdhcm5pbmctc3RvY2stbWFya2V0LXJhbGx5LWFwcGxlLXRlc2xhLWFtZC_SAQA?oc=5

2020-02-27 12:52:00Z
52780630255565

Best Buy earnings top estimates, driven by strong holiday sales - CNBC

Best Buy's fourth-quarter results exceeded analysts' expectations, driven by strong sales of headphones, appliances and other items over the holidays.

Shares are down less than 1% in premarket trading, a trend that could indicate Wall Street's concerns about the coronavirus outbreak.

Best Buy Chief Financial Officer Matt Bilunas said in a news release that the company is monitoring the coronavirus outbreak and expects most of its impact to be in the first half of the year.

He said the retailer factored the coronavirus into its first-quarter and full-year guidance, but he said "we view this as a relatively short-term disruption that does not impact our long-term strategy and initiatives."

Here's what Best Buy reported compared with what analysts were expecting, based on a survey of analysts by Refinitiv:

• Earnings per share, adjusted: $2.90 vs. $2.75 expected
• Revenue: $15.2 billion vs. $15.05 billion expected
• Same-store sales growth: 3.2% vs. 1.9% expected

Best Buy CEO Corie Barry said in an earnings call that the retailer's growth in the quarter was fueled by sales of headphones, computing, appliance, mobile phones and tablets and that helped offset a decline in gaming. It also saw growth in its in-home consultation and tech support businesses, she said.

"We offer compelling holiday deals that resonated with customers and provided a seamless shopping experience, great inventory availability, and fast free delivery," she said.

In the fourth quarter ended Feb.1, Best Buy said net income grew to $745 million, or $2.84 per share, from $735 million, or $2.69 per share, a year earlier.

Excluding items, Best Buy earned $2.90 per share, which was higher than the $2.75 per share analysts were expecting, according to Refinitiv.

Best Buy said revenue grew to $15.2 billion, from $14.8 billion last year, and was higher than the $15.05 billion analysts expected.

Sales at stores open at least a year rose 3.2%. Analysts were expecting a 1.9% gain.

The retailer's forecast for fiscal 2021 calls for an adjusted earnings range of $6.10 to $6.30 per share and for same-store sales to be flat to up 2.0%. Revenue will be between $43.3 billion to $44.3 billion, the company said.

Analysts surveyed by Refinitiv were calling for Best Buy to earn $6.25 per share on revenue of $44.22 billion in fiscal 2021.

Over the holiday season, Best Buy offered next-day delivery on thousands of items with no minimum purchase or membership required. Customers could pick up products in store within an hour of placing an order.

The retailer also made it possible for shoppers in New York City and Chicago to pick up their purchases at 175 alternate pickup locations. In New York, customers could pick up at CVS and UPS and in Chicago, they picked up at UPS.

Best Buy has expanded the services side of its business as it's competed with Amazon on consumer electronics. It's capitalized on the rise of smart home devices by helping customers buy and set them up. For example, it offers Total Tech Support, an annual membership program that can help customers install a smart doorbell, mount a TV or troubleshoot a computer glitch. It costs $199.99 a year.

The retailer has also expanded into health. It acquired three health-related companies, including GreatCall, a connected health and emergency response services provider for senior citizens. It has piloted tech-enabled programs that could reduce healthcare costs. And it's hired a practicing emergency medicine physician, Dr. Daniel Grossman, to be its chief medical officer.

Previously, in the third-quarter earnings call, Barry said the company's health offerings are used by about 1 million seniors and the company wants to increase that to 5 million in fiscal 2025.

Best Buy's shares have gained about 36% over the past 12 months, bringing its market value to $21.3 billion.

Read the full press release here.

Let's block ads! (Why?)

https://news.google.com/__i/rss/rd/articles/CBMiQmh0dHBzOi8vd3d3LmNuYmMuY29tLzIwMjAvMDIvMjcvYmVzdC1idXktYmJ5LXE0LTIwMjAtZWFybmluZ3MuaHRtbNIBRmh0dHBzOi8vd3d3LmNuYmMuY29tL2FtcC8yMDIwLzAyLzI3L2Jlc3QtYnV5LWJieS1xNC0yMDIwLWVhcm5pbmdzLmh0bWw?oc=5

2020-02-27 12:16:00Z
52780635619940