Stock Groups

5 things to know before the stock market opens Monday, Oct. 18

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These are the top news, trends, and analyses that traders need in order to get started with trading.

1. Wall Street to begin the week lower than Friday’s rallies

Traders are seen working on the New York Stock Exchange’s floor (NYSE) in New York City on October 15, 2021.

Spencer Platt | Getty Images

Dow futures droppedOn Monday, 100 points were traded ahead of busy earnings week. This is against the background of rising U.S. Oil prices and an increase in bond yields. It is the Dow Jones Industrial AverageIt is the S&P 500The NasdaqFor Friday’s rally and all week.

  • The Dow fell less than 1 percent from its Aug. 16 record closing. The S&P 500 was nearly 1.5% away from its Sept. 2 record close. The Nasdaq closed 3.1% behind its Sept. 7 record close.
  • Monday is the pause in the flood of earnings picks back up TuesdayWith Netflix Johnson & Johnson United AirlinesAnd Procter & GambleReporting
  • So far, 41 S&P 500 companies have delivered third-quarter results, with 80% of them topping EPS expectations, according to data from FactSet
  • Taking into account those already out and estimates for the rest, third-quarter profit growth would total 30%, the third-highest quarterly profit growth rate for S&P 500 firms since 2010, according to FactSet.

2. WTI reaches $83 per barrel, bond yields rise

U.S. Oil Prices, As Measured by West Texas Intermediate crudeThey topped $83/barrel, their highest mark since October 2014, and jumped an additional 1%. Behind the march higherThere is a continuing recovery of demand. This comes as Covid-depressed activity picks up. Also, high prices for natural gas and coal encourage the switch to fuel oil or diesel for power generation. WTI had already risen 3.7% in the last week and was up for three consecutive sessions, making it its 8th positive week. This is May 2015’s best weekly win streak.

It 10-year Treasury yieldThis week started moving back up toward 1.62%It is. The last time the 10-year yield was this high in September was June. After data revealed that U.S. retail sales increased by 0.7% in September, the 10-year yield (which moves inversely with price) was raised Friday. This is compared to 0.2% expected. At 9:15 AM, industrial production data for September will be available. ET predicts a 0.2% growth following the 0.4% increase in August.

3. China’s third quarter GDP growth is disappointing, slowing to 4.9%

Late September saw many factories stop producing due to a rise in coal prices and an acute shortage of electricity. Local authorities had to immediately cut power off. Giant developer’s struggles China EvergrandeIn August, it was at the forefront of global economic activity. According to Moody’s, real estate and other related industries make up about 25% of China’s GDP.

4. Bitcoin moves closer to all-time record highs for ETF optimism

Bitcoin on display.

Getty Images – Chesnot| Getty Images

BitcoinThe April record highs of $65,000 were close at hand. Monday’s 1.5% increase to over $61,000 was a significant improvement. On Friday, the world’s largest digital currency reached a six month high of $60,000 Traders are optimisticThe SEC will not stand in the way the first bitcoin futures exchange traded fund. Trading would start Tuesday, unless regulators intervene. The approval of an ETF giving mainstream investors access to bitcoin would mark a significant milestone in the cryptocurrency industry. Following April’s record, bitcoin fell and traded as low as $29,000 in June.

5. Apple expected to complete the transformation of its MacBook line

2020 MacBook Air featuring M1 Chip

Todd Haselton | CNBC

AppleTo announce the launch of new products, is hosting a Monday event. likely including a redesigned MacBook Pro. This is a great opportunity for Apple to maintain momentum in its Macs before the holidays, particularly since more Macs will be announced that use its chips and not Intel’s. Apple released and then discontinued its iPhones, iPads, and Apple Watches last month. Macs are the only major product that isn’t being updated in this fall. Apple may also announce the release date of macOS Monterey (the latest Mac software version), which was officially announced last June.

— Reuters contributed to this report. You can follow all market activity like a professional. CNBC ProThis is. Find the most recent information about the pandemic here CNBC’s coronavirus coverage

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