Dow Jones futures were little changed late Thursday, along with S&P 500 futures and Nasdaq futures ahead of Friday’s jobs report. Micron Technology (MU) earnings and a Boeing 737 Max settlement were in focus. The stock market rally had a powerful session, with the Dow Jones, S&P 500 index, Nasdaq composite and Russell 2000 all hitting record highs.
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But there are signs that the market rally is getting extended.
Meanwhile, Tesla (TSLA) continued to soar on yet another price target hike, making Elon Musk the richest man in the world. But is Tesla stock getting extended?
Micron earnings topped views, while the memory chip maker also guided high. After rallying to its best levels since 2000, Micron stock rose modestly overnight.
Micron earnings should be good news for other memory plays, including equipment giants Lam Research (LRCX), Applied Materials (AMAT) and KLA Corp. (KLAC). LRCX stock, AMAT and KLA have been surging this week, perhaps in anticipation of bullish Micron earnings.
Taiwan Semiconductor, a major customer for Lam Research, Applied Materials and KLA, reports December sales on Friday. Next week, earnings are on tap. Taiwan Semi is expected to announce heavy capital spending. TSM stock rallied 5% on Thursday, hitting a fresh high.
Boeing 737 Max Settlement
Boeing (BA) will pay more than $2.5 billion settle a Justice Department criminal charge that the Dow Jones aerospace giant concealed key information from the Federal Aviation Administration regulators investigating the two 737 Max crashes. It’ll pay a criminal penalty of $243.6 million, compensation payments to Boeing customers of $1.77 billion and $500 million for a crash victim beneficiaries fund.
Boeing stock fell a fraction in overnight trading. The muted reaction suggests investors are happy to move forward, with the Boeing 737 Max flying again. BA stock edged up 0.8% to 212.71 on Thursday.
Tesla stock and TSM are on IBD Leaderboard. TSM stock, LRCX and AMAT are on IBD 50.
Dow Jones Futures Today
Dow Jones futures were flat vs. fair value, along with S&P 500 futures. Nasdaq 100 futures were little changed.
Dow Jones futures will likely move on the December jobs report, due out 8:30 a.m. ET on Friday. The consensus is for a gain of just 65,000 jobs as coronavirus shutdowns stall the economic recovery. An outright jobs decline would be a bad sign, though it could also spur a bigger, faster stimulus package.
Remember that overnight action in Dow futures and elsewhere doesn’t necessarily translate into actual trading in the next regular stock market session.
That’s been true for the past several days. Dow Jones futures have not foreshadowed regular-session
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Coronavirus News
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Read More: Stock Market Rally, Tesla Stock Soar, But Flash Warning Signs; Micron