By Chris Matthews and Mark DeCambre, MarketWatch
Rite Aid shares rally following planned CEO departure
U.S. stocks on Wednesday were set to climb for a third straight
day, despite persistent global growth concerns tied to the U.K.'s
exit from the European Union and proliferating signs of slowing
global growth. Shares of Boeing were on investors' minds in the
aftermath of a series of world-wide groundings of its 737 Max 8
fleet.
How did major indexes fare?
Dow Jones Industrial Average futures rose 80 points, or 0.3%, to
25,659, while those for the S&P 500 index added 6.55 points, or
about 0.2%, to 2,803.75. Nasdaq-100 futures advanced 22.75 points,
or 0.3%, at 7,256.50.
On Tuesday, the Dow lost 96.22 points, or 0.4%, to end at
25,554.66. The S&P 500 rose 8.22 points, or 0.3%, to finish at
2,791.52 as health care and utilities stocks led gains, while the
Nasdaq Composite Index rose 32.97 points, or 0.4%, to finish at
7,591.03.
Read:Why a bout of small-cap carnage could be a red flag for
stock-market bulls
(http://www.marketwatch.com/story/why-a-bout-of-small-cap-carnage-could-be-a-red-flag-for-stock-market-bulls-2019-03-11)
What drove the market?
British lawmakers on Tuesday rejected Prime Minister Theresa
May's revised Brexit deal in a 242-391 vote and now are looking at
a second vote to on whether an exit without a pact with Europe's
trade bloc can be taken off the table before a March 29
deadline.
A so-called hard-Brexit scenario has stoked volatility in
Britain's currency and has the potential to unsettle domestic
markets, experts say.
Meanwhile, concerns around growth in the U.S. continued after
new inflation data published on Tuesday came in weaker than
expected, adding to a disappointing jobs report on Friday.
Despite those worries, and no fresh news on Sino-America trade
developments, stocks have mostly climbed on the back of strong
gains in the technology sector.
However, the persistent headwinds from Boeing Co. (BA),
embattled by a pair of crashes involving its 737 Max 8 jets, have
weighed on the Dow, where the aviation and defense firm is a
component.
Meanwhile, concerns around growth in the U.S. continued after
new inflation data published on Tuesday came in weaker than
expected, adding to disappointing payroll data last week.
What are strategists saying?
David Madden market analyst at CMC Markets UK, said the
investment climate is "gloomy this morning as Brexit still hangs
over the markets. Theresa May's withdrawal agreement was voted down
yesterday, which wasn't a huge surprise."
Which stocks are in focus?
Boeing shares were up about 0.4% in premarket trade, as the
stock looks to snap a two-day losing streak that shaved nearly 15%
from its value.
Shares of Rite Aid Corp.(RAD) were in focus after the drugstore
chain's CEO John Standley said he would step down. Shares were up
8.3% in premarket trading.
Shares of Express Inc. (EXPR) fell 12.7% in premarket action
after the fashion apparel retailer
(http://www.marketwatch.com/story/expresss-stock-plunges-after-sales-miss-downbeat-outlook-offsets-adjusted-profit-beat-2019-03-13)
beat fourth-quarter profit expectations but missed on net sales and
provided first-quarter outlook that was worse than forecasts.
What data are traders watching?
Durable-goods orders rose in January by 0.4%
(http://www.marketwatch.com/story/durable-goods-orders-rise-in-january-for-3rd-straight-month-and-investment-rebounds-2019-03-13),
the government reported Wednesday, above the 0.1% decrease expected
by economists polled by MarketWatch.
The Commerce Department report also showed core capital orders,
a key measure of business investment, rising 0.8% in January after
falling sharply the two months previous.
The cost of wholesale goods rose 0.1% in February
(http://www.marketwatch.com/story/wholesale-prices-creep-higher-in-february-but-inflation-poses-little-threat-ppi-shows-2019-03-13),
below the 0.2% increase expected by economists, per a MarketWatch
poll. The 12-month increase in producer prices fell from 2.5% to
2.3%, well below last summer's peak of 3% growth.
At 10 a.m., the Commerce Department will issue its estimate of
the level of construction spending in January.
How are other markets trading?
Asian markets closed lower on Wednesday
(http://www.marketwatch.com/story/asian-markets-lower-amid-weight-of-global-uncertainties-2019-03-12),
with Japan's Nikkei 225 losing 1%, Hong Kong's Hang Seng Index
shedding 0.4% and China's Shanghai Composite Index retreating
1.1%.
European stocks were edging higher Wednesday, with the Stoxx
Europe 600 rising 0.2%.
The price of oil continued to rise Wednesday, while gold also
rose. The U.S. dollar , meanwhile, edged lower.
(END) Dow Jones Newswires
March 13, 2019 09:10 ET (13:10 GMT)
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