Stock Futures Slip; Activision Candy Crushes Views – Investor’s Business Daily

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Stock futures were down near premarket lows Friday, following a disappointing April jobs report.

The Dow Jones industrials, S&P 500 and Nasdaq 1oo futures all dipped 0.4% below fair value.

Economic headlines on the stock market today opened with 160,000 new workers added by U.S. nonfarm employers in April, according to the Labor Department. That was a sharp step down from March’s revised 208,000 gain, originally reported as a 215,000 increase.

Economists had forecast 200,000 new hirings for April. The unemployment rate held steady at 5%, in line with expectations. Average hourly earnings rose 0.3%, above the downwardly revised 0.2% gain in March and in line with the consensus forecast.

The Federal Reserve reports March consumer credit numbers at 3 p.m.

Oil futures backed off more than 1%, erasing Thursday’s advance. West Texas Intermediate traded below $44 a barrel, down almost 5% for the week and tacking toward its first weekly decline in five weeks. Baker Hughes (BHI) reports its weekly rig count at 1 p.m.

Dow stocks traded lower almost across the board. Goldman Sachs (GS) and JPMorgan (JPM) led the declines, down more than 1% apiece. Goldman announced about 100 layoffs in its trading and sales division late Thursday.

Video game kingpin Activision Blizzard (ATVI) jumped 6% to lead the Nasdaq 100 and the S&P 500. The video game maker’s first-quarter earnings and revenue growth, and its Q2 guidance, stomped analyst expectations. Activision’s $5.9 billion acquisition of Candy Crush developer King Digital Entertainment was a key contributor to the beat. Shares ended Thursday 2% below the 35.70 buy point of a base the stock is forming.

Walgreens Boots Alliance (WBA) shed more than 2%, the worst premarket loss among S&P 500 stocks. The company announced late Thursday an offering of 15 million shares held by private equity firm Kohlberg Kravis Roberts (KKR).

Yelp (YELP) screamed 14% higher, and Ubiquiti Networks (UBNT) swept up 10% after delivering quarterly results late Thursday.

Office and multifamily property REIT Douglas Emmett (DEI) showed a 30% surge in premarket trade. The cause was not immediately clear. Shares ended Thursday at a new high.

Drugmaker Endo International (ENDP) tumbled more than 30% after topping Q1 EPS and revenue expectations but announcing deep cuts to its full-year guidance. Among tech names, GoPro (GPRO) and FireEye (FEYE) were also taking hard post-earnings hits before the open.

Overseas, benchmarks in Europe were down in the 1% range near midday. Tokyo’s stock exchange reopened after a three-day holiday to post a 0.3% decline. China’s markets dropped hard, apparently on concerns over new regulations, as well as possible bond defaults. Hong Kong’s Hang Seng index ended down 1.7%, and the Shanghai composite took a 2.8% loss.