US Futures Still on the Upside, Watch AMZN, BA, REGN, DIS, DPZ, KEYS

Fundamental analysis of Forex market

The S&P 500 futures remain well directed as they are boosted by the potential development of a coronavirus vaccine and further easing of lockdown measures in the U.S. and around the world. Biotechnology firm Novavax said on Monday it has started the Phase 1 clinical trial of a novel coronavirus vaccine candidate, making it one of at least 10 now being tested in people globally.

Later today, the U.S. Federal Reserve will release its Beige Book economic report. The Richmond Federal Reserve will post its Manufacturing Activity Index for May (-40 expected).

European indices are accelerating to the upside as EU Commission has announced it will mobilize 750 billion euros for European recovery. France’s INSEE has released May indicators on consumer confidence at 93 (vs 92 expected), business confidence at 70 (vs 69 expected) and manufacturing confidence at 70 (vs 85 expected).

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Asian indices closed in the red except the Japanese Nikkei. Japan’s government lifted the coronavirus-induced state of emergency that had been in place since April.

WTI Crude Oil Futures remain on the upside on expectations of rising demand amid reopening economies.

Gold fell 8.18$ (-0.48%) to 1702.41, near a two-week low on optimism about economic recovery.

On the forex front, the US dollar lost ground against the euro after the announcement of the EU Commission stimulus package. EUR/USD rose 42pips to 1.1024.

US Equity Snapshot

Amazon (AMZN), the e-commerce giant, might be in advanced talks to buy self-driving vehicle startup Zoox, according to Bloomberg.

Boeing (BA), the aircraft maker, might announce this week deep job cuts, mainly in the Seattle area, according to different reports.

Regeneron (REGN): French pharma Sanofi “has agreed to sell 11.8 million shares of Regeneron, common stock through a registered offering at a price of 515.00 dollars per share.”

Walt Disney (DIS), the entertainment and media giant, announced that “Walt Disney World Resort executives will submit today to the Orange County Economic Recovery Task Force in Florida for a phased reopening of the resort’s theme parks.”

Domino’s Pizza (DPZ), the world leader in pizza delivery, said that for the March, 23 to May, 17 period, or the first eight weeks of its second quarter, global retail sales growth was 2.9%. The company added that “U.S. sales results accelerated materially over weeks five through eight of the second quarter.”

Keysight Technologies (KEYS), a provider of electronic measurement devices and software solutions, posted second quarter adjusted EPS of 0.78 dollar, missing estimates, down from 1.22 dollar a year ago, on sales of 895 million dollars, also below consensus, down from 1.1 billion dollars a year earlier.