Morning Minutes 6/9/2020

Morning Minutes

US Stocks Pause as Investors Await Tomorrow’s Fed Decision

June 9, 2020

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Market Commentary By:
Colin Cieszynski, CFA, CMT
Chief Market Strategist
+1 (647) 282-4428

With a two-day Fed meeting starting today that is expected to culminate in tomorrow’s monetary policy decision, statement and FOMC member forecasts, US markets have paused to digest their recent gains. US index futures are down 0.3% to 0.9% this morning. Dow futures are down about 255 points or 0.9% giving back part of yesterday’s 461-point, 1.7% gain. Overseas trading has been mixed where the Hang Seng rose 1.13% and Sydney rallied 2.4%, but the Dax and FTSE are both down about 1.6%. Commodities are also mixed this morning with copper up 0.4% and WTI crude oil down 0.9%.

Investors also continue to digest results from retailers this week. Macy’s is up 9.9% in premarket trading after the department store company reported preliminary results. Macys estimated losses of $2.03 for Q1 which ended in April, which was less than the $2.82 the street had expected. The company also announced $4.5 billion in new debt financing and that sales at stores which have reopened have been doing better than it expected. Canadian retailer results due this week include Dollarama and Roots tomorrow followed by Lululemon on Thursday.

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