Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Dow Futures Dip as Fed Meeting Looms

According to stock index futures as of 7:40 a.m. EDT, the Dow Jones Industrial Average (DJINDICES: ^DJI  ) will start the session slightly higher, rising by 12 points at the opening bell. As the Federal Open Market Committee's two-day policy meeting kicks off today, most economists expect the Fed to announce a scaling-back of its bond-buying program from $85 billion per month to $75 billion per month. But trading could be volatile depending on the details of the Fed's assessment of the economy and its forecast for interest rates in the years ahead. 

Overnight, world markets ticked down after yesterday's big gains, and long-term Treasury yields were below their recent highs, at about 2.85%.

With those larger trends in mind, here are a few individual stock stories to watch for in today's market.

JPMorgan Chase (NYSE: JPM  ) is racking up the fines. The bank will have to pay at least $800 million in penalties tied to the "London Whale" trades that sparked $6 billion in losses last year, according to The Wall Street Journal. JPMorgan is also expected to admit fault by confessing that its internal controls were lacking at the time. The company announced a new $4 billion investment in legal reserves and risk-management expenses just last week, and at this pace it could make use of every dollar in that stash. The stock is unchanged in premarket trading.

Outerwall (NASDAQ: OUTR  ) shares look set to be punished by the market after the company warned that its Redbox revenue and profit will be much lower than expected. Outerwall, formerly known as Coinstar, now sees sales of about $580 million in the third quarter, as compared to the $620 million it projected before. The company also sees profit coming in well below expectations, at about $0.88 per share. Redbox customers are returning their DVDs more quickly, and that's leading to less revenue per rental. It also can't help that Netflix is no longer shedding DVD subscribers by the millions as it did last year. Outerwall shares are down 15.6% in premarket trading. 

Finally, Pandora (NYSE: P  )  could see active trading today after the company announced a secondary stock offering. With shares at an all-time high, it plans to issue 10 million new shares, which will raise around $250 million. Pandora sure could use the cash as it prepares for more competition in the streaming-music business, including from supremely well-capitalized Apple and its iTunes radio. However, existing shareholders will see a nearly 8% dilution in their ownership. Pandora's stock is down by about 2% in premarket trading.

Bank on It
Have you missed out on the massive gains in bank stocks over the past few years? There's good news: It's not too late. Bargains of a lifetime are still available, but you need to know where to look. The Motley Fool's new report "Finding the Next Bank Stock Home Run" will show you how and where to find these deals. It's completely free -- click here to get started.

Read/Post Comments (0) | Recommend This Article (4)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2640715, ~/Articles/ArticleHandler.aspx, 9/24/2016 10:09:51 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 1 day ago Sponsored by:
DOW 18,261.45 -131.01 -0.71%
S&P 500 2,164.69 -12.49 -0.57%
NASD 5,305.75 -33.78 -0.63%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/23/2016 4:55 PM
^DJI $18261.45 Down -131.01 -0.71%
JPM $67.25 Down -0.14 -0.21%
JPMorgan Chase CAPS Rating: ****
OUTR $52.01 Up +0.04 +0.08%
Outerwall CAPS Rating: **
P $14.09 Up +0.08 +0.57%
Pandora Media CAPS Rating: **