Yesterday we saw a healthy rebound in the stock market as the DOW rallied over eighty points following a steep drop Tuesday, which looked like a classic textbook selling washout. We actually saw the stock market pullback every day this month until it finally turned around yesterday.
You should just view this as little step back correction in the big rally that has been going on in the stock market since October. What is interesting is that stocks have actually fallen back a bit into the beginning of this quarterly earnings season. This sets the stage for some good upside surprises in stocks as earnings come out. We saw this happen yesterday when Alcoa (NYSE: AA) reported earnings and had a nice price share jump of over six percent.
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Key stocks to watch today are Google (NASDAQ: GOOG) and JB Hunt Transport Services (NASDAQ: JBHT).
Google will report its earnings results after the close. The whisper number is for the company to announce earnings of to earn $9.59 a share, which is six cents lower than analyst estimates. Google though has beaten the whisper number twenty out of thirty times.
JB Hunt is scheduled to report earnings shortly - before the opening bell. It's whisper number is for it to earn $0.54 cents a share, which is two cents ahead of analyst estimates. The company tend to be analyst estimates 75% of the time and in its last earnings report saw its stock gain 4.9% within ten trading days of its earnings release.
DOW futures are up forty-three points as of 7:20 AM.