Markets Stall Post A.I. Deal Announcements
Markets are poised for a lower open, with S&P 500 futures down about -0.53% continuing a two-day slide after Monday’s all-time highs.
Barclay’s said Nvidia (NVDA) could still rally 30% as artificial intelligence dealmaking continues to ramp up, and raised their price target to $240 from $200.
Meanwhile, Starbucks (SBUX) said it will close stores and eliminate about 900 jobs as part of a $1B restructuring plan.
Earnings are light with the only notable company for the rest of the week being Costco (COST), but it’s a heavy economic data day; the list includes Jobless Claims, Durable Goods, Existing Home Sales, and a full slate of Fed speakers throughout the day.
Snapshot (as of 7 AM ET)
- Oil (/CL) – Oil Futures are down 0.75% around $64.50 a barrel as markets determine the extent of how impactful supply disruptions in Russia impact global inventories.
- Gold (/GC) – Gold is flat near 3,768, still near its recent all-time high of around 3,824 after yesterday’s decline.
- Bitcoin (/BTC) – The cryptocurrency futures are down about -2.15% around 111,680, giving back all of yesterday’s +1.3% gain but remaining above yesterday’s lows.
- VIX – VIX retreated to close at 16.18 from yesterday’s close of 16.64 but has moved higher in pre-market trading to 17.36.
- U.S. Dollar (/DX) – The greenback is up 0.32% near 98.18 after yesterday’s +0.7% upside push.
Biggest Premarket Movers (Mark % Change as of 7 AM ET)
- IBM Corp (IBM): +2.79%
- Intel Corp (INTC): +1.70%
- Albemarle Corp (ALB): +1.56%
- CarMax (KMX): -16.84%
- Jabil Inc (JBL): -4.56%
- Oracle (ORCL): -3.65%
Economic Data
- 8:30AM ET: International Trade in Goods (Advance), Jobless Claims, Wholesale Inventories, GDP
- 10:00AM ET: Existing Home Sales, Michelle Bowman Speaks
- 11:00AM ET: Kansas City Fed Manufacturing Index
- 1:00PM ET: Michael Barr Speaks, 7-Yr Note Auction
Notable Earnings
- Premarket: JBL, KMX, BB
- Postmarket: COST
- Premarket Tomorrow: n/a
- Postmarket Tomorrow: n/a
Upgrades/Downgrades
- BNP Paribas Exane upgraded Arista Networks (ANET) to Outperform from Neutral
- Scotiabank upgraded CrowdStrike (CRWD) to Outperform from Sector Perform
- Citi upgraded CME Group (CME) to Buy from Neutral
- Berenberg downgraded TotalEnergies (TTE) to Hold from Buy
- Scotiabank downgraded Freeport-McMoRan (FCX) to Sector Perform from Outperform
- Needham downgraded Lululemon (LULU) to Hold from Buy
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