U.S. stock futures rose on Wednesday morning after a key inflation reading showed a better than expected slowdown for rising prices. The July consumer price index report showed a slowdown in headline inflation.
Market Snapshot
At 8:35 a.m. ET, Dow e-minis were up 1.19%, S&P 500 e-minis were up 1.62%, and Nasdaq 100 e-minis were up 2.26%.
Pre-Market Movers
Wendy's – Wendy’s shares fell 1% in premarket trading following a mixed quarter, which saw the restaurant chain report better-than-expected earnings while revenue fell short of Street forecasts. U.S. same-restaurant sales rose 2.3%, less than analysts had estimated, as consumers spent more cautiously.
Coinbase Global, Inc. – The cryptocurrency exchange operator’s shares slid 5% in the premarket after the company reported a wider-than-expected quarterly loss, with business impacted by the slide in crypto prices during the spring months. Coinbase saw volumes fall as the number of active traders declined during the quarter.
Buzzfeed – The digital media company reported a wider-than-expected quarterly loss amid a pressured advertising market and rising expenses. Buzzfeed fell 3.7% in premarket trading.
Twitter – Twitter added 3.6% in premarket action following news that Elon Musk sold nearly $7 billion inTesla(TSLA) shares over the past few days. The move comes amid uncertainty over whether a court will force Musk to follow through on his $44 billion deal to buy Twitter. Tesla shares gained 1.3%.
Roblox Corporation – The videogame company’s stock tumbled 15.1% in the premarket after Roblox reported a quarterly loss that was wider than expected and bookings – a key sales metric – fell short of analyst forecasts.
Wynn – The resort operator reported a smaller-than-expected quarterly loss, but revenue was shy of expectations as results in Macau continue to be pressured by Covid-related shutdowns. Wynn Resorts fell 2.9% in premarket trading.
Trade Desk Inc. – The digital advertising firm’s stock surged 16.3% in the premarket after it reported better-than-expected quarterly revenue and gave an upbeat forecast for the current quarter. The company said its performance gives it confidence that it can gain market share in any economic environment.
H&R Block – The tax preparation firm’s stock jumped 4% in premarket action after quarterly results were better than expected, helped by a strong tax season. H&R Block also announced a 7% dividend increase and a new $1.25 billion stock buyback program.
Market News
Elon Musk has sold 7.92 million shares in the electric vehicle maker worth $6.9 billion, securities filings showed on Tuesday. Tesla Motors did not immediately respond for comment.
Microsoft is asking teams across the company to rein in some employee expenses as the software giant tries to control costs in the current economic environment. Finance chief Amy Hood warns employees to keep an eye on budgets.
The US Justice Department is preparing to sue Alphabet as soon as next month, according to people familiar with the matter, capping years of work to build a case that the Alphabet Inc. unit illegally dominates the digital advertising market.
Facebook-parent Meta Platforms, Inc. said on Tuesday it had raised $10 billion in its first-ever bond offering, as it looks to fund share buybacks and investments to revamp its business.
Softbank Group Corp expects to post a 4.6 trillion yen ($34.1 billion) gain from settling forward contracts for Alibaba stock, a far larger windfall than previously reported. Its stake in Alibaba would fall to 14.6% from 23.7% as of the end of June after the settlement.
Roblox Corporation posted net bookings of $639.9 million in the second quarter, compared with $665.5 million a year earlier. It reported a loss of 30 cents per share, bookings for July were up between 8% and 10% year over year, while Daily Active Users (DAUs) rose 26%.
Coinbase Global, Inc. reported a Q2 diluted loss of $4.98, compared with earnings of $6.42 a year earlier. Revenue was $808.3 million for the quarter that ended June 30, down from $2.23 billion a year earlier. Monthly transacting users fell to 9 million in Q2 from 8.8 million a year earlier. Trading volume declined to 217 billion from 462 billion a year ago.
Ford said on Tuesday it would raise the prices of its electric F-150 Lightning pickup as the U.S. carmaker deals with surging raw material costs. Prices for its 2023 F-150 lightning will be increased in the range of $6,000 and $8,500 depending on the variant, with the cheapest Pro model now priced at about $47,000.
Comments