Exchange-Traded Funds, Equity Futures Lower Pre-Bell Friday as Investors Focus on Upcoming Inflation Report

MT Newswires Live12-20 21:18

The broad market exchange-traded fund SPDR S&P 500 ETF Trust (SPY) was down 1.1% and the actively traded Invesco QQQ Trust (QQQ) retreated 1.7% in Friday's premarket activity amid investors' focus on the upcoming inflation report.

US stock futures were also lower, with S&P 500 Index futures down 1%, Dow Jones Industrial Average futures slipping 0.5%, and Nasdaq futures losing 1.6% before the start of regular trading.

November data on Personal Income and Outlays in the US will be released at 8:30 am ET.

The consumer sentiment report will be released at 10 am ET and the Baker Hughes rig count at 1 pm ET.

In premarket activity, bitcoin was down by 3.1% and the cryptocurrency fund ProShares Bitcoin Strategy ETF (BITO) was 2.5% lower.

Power Play:

Health Care

The Health Care Select Sector SPDR Fund (XLV) was up 0.6%. The Vanguard Health Care Index Fund (VHT) gained 0.3% while the iShares US Healthcare ETF (IYH) advanced 0.3%. The iShares Biotechnology ETF (IBB) was down 0.6%.

Aadi Bioscience (AADI) shares were up more than 24% premarket Friday after the company said it signed an exclusive license agreement for a portfolio of preclinical antibody-drug conjugates and entered into deals that will raise up to $200 million.

Winners and Losers:

Industrial

Industrial Select Sector SPDR Fund (XLI) lost 0.4% while the Vanguard Industrials Index Fund (VIS) gained marginally by 0.04% and the iShares US Industrials ETF (IYJ) was up 0.02%.

Air Industries Group (AIRI) stock was up more than 8% before the opening bell after the company said it received an over $33 million, seven-year contract to develop components for the CH-53K King Stallion helicopter.

Consumer

The Consumer Staples Select Sector SPDR Fund (XLP) was down 0.1%, while the Vanguard Consumer Staples Fund (VDC) gained 0.3%. The iShares US Consumer Staples ETF (IYK) was inactive, and the Consumer Discretionary Select Sector SPDR Fund (XLY) lost 2.2%. The VanEck Retail ETF (RTH) was inactive, while the SPDR S&P Retail ETF (XRT) fell 1.2%.

Tesla (TSLA) shares were down nearly 5% pre-bell Friday after the National Highway Traffic Safety Administration said Thursday the electric vehicle maker is recalling 694,304 vehicles in the US over a problem with the tire pressure monitoring system that may improperly inflate tires, increasing the risk of accidents.

Technology

Technology Select Sector SPDR Fund (XLK) retreated 1.7%, and the iShares US Technology ETF (IYW) was down 1.6%, while the iShares Expanded Tech Sector ETF (IGM) was 1.4% lower. Among semiconductor ETFs, SPDR S&P Semiconductor ETF (XSD) fell nearly 1%, while the iShares Semiconductor ETF (SOXX) was down 1.8%.

NVIDIA (NVDA) shares were down more than 2% in recent Friday premarket activity after the European Commission unconditionally approved the company's proposed acquisition of Run:ai Labs.

Energy

The iShares US Energy ETF (IYE) gained 0.3%, while the Energy Select Sector SPDR Fund (XLE) was down by 0.1%.

Occidental Petroleum (OXY) stock was up nearly 2% before Friday's opening bell after a regulatory filing showed that Berkshire Hathaway (BRK.A) increased its stake in the company by purchasing about $409.2 million in shares over the last three days.

Financial

Financial Select Sector SPDR Fund (XLF) retreated 0.4%. Direxion Daily Financial Bull 3X Shares (FAS) fell 1.7%, while its bearish counterpart Direxion Daily Financial Bear 3X Shares (FAZ) was 1.4% higher.

KKR (KKR) shares were down 1.7% pre-bell Friday after the company said Thursday it will extend its proposed takeover offer of 9,451 Japanese yen ($60.2) per share for Fuji Soft to Jan. 9.

Commodities

Front-month US West Texas Intermediate crude oil retreated 0.7% to $68.92 per barrel on the New York Mercantile Exchange. Natural gas gained 2.4% to reach $3.67 per 1 million British Thermal Units. United States Oil Fund (USO) declined by 0.3%, while the United States Natural Gas Fund (UNG) rose by 0.4%.

Gold futures for February advanced 0.4% to $2,619.40 an ounce on the Comex, while silver futures fell 0.4% to $29.29 an ounce. SPDR Gold Shares (GLD) advanced 0.3%, while the iShares Silver Trust (SLV) was down by 0.8%.

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