U.S. Stock futures fell Wednesday morning after rising a day earlier, as investors contemplated the potential for the Federal Reserve to take an even more aggressive approach to rein in inflation.
Market Snapshot
At 7:50 a.m. ET, Dow e-minis were down 107 points, or 0.31%, S&P 500 e-minis were down 17.75 points, or 0.39%, and Nasdaq 100 e-minis were down 93 points, or 0.63%.
Pre-Market Movers
General Mills – General Mills gained 1.6% in the premarket after reporting better-than-expected quarterly earnings and raising its full-year outlook. The food maker earned an adjusted 84 cents per share, 6 cents above estimates, with revenue essentially in line with analyst forecasts. General Mills said demand for food at home continues to be elevated.
Winnebago – The recreational vehicle maker reported adjusted quarterly earnings of $3.14 per share, beating the $2.94 consensus estimate, and revenue also topped Street forecasts. Results were helped by strong consumer demand and higher prices. However, Winnebago shares lost 2.4% in premarket action.
GameStop – GameStop soared 12.4% in premarket trading after an SEC filing showed that Chairman Ryan Cohen had bought 100,000 additional shares, raising his stake in the videogame retailer to 11.9%.
Adobe – Adobe beat estimates by 3 cents with adjusted quarterly earnings of $3.37 per share. The software maker’s revenue was slightly above estimates. However, Adobe cut its forecast for a key subscription revenue measure, expecting a $75 million hit for existing business in Russia and Belarus. Adobe slid 2.7% in the premarket.
Tilray Inc.,Canopy Growth Corporation,Aurora Cannabis Inc,Sundial Growers Inc. – U.S.-listed marijuana stocks jumped in the premarket following news of two takeover deals in the industry. Cresco Labs is buying Columbia Care for $2 billion in stock, while Aurora Cannabis is acquiring Thrive Cannabis parent TerraFarma for C$38 billion in cash and stock plus certain incentives. Tilray jumped 10.9% in the premarket, with Canopy Growth up 4%, Aurora Cannabis rallying 7.6% and Sundial surging 8.6%.
Okta Inc. – Okta said a preliminary investigation found no evidence of ongoing malicious activity, following news of a hacker breach. The digital authentication company said up to 366 customers may have been impacted by the breach, but noted hackers gained only limited access. Okta dropped 3.6% in premarket action.
Nielsen Holdings PLC – Private equity firms Brookfield Asset Management and Elliott Investment Management are considering raising their offer for Nielsen, according to people familiar with the matter who spoke to Bloomberg. Nielsen had rejected a prior offer of $25.40 per share, saying it undervalued the company.
Poshmark, Inc. – Poshmark slid 9.4% in the premarket after the operator of a new and used clothing marketplace gave weaker-than-expected guidance for the current quarter. Poshmark reported better-than-expected revenue for its most recent quarter, along with a slightly smaller-than-expected loss.
Market News
TENCENT on Wednesday posted an 8 percent rise in fourth-quarter revenue in its slowest growth since going public in 2004, revenue rose to 144.2 billion yuan ($22.63 billion) from 133.7 billion
Elon Musk’s tweets about Tesla Motors will remain a valid subject for government investigation even if a court decides to throw out a 2018 agreement between the billionaire and the U.S. Securities and Exchange Commission, the agency told a judge.
Boston Consulting Group claims it hasn’t been paid about $30 million in fees for its work “setting the company on a more sustainable path” 2 1/2 years ago.GameStop said it will fight the suit, which it said lacks merit and reflects BCG’s “prioritization of excessive fees over clients’ interests.”
Microsoft said that the hacker group Lapsus$ gained “limited access” to its systems, following a claim by the group that it obtained source code for the Bing search engine and Cortana voice assistant.
House Speaker Nancy Pelosi (D-Calif.) disclosed her financier husband purchased more than $2 million in Tesla Motors stock last week, marking one of the lawmaker's biggest equity investments this year
Toyota announced a 100 billion yen ($826 million) stock buyback, with its shares trading more than 10% off recent highs. It will repurchase the shares between Thursday and May 10, around the time it typically announces full-year earnings.
Hundreds of customers of digital authentication firm Okta Inc. have possibly been affected by a security breach caused by a hacking group known as Lapsus$, the company said on Tuesday.
Volkswagen AG said it will invest more than 7 billion euros ($7.7 billion) in Spain including a battery plant alongside a range of suppliers to establish an electric-vehicle supply chain in the country.