- Futures rebound as oil stocks jump; PMI data in focus
- Bitcoin rises above $50,000; crypto stocks rallies
U.S. stock index futures rose on Monday, with oil shares leading the pack, as investors returned to riskier assets after a sharp selloff last week on worries about a slowing pace of U.S. economic growth.
At 8:00 a.m. ET, Dow e-minis were up 160 points, or 0.46%, S&P 500 e-minis were up 15.5 points, or 0.35%, and Nasdaq 100 e-minis were up 47.25 points, or 0.31%.
Apple Inc, Amazon.com and Tesla Inc were all up between 0.3% and 1% before the opening bell.
Oil majors Chevron Corp, Exxon Mobil, Schlumberger NV and Occidental Petroleum gained between 2% and 3.6% in premarket trading, tracking a 3% jump in crude prices.
IHS-Markit's flash reading of U.S. business activity, due at 9:45 a.m. ET, is expected to retreat in August to 58.3 from 59.9 in July.
Focus is now on the Fed's annual economic symposium in Jackson Hole, Wyoming, for more insight on the timeline for the central bank's tapering of its asset purchases. The summit will be held virtually on Aug. 27 for the second straight year.
Stocks making the biggest moves premarket:
Boeing(BA) – Boeing added 1.4% in the premarket, following news that it planned to invest in a SPAC merger planned later this year by Richard Branson’s satellite launch company Virgin Orbit. Virgin Orbit plans to merge with blank-check companyNextGen Acquisition(XOS), whose shares jumped 6% following the announcement.
Coinbase(COIN) – Coinbase jumped 3.6% in premarket trading, with the cryptocurrency exchange’s stock benefiting from bitcoin rising to its highest level since early May. Shares of the business analytics company MicroStrategy(MSTR) – which has extensive bitcoin holdings – rallied 3.9%.
Pfizer(PFE),BioNTech(BNTX) – The drug makers are expected to receive full FDA approval for their Covid-19 vaccine as soon as today, according to multiple reports. The vaccine had received emergency use authorization in late 2020. Pfizer added 3.3% in premarket action while BioNTech surged 7.1%.Moderna(MRNA) is also in the process of applying for full FDA approval of its Covid-19 vaccine and its shares rose 2.7%.
Trillium Therapeutics(TRIL) – Pfizer said it would buy the portion of the cancer therapy specialist that it doesn’t already own in a deal worth $2.26 billion or $18.50 per share in cash. That compares to Trillium’s Friday close of $6.09 per share. Pfizer had invested $25 million in Trillium in September 2020. Trillium shares nearly tripled in premarket trading.
General Motors(GM) – General Motors expanded the recall of its Chevy Bolt electric car to include newer models, a move that will cost the automaker an additional $1 billion. The recall will address an issue that can increase the risk of battery fires. GM fell 1.5% in the premarket.
Uber(UBER),Lyft(LYFT),DoorDash(DASH) – These stocks are on watch after a California judge ruled the state’s “gig workers” law was unconstitutional. California voters had approved a ballot measure last November allowing those companies to treat workers as independent contractors rather than employees. The companies – which lobbied extensively for passage of the measure – plan to appeal. Uber tumbled 4.2% in premarket trading, with Lyft sliding 5.1% and DoorDash also losing 2.2%.
PayPal(PYPL) – PayPal will allow customers in the UK to buy, hold and sell cryptocurrencies beginning this week, its first rollout of cryptocurrency services outside the United States. PayPal added 1% in the premarket.
Robinhood(HOOD) – The company behind the popular trading app was added to coverage at a handful of investment firms following its late July initial public offering, including Goldman Sachs (neutral rating), Mizuho (buy), JMP Securities (outperform), Barclays (equal weight) and Piper Sandler (neutral). Robinhood added 3.7% in the premarket.
JD.com(JD) – The Chinese e-commerce company reported better-than-expected profit and revenue for the second quarter while adding a record number of new users.
Walt Disney Co(DIS) – Walt Disney rose 0.9% after the media company raked in $125 million in online revenue from Marvel superhero film "Black Widow".