U.S. stock index futures rose on Wednesday, with Nike bringing cheer to markets after it reported better-than-expected results, while investors awaited more economic data for hints on the path of future interest rate hikes.
Market Snapshot
At 7:50 a.m. ET, Dow e-minis were up 265 points, or 0.8%, S&P 500 e-minis were up 23 points, or 0.6%, and Nasdaq 100 e-minis were up 46.75 points, or 0.42%.
Pre-Market Movers
Tesla (TSLA) – Tesla Inc's shares added 1.5% after tumbling to a fresh two-year low in the previous session. Billionaire Elon Musk said he willstep downas Twitter CEO once he finds a replacement.
Nike (NKE) – Nike surged 10.9% in the premarket after the athletic footwear and apparel maker reported better-than-expectedquarterly resultsand raised its revenue forecast. Discounting during the quarter helped Nike to clear out excess inventory.
FedEx (FDX) – FedEx rallied 4.3% in premarket trading following itsquarterly results, which saw profit beat consensus but sales fell short of analyst estimates. Investors were encouraged by the profit beat and by the delivery service's vow to continue aggressive cost cuts.
Starbucks (SBUX) – Starbucks wasdowngraded by Jefferiesto hold from buy at Jefferies, which said the coffee chain may be impacted by a pullback in consumer discretionary spending. Starbucks lost 1.1% in the premarket.
Hertz (HTZ) – Hertz shares fell 2.6% in the premarket after the National Highway Traffic Safety Administration said it was investigating whether the car rental company rented out vehicles with open recall issues yet to be repaired. NHTSA is seeking additional information from Hertz, which said it will cooperate with the request.
BlackBerry (BB) – BlackBerry gained 1% in premarket trading after its quarterly revenue beat estimates on strong demand for the company’s automotive and security software. BlackBerry also reported a smaller-than-expected quarterly loss.
Six Flags (SIX) – Six Flags gained 6.1% in premarket action on news that activist shareholder Land & Buildings Investment Management has accumulated a 3% stake in the theme park operator. Land & Buildings has suggested changes to management, including selling or spinning off the company's real estate holdings.
Rite Aid (RAD) – Rite Aid jumped 2.5% in the premarket after reporting a smaller-than-expected loss and revenue that beat Wall Street forecasts, helped by accelerated sales growth at its retail operations. However, the drugstore operator lowered its full-year guidance due to various issues, including seasonal markdowns.
Market News
Musk Confirms He’ll Resign as Twitter CEO After Successor Found
Elon Musk will resign as head of Twitter Inc. as soon as a successor is found, he said in a tweet.
He said he will just run the software and servers teams after he finds a successor.
Tesla to Implement Hiring Freeze and New Round of Layoffs - Electrek
Tesla has told employees that it is implementing a hiring freeze and confirmed that another wave of layoffs is coming next quarter, according to a source familiar with the matter.
Sam Bankman-Fried to Fly to US Wednesday, Escorted by FBI Agents
Federal authorities are set to whisk Sam Bankman-Fried to the US on Wednesday to face a range of criminal charges related to the collapse of the FTX crypto exchange.
Bankman-Fried signed his surrender documents on Tuesday, according to Bahamas Acting Commissioner of Corrections Doan Cleare. He’ll sign a separate set of papers finalizing his waiver of rights to fight extradition at the Magistrate’s Court in Nassau on Wednesday.