Futures tracking the S&P 500 and the Nasdaq slipped on Thursday after the indexes notched strong gains in the past two sessions, with investors awaiting U.S. inflation data that could trigger bets on quicker interest rate hikes.
The consumer price index, which measures the costs of dozens of everyday consumer goods, rose 7.5% compared to a year ago, the Labor Department reported Thursday.
That compared to Dow Jones estimates of 7.2% for the closely watched inflation gauge. It was the highest reading since February 1982.
Market Snapshot
At 09:09 a.m. ET, Dow e-minis were down 240 points, or 0.67%, S&P 500 e-minis were down 59.5 points, or 1.3%, and Nasdaq 100 e-minis were down 307 points, or 2.04%.
Pre-Market Movers
Coca-Cola(KO) – Coca-Cola shares added 1.3% in the premarket after the company beat estimates by 4 cents with adjusted quarterly earnings of 45 cents per share. Revenue also beat Wall Street forecasts, and Coca-Cola projects commodity price inflation will be in the mid-single-digit percentage range for 2022.
Twitter(TWTR) – Twitter jumped 6.6% in premarket action, despite reporting top and bottom-line misses for its latest quarter. Twitter also announced a new $4 billion stock buyback program.
Tapestry(TPR) – The company behind the Coach and Kate Spade brands reported adjusted quarterly earnings of $1.33 per share, beating the $1.18 consensus estimate. Revenue beat estimates, and Tapestry also raised its full-year guidance on rising demand for its luxury goods.
Canada Goose(GOOS) – The maker of winter wear saw its shares tumble 10.3% in premarket trading after its earnings fell below analyst forecasts, although revenue topped predictions. Canada Goose cut its full-year forecast, as Covid-related restrictions impact demand for its parkas and footwear.
Walt Disney(DIS) – Disney surged 7.5% in premarket trading after beating Wall Street forecasts on the top and bottom lines for its latest quarter. Disney earned an adjusted $1.06 per share, well above the 63 cents per share consensus estimate, helped by growth in its Disney+ subscriber base and as record profit from its theme parks.
Uber Technologies(UBER) – Uber reported better-than-expected quarterly results as its ride-hailing business rebounded. The company continued to see strong demand in its Uber Eats food delivery business. Shares gained 5.8% in premarket trading.
Mattel(MAT) – Mattel came in 23 cents above estimates with adjusted quarterly earnings of 53 cents per share, and the toy maker’s revenue also beat analysts forecasts. Mattel’s results were driven in part by growth in its Barbie brand, and it also issued an upbeat 2022 outlook. The shares soared 12.6% in the premarket.
Sonos(SONO) – Sonos rallied 6.4% in premarket trading after topping analyst estimates on the top and bottom lines for the latest quarter. The maker of smart audio equipment said demand remains strong although it is still being impacted by supply chain issues.
Datadog(DDOG) – Datadog surged 14.5% in the premarket after the cybersecurity platform company reported better-than-expected profit and revenue for its latest quarter.
Twilio(TWLO) – Twilio rocketed 19.8% higher in premarket action after the communications software company reported a narrower-than-expected quarterly loss and revenue that was well above estimates. Twilio also issued an upbeat current-quarter revenue outlook.
Market News
Credit Suisse Group AG asked investors for more patience as the firm warned that its worst annual performance in five years won’t be followed by a rapid rebound.
An antibody-based COVID-19 therapy developed by GSK and Vir Biotechnology retains neutralising activity against the emerging BA.2 form of the Omicron coronavirus variant, Vir said on Thursday, citing data from lab work.
Unilever on Thursday reported fourth-quarter underlying sales growth of 4.9%, as people ate more at home, the first results from the maker of Dove soap and Magnum ice cream since its failed bid for GlaxoSmithKline’s consumer health business.
Astra Zeneca has reported a 41 per cent jump in its full-year revenues, which have soared to $37.4bn. In its final quarter, sales soared 62 per cent to $12bn. The Anglo-Swedish giant has also forecast higher 2022 sales and raised its annual dividend for the first time in a decade after beating fourth-quarter profit expectations.
Late Wednesday, South Carolina senators approved the use of medical marijuana in 28-15 vote, realizing Republican Senator Tom Davis's seven-year quest to pass the proposal, though the legislation still has some hurdles to jump before becoming law.