Stock futures pointed to a modestly higher start for Wall Street on Wednesday after equities slumped following retail sales data that sent bond yields surging. The Federal Reserve will be releasing the minutes of the central bank's July 25-26 meeting in the afternoon.
These stocks were poised to make moves Wednesday:
Tesla slid over 1% in premarket trading as it made its second round of price cuts in China this week, further fueling concerns of reigniting a price war. It reduced the price of existing stock of its premium Model S sedan and Model X sport utility vehicle by as much as 70,000 yuan ($9,600) to 754,900 yuan and 836,000 yuan respectively.
Alibaba slid over 1% in premarket trading as its DingTalk will split from the company's cloud division, according to two sources close to the company. The sources could not confirm the exact timing of the split and also did not confirm news reported by Chinese media outlet Caixin on Wednesday that DingTalk would pursue its own IPO in the near future.
Sea continued to fall over 4% in premarket trading after tumbling 28.68% yesterday. It posted mixed results in the three months ended June 30, as tepid consumer spending amid a challenging macroeconomic outlook pressured its e-commerce business and caused a steep decline in its mobile gaming unit. Meanwhile, Grab slid over 2%.
Nvidia rose over 1% in premarket trading as multiple analysts raised price target, Nvidia naming Top Pick at Morgan Stanley heading into earnings.
Coherent $(COHR)$ was falling 19% after the optoelectronics company's forecasts for its fiscal first quarter and year were weaker than expected. Coherent expects first-quarter adjusted earnings of 5 cents to 20 cents a share on revenue of $1 billion to $1.1 billion, well off analysts' estimates for earnings of 47 cents a share on revenue of $1.17 billion. The company said the forecast "assumes no meaningful improvement in the macroeconomic environment," including in China.
Cava Group $(CAVA)$, the Mediterranean restaurant chain, reported a second-quarter profit of 21 cents a share while analysts were expecting a loss of 2 cents. Revenue of $171.1 million also topped forecasts. It was Cava's first report since it went public in June. The stock jumped 11%.
Tower Semiconductor declined 9.3% in premarket trading after Intel $(INTC)$ terminated its proposed $5.4 billion acquisition of the Israeli chip maker after failing to receive regulatory approval from China. Intel rose 0.3%.
DLocal $(DLO)$ was rising 30% in premarket trading after the online payments company reported second-quarter results that topped estimates and maintained revenue guidance of $620 million to $640 million for the year. DLocal also named Pedro Arnt as co-chief executive. Arnt previously worked as chief financial officer at MercadoLibre (MELI), the Latin American e-commerce giant.
Shares of VinFast $(VFS)$, the Vietnamese electric-vehicle maker, were falling 12% in premarket trading. The stock jumped more than 250% on Tuesday after the company began trading following the closing of its merger with the SPAC Black Spade Acquisition.
Earnings reports are expected before the opening bell Wednesday from Target $(TGT)$, TJX Cos. $(TJX)$, and JD.com $(JD)$. Cisco Systems $(CSCO)$ is scheduled to report earnings after markets close, as are Synopsys $(SNPS)$ and Wolfspeed $(WOLF)$.
