This morning, futures for major U.S. stock indices are nearly flat. S&P 500 futures are down 1 point, Nasdaq 100 futures are down 5 points, and Dow Jones Industrial Average futures are down 8 points. The three major indices hit record highs yesterday, but mixed reactions to recent earnings news have kept the market subdued today.
Some companies are seeing declines in their stock prices before the market opens. PVH (PVH, Financial), Synopsys (SNPS, Financial), and SentinelOne (S, Financial) are lower due to disappointing earnings or guidance. Meanwhile, retailers Five Below (FIVE, Financial) and Dollar General (DG, Financial) are enjoying pre-market gains after posting positive quarterly results.
Investors are also showing caution ahead of Friday's Employment Situation report for November. Today’s economic data includes the weekly jobless claims report and October Trade Balance, both due at 8:30 ET.
Treasury yields have risen, which is keeping buying interest in stocks in check. The 10-year yield has increased by three basis points to 4.21%, while the 2-year yield is also up three basis points to 4.15%.
Bitcoin has surged past $100,000, currently sitting at $102,823. This rise follows the announcement of Paul Atkins, who is critical of the SEC's approach to cryptocurrency firms, being appointed to lead the Securities and Exchange Commission by President-elect Trump.
Today's News
Bitcoin (BTC-USD) has reached a significant milestone, trading above $100,000 for the first time. This surge comes in the wake of President-elect Donald Trump's nomination of crypto-friendly Paul Atkins to lead the SEC, fueling optimism for a more favorable regulatory environment. The cryptocurrency's value has increased by 48% since the election, highlighting investors' positive outlook on Trump's pro-crypto stance.
Intel (INTC, Financial) has announced the appointment of Eric Meurice and Steve Sanghi to its board, following the news of CEO Pat Gelsinger's retirement and replacement by co-CEOs. The company faces challenges in keeping pace with competitors AMD (AMD, Financial) and Nvidia (NVDA, Financial) in the AI space, amid scrutiny over its foundry business. These leadership changes are part of Intel's strategy to regain its competitive edge.
Taiwan Semiconductor Manufacturing (TSM, Financial) is reportedly in discussions with Nvidia (NVDA, Financial) to produce its Blackwell AI chips at TSM's new Arizona plant. This potential agreement would bolster TSM's client base in the U.S., with production slated to start in 2025. Nvidia's chips, crucial for AI and computing, are already in high demand, and this move could further enhance its market position.
SentinelOne (S, Financial) experienced a 14% drop in premarket trading after releasing mixed Q3 results, despite raising its fiscal 2025 outlook. Analysts' reactions were mixed, noting a modest ARR beat and slight revenue guidance above estimates. The company reported some displacements of rival CrowdStrike, but investors expected more substantial gains.
Toronto-Dominion Bank (TD, Financial) shares fell 3.2% as the bank suspended its financial targets amid a strategic review. Despite this, TD increased its quarterly dividend, indicating a commitment to shareholder returns. The bank is focusing on improving its anti-money laundering controls and expects expense growth in fiscal 2025 to be between 5%-7%.
Oracle (ORCL, Financial) is attracting attention as analysts raise price targets ahead of its fiscal Q2 results. The company is expected to meet or exceed expectations, driven by strong momentum in its cloud business. Oracle's strategy of integrating AI services into its platform is seen as a key differentiator, accelerating customer migration to its SaaS offerings.
Amazon (AMZN, Financial) is facing legal action from Washington, D.C.'s attorney general for allegedly excluding low-income neighborhoods from its Prime delivery service. The lawsuit claims Amazon used slower third-party services in these areas without informing customers, raising concerns about transparency and fairness.
Toast (TOST) and Uber Technologies (UBER) have expanded their partnership to offer commission-free delivery for restaurants. This integration allows restaurants to save on delivery costs and reach more customers, enhancing their operational efficiency and market reach.
Signet Jewelers (SIG) cut its annual forecast after missing Q3 expectations, causing shares to drop 15% in premarket trading. The company's North American and international sales declined, leading to a reduction in its earnings and sales guidance for the year.
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