Futures have seen a slight drop, reversing a modest overnight gain with small-caps underperforming. As of 8:00am ET, S&P futures are down 0.1%, near session lows, while Nasdaq futures are fractionally higher on the session with Mag7 names mixed while GOOG is higher ahead of earnings and semis are seeing a slight bid despite NVDA -60bps. The yield curve is bear steepening with the 10Y yield at 4.30%; the USD is flat. In commodities, oil prices climb along with industrial and precious metals after Reuters reported China is weighing approving over 10 trillion yuan ($1.4 trillion) in additional borrowing in the coming years to shore up the economy and address local governments’ debt risks. WTI is up 1% near $68 a barrel while copper rises 0.9%. Today’s macro data focus will be on JOLTS, Consumer Confidence, and Housing prices. GOOG is the first of 5 of the Mag7 that report this week which may present an inflection point for the group given the reduction in exposure since the summer which has not yet been offset by recent purchases.
In premarket trading, shares of Vans and North Face owner VF Corp. surged 22% after the company reported fiscal Q2 adjusted earnings and revenue that topped analysts' estimates. CVR Energy shares were down nearly 25% pre-bell Tuesday after the company overnight swung to a fiscal Q3 adjusted loss and posted lower net sales in addition to suspending its quarterly dividend. Here are some other notable movers:
Lixte Biotechnology Holdings (LIXT) shares were up 62% pre-bell Tuesday, rebounding from Monday's fall.
Shuttle Pharmaceuticals (SHPH) stock was 55% higher after the company said that it has completed the clinical trial site enrollment for a phase 2 study of a treatment candidate for glioblastoma.
Profire Energy (PFIE) shares were up 46% on a pending $125 million takeover by CECO Environmental (CECO).
American Rebel Holdings (AREB) stock was 32% higher following a 1.1% gain in the previous session.
TransMedics Group (TMDX) stock was 23% lower after the company overnight reported Q3 earnings and revenue that trailed analysts' estimates.
American Well (AMWL) shares were down 10% after a 5.5% gain in the previous session.
US stocks are on a bullish streak this year with the S&P 500 set to gain for a sixth straight month. With the tech behemoths driving the bulk of the rally, investors have been laser focused on earnings growth from the group (full preview here ). Of note, analysts expect average profit growth for the industry to slow sharply from the second quarter.
Attention is also on the US presidential election and the Federal Reserve’s rate announcement next week. Traders are almost fully pricing in one rate cut from the central bank, according to swaps data compiled by Bloomberg.
“We could be braced for some volatility over the coming days,” said Mohit Kumar, macro strategist at Jefferies, who said he’s ready to snap up assets cheapened by choppy markets.
European equities rose as positive company updates from the likes of HSBC and Adidas provided some respite in the face of growing market risks. Miners and banks outperform while travel and leisure and real estate are the biggest laggards. Basic resources lead the Stoxx 600 index higher 0.2% to 522.16 with 327 members up, 250 down and 23 unchanged. Here are some of the biggest movers on Tuesday:
HSBC shares gain as much as 4.9% in London after the lender reported better-than-expected earnings and announced a new $3 billion stock buyback, with Morgan Stanley describing the report as solid.
Adidas shares gain as much as 3% after the sportswear company reported a third-quarter operating margin that came in ahead of estimates.
Shoprite shares advance as much as 6.1%, the most since June, after the food retailer said it expects groups sales for the first-quarter to grow above 10%, exceeding Citi’s expectations.
BP shares decline as much as 1.3% after analysts flag company’s planned revision of share buybacks next year will result in a cut in payouts.
Santander shares dropped as much as 3.9% after the Spanish lender reported net interest income that missed estimates.
Lufthansa shares fall as much as 3.9% after the airline company reported Ebit for the third quarter that slightly exceeded analyst estimates, though analysts note the results indicate a low-quality beat.
Wartsila falls as much as 13% after the Finnish marine and energy industry equipment manufacturer’s third-quarter orders fell short of expectations, with fourth-quarter margin commentary also seen as negative.
Novartis shares drop as much as 4.3%, the most in more than three months, as investors weigh the outlook for the pharmaceutical company in 2025, when generic versions of multiple drugs are expected to enter the market.
VusionGroup slumps as much as 11%, the most in five months, with Oddo BHF highlighting weaker-than-expected third quarter results which will see the full-year more back-end loaded for the French maker of smart digital labels.
AT&S shares fall as much as 11% after the Austrian electronics manufacturer cut its revenue forecast for the year in a move Oddo says raises questions around liquidity and the investment case.
Clariant shares drop 7.5% after the specialty chemicals company’s 3Q sales missed due to weakness in its cyclical catalyst business.
Straumann shares slump as much as 10%, most since April, after the Swiss maker of dental equipment delivers in line 3Q sales but analysts note weakness in the US as a worry.
Schibsted shares fall as much as 2.8% after Polaris Media offered 3.15 million Class-B shares in the Norwegian media firm via SEB at a 5% discount to Monday’s close.
Earlier in the session, Asia-Pac stocks were mixed despite the initial tailwinds following the mostly positive handover from Wall St, with gains in the region capped and some markets were choppy owing to a lack of fresh catalysts heading into this week's key data releases. ASX 200 was led by strength in gold stocks after the precious metal extended on advances, while sentiment was also supported by M&A activity with Myer to acquire apparel brands from Premier Investments. Nikkei 225 recouped opening losses and extended higher amid recent currency weakness and lower unemployment. Hang Seng and Shanghai Comp traded mixed with the former underpinned by tech strength and as participants reflected on earnings releases, while the mainland index swung between gains and losses as EV and child-related policy initiatives were counterbalanced by frictions after the US issued final rules to curb US investments in AI, semis and other tech sectors in China.
In FX, the Bloomberg Dollar Spot Index is treading water, up 0.1%, while the yen bounced off a three-month low triggered by the failure of the ruling coalition to win a majority in parliament for the first time since 2009. Japanese Finance Minister Katsunobu Kato said the government will watch developments in the currency market with a heightened sense of urgency
In rates, treasuries are lower, with US 10-year yields 2bps cheaper on the day at about 4.30%, outperforming bunds in the sector by 1.5bp, gil
Futures have seen a slight drop, reversing a modest overnight gain with small-caps underperforming. As of 8:00am ET, S&P futures are down 0.1%, near session lows, while Nasdaq futures are fractionally higher on the session with Mag7 names mixed while GOOG is higher ahead of earnings and semis are seeing a slight bid despite NVDA -60bps. The yield curve is bear steepening with the 10Y yield at 4.30%; the USD is flat. In commodities, oil prices climb along with industrial and precious metals after Reuters reported China is weighing approving over 10 trillion yuan ($1.4 trillion) in additional borrowing in the coming years to shore up the economy and address local governments’ debt risks. WTI is up 1% near $68 a barrel while copper rises 0.9%. Today’s macro data focus will be on JOLTS, Consumer Confidence, and Housing prices. GOOG is the first of 5 of the Mag7 that report this week which may present an inflection point for the group given the reduction in exposure since the summer which has not yet been offset by recent purchases.
In premarket trading, shares of Vans and North Face owner VF Corp. surged 22% after the company reported fiscal Q2 adjusted earnings and revenue that topped analysts' estimates. CVR Energy shares were down nearly 25% pre-bell Tuesday after the company overnight swung to a fiscal Q3 adjusted loss and posted lower net sales in addition to suspending its quarterly dividend. Here are some other notable movers:
Lixte Biotechnology Holdings (LIXT) shares were up 62% pre-bell Tuesday, rebounding from Monday's fall.
Shuttle Pharmaceuticals (SHPH) stock was 55% higher after the company said that it has completed the clinical trial site enrollment for a phase 2 study of a treatment candidate for glioblastoma.
Profire Energy (PFIE) shares were up 46% on a pending $125 million takeover by CECO Environmental (CECO).
American Rebel Holdings (AREB) stock was 32% higher following a 1.1% gain in the previous session.
TransMedics Group (TMDX) stock was 23% lower after the company overnight reported Q3 earnings and revenue that trailed analysts' estimates.
American Well (AMWL) shares were down 10% after a 5.5% gain in the previous session.
US stocks are on a bullish streak this year with the S&P 500 set to gain for a sixth straight month. With the tech behemoths driving the bulk of the rally, investors have been laser focused on earnings growth from the group (full preview here ). Of note, analysts expect average profit growth for the industry to slow sharply from the second quarter.
Attention is also on the US presidential election and the Federal Reserve’s rate announcement next week. Traders are almost fully pricing in one rate cut from the central bank, according to swaps data compiled by Bloomberg.
“We could be braced for some volatility over the coming days,” said Mohit Kumar, macro strategist at Jefferies, who said he’s ready to snap up assets cheapened by choppy markets.
European equities rose as positive company updates from the likes of HSBC and Adidas provided some respite in the face of growing market risks. Miners and banks outperform while travel and leisure and real estate are the biggest laggards. Basic resources lead the Stoxx 600 index higher 0.2% to 522.16 with 327 members up, 250 down and 23 unchanged. Here are some of the biggest movers on Tuesday:
HSBC shares gain as much as 4.9% in London after the lender reported better-than-expected earnings and announced a new $3 billion stock buyback, with Morgan Stanley describing the report as solid.
Adidas shares gain as much as 3% after the sportswear company reported a third-quarter operating margin that came in ahead of estimates.
Shoprite shares advance as much as 6.1%, the most since June, after the food retailer said it expects groups sales for the first-quarter to grow above 10%, exceeding Citi’s expectations.
BP shares decline as much as 1.3% after analysts flag company’s planned revision of share buybacks next year will result in a cut in payouts.
Santander shares dropped as much as 3.9% after the Spanish lender reported net interest income that missed estimates.
Lufthansa shares fall as much as 3.9% after the airline company reported Ebit for the third quarter that slightly exceeded analyst estimates, though analysts note the results indicate a low-quality beat.
Wartsila falls as much as 13% after the Finnish marine and energy industry equipment manufacturer’s third-quarter orders fell short of expectations, with fourth-quarter margin commentary also seen as negative.
Novartis shares drop as much as 4.3%, the most in more than three months, as investors weigh the outlook for the pharmaceutical company in 2025, when generic versions of multiple drugs are expected to enter the market.
VusionGroup slumps as much as 11%, the most in five months, with Oddo BHF highlighting weaker-than-expected third quarter results which will see the full-year more back-end loaded for the French maker of smart digital labels.
AT&S shares fall as much as 11% after the Austrian electronics manufacturer cut its revenue forecast for the year in a move Oddo says raises questions around liquidity and the investment case.
Clariant shares drop 7.5% after the specialty chemicals company’s 3Q sales missed due to weakness in its cyclical catalyst business.
Straumann shares slump as much as 10%, most since April, after the Swiss maker of dental equipment delivers in line 3Q sales but analysts note weakness in the US as a worry.
Schibsted shares fall as much as 2.8% after Polaris Media offered 3.15 million Class-B shares in the Norwegian media firm via SEB at a 5% discount to Monday’s close.
Earlier in the session, Asia-Pac stocks were mixed despite the initial tailwinds following the mostly positive handover from Wall St, with gains in the region capped and some markets were choppy owing to a lack of fresh catalysts heading into this week's key data releases. ASX 200 was led by strength in gold stocks after the precious metal extended on advances, while sentiment was also supported by M&A activity with Myer to acquire apparel brands from Premier Investments. Nikkei 225 recouped opening losses and extended higher amid recent currency weakness and lower unemployment. Hang Seng and Shanghai Comp traded mixed with the former underpinned by tech strength and as participants reflected on earnings releases, while the mainland index swung between gains and losses as EV and child-related policy initiatives were counterbalanced by frictions after the US issued final rules to curb US investments in AI, semis and other tech sectors in China.
In FX, the Bloomberg Dollar Spot Index is treading water, up 0.1%, while the yen bounced off a three-month low triggered by the failure of the ruling coalition to win a majority in parliament for the first time since 2009. Japanese Finance Minister Katsunobu Kato said the government will watch developments in the currency market with a heightened sense of urgency
In rates, treasuries are lower, with US 10-year yields 2bps cheaper on the day at about 4.30%, outperforming bunds in the sector by 1.5bp, gil
