A Peek Into The Markets: US Stock Futures Up Ahead Of Goldman Sachs, Bank of America Earnings

Pre-open movers

U.S. stock futures traded higher in early pre-market trade as investors are awaiting earnings from Bank of America Corp BAC, Goldman Sachs Group Inc GS and Wells Fargo & Co WFC. Wall Street recorded losses in the previous session following halt in Covid-19 vaccine trials and stimulus talks. The World Bank’s Board of Executive Directors approved $12 billion in financing for developing countries to purchase and distribute COVID-19 vaccines, tests, and treatments.

The Producer Price Index for September will be released at 8:30 a.m. ET. After a 0.3% rise in the prior period, producer prices are expected to increase 0.2% for September. Federal Reserve Bank of Richmond President Thomas Barkin is set to speak at 8:35 a.m. ET, while Federal Reserve Bank of Dallas President Robert Kaplan will speak at 6:00 p.m. ET.

Futures for the Dow Jones Industrial Average gained 78 points to 28,663 while the Standard & Poor’s 500 index futures traded rose 13.75 points to 3,518.50. Futures for the Nasdaq 100 index climbed 17.25 points to 12,111.25.

The U.S. has the highest number of COVID-19 cases and deaths in the world, with total infections in the country exceeding 7,858,340 with around 215,910 deaths. India reported a total of at least 7,239,380 confirmed cases, while Brazil confirmed over 5,113,620 cases.

Oil prices traded lower as Brent crude futures fell 0.4% to trade at $42.29 per barrel, while US WTI crude futures fell 0.5% to trade at $40.00 a barrel. The API’s report on crude inventories is scheduled for release later in the day.

A Peek Into Global Markets

European markets were higher today after closing down in the previous session following a rise in the number of Covid-19 infections and more countries announcing restrictions. The Spanish Ibex Index rose 0.4% and STOXX Europe 600 Index gained 0.2%. The French CAC 40 Index rose 0.2%, while German DAX 30 gained 0.3% and London’s FTSE 100 rose 0.7%. Consumer prices in Spain fell 0.4% year-over-year in September after declining 0.5% in the previous month.

Asian markets traded mostly lower today. Japan’s Nikkei 225 rose 0.11%, China’s Shanghai Composite fell 0.56%, Hong Kong’s Hang Seng Index slipped 0.03% and India’s BSE Sensex fell 0.7%. Japanese industrial production grew 1% month-over-month in August, versus analysts’ estimates of 1.7% increase.

Broker Recommendation

Analysts at RBC Capital downgraded Albemarle Corporation ALB from Sector Perform to Underperform and lowered the price target from $80 to $78.

Albemarle shares rose 0.2% to close at $95.14 on Tuesday.

Breaking News

• GameStop Corp GME disclosed that Richard Mashaal’s hedge fund firm, Senvest Management LLC, purchased over 3.6 million common stock representing a 5.54% stake in GameStop last week.
• Bed Bath & Beyond Inc. BBBY announced plans to sell its non-core assets. The company will sell its Christmas Tree Shops retail banner along with two other assets for a total of approximately $250 million.
• UnitedHealth Group Inc UNH reported better-than-expected earnings for its third quarter.
• Allscripts Healthcare Solutions Inc MDRX agreed to sell its CarePort Health business to WellSky for $1.35 billion.