Tesla, GameStop, Coherent: What to Watch When the Stock Market Opens Today
By Caitlin Ostroff
Here's what we're watching ahead of Tuesday's opening bell.
-- U.S. stock futures climbed ahead of a slew of earnings
releases and testimony by Janet Yellen in which she is expected to
support higher coronavirus relief spending.
Futures tied to the S&P 500 rose 0.7%, pointing to a rally
after the opening bell. Those linked to the Nasdaq-100 added 0.8%,
suggesting gains in tech stocks. Read our full market wrap
What's Coming Up
-- Janet Yellen, President-elect Joe Biden's choice for Treasury
secretary, is set to testify before the Senate Finance Committee,
which is considering her nomination, at 10 a.m. ET. She is expected
to tell lawmakers that the U.S. risks a longer recession unless
Congress approves more aid and affirm the commitment to
market-determined exchange rates.
-- Interactive Brokers, J.B. Hunt and Netflix will report
quarterly earnings after markets close.
Market Movers to Watch
-- Shares in videogame retailer GameStop rose more than 12%
premarket. The company has recently been a favorite among
individual traders who have encouraged others to scoop up the stock
on social media forums.
-- Coherent climbed 33% in premarket trading after Lumentum
Holdings confirmed Tuesday that it would acquire the laser maker.
The Wall Street Journal reported earlier that Lumentum was in
advanced talks to buy Coherent. Shares in Lumentum fell 7.7%
-- Tesla rose 1.7% premarket after the electric car maker
delivered its first made-in-China Model Y compact crossover
vehicles on Monday.
-- Shares in Triterras gained more than 17% premarket after the
financial technology company authorized a share repurchase program
of up to $50 million.
-- Gritstone Oncology rallied more than 40% after the
biotechnology company said it is advancing development of a vaccine
against the virus that causes Covid-19.
-- Jeep-owner Stellantis, the recently combined business of Fiat
Chrysler and PSA Group, gained 4.2% in European trading, extending
Monday's pop after it made its debut on French and Italian
exchanges. The company's shares on the New York Stock Exchange will
start trading Tuesday.
-- Shares of Western Union shot up 6.8% in premarket trading,
after the money-movement company announced a new agreement with
Walmart in which money transfer services will be enabled at Walmart
-- Bank of America fell 1.6% premarket after second-largest bank
in the U.S. said earnings fell 22% in the fourth quarter.
-- Shares in Halliburton rose 2.2% after the Houston-based
oil-field services company said its loss for the fourth quarter
narrowed as it took less in impairment charges than the same period
last year, and that it is seeing recovery in the energy sector.
-- Office Depot's parent, ODP, shed 1.9% premarket after The
Wall Street Journal reported that the office supplies company
rebuffed an unsolicited takeover offer from Staples but indicated
it is open to an alternative deal.
-- Goldman Sachs rose 2.2% premarket after the bank reported
sharply higher profits for the fourth quarter.
-- MGM Resorts International gained 6% in premarket trading
after the company said it doesn't plan to submit a revised proposal
to buy Entain, the U.K. sports betting and gambling company. Shares
in Entain fell more than 15% in London trading.
-- Shares of Charles Schwab gained 2.5% in premarket trading
after the discount brokerage reported fourth-quarter profit and
revenue that beat Wall Street forecasts.
In the past four years, U.S. government debt held by the public
has increased by $7 trillion to $21.6 trillion. At 100.1% of gross
domestic product, the debt already exceeds the annual output of the
economy, putting the U.S. in company with economies including
Greece, Italy and Japan.
Chart of the Day
U.K. merger activity slumped in the early summer from the
year-earlier period as part of a broader decline amid virus-induced
lockdowns, but the fourth quarter marked a rebound in mergers and
acquisitions in the U.K. as a vaccination program raised the
prospect of bringing the virus under control.
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(END) Dow Jones Newswires
January 19, 2021 09:20 ET (14:20 GMT)
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