U.S. Stock Futures Lower: Tech Pressured and Oil Higher

U.S. stock futures are slightly lower in premarket trading as tech comes under pressure again.

The moves come after a positive Monday for equities led by gains in chip stocks. Oil prices are rising this morning with the December futures contract up about 2% to near $100 a barrel. ‌Geopolitical tensions are expanding as renewed attacks heightened fears about regional stability and underscored continuing risks to energy supply from the Middle East.

Earnings season kicks into second gear today with reports from GE Aerospace (GE), General Motors (GM), and 3M (MMM) this morning. Investor focus remains on oil prices, geopolitical risks and yields along with more earnings.

Snapshot

• Oil (/CL): Oil futures up 2.0% to $100.56 per barrel, a one-month high, as traders price in geopolitical risk
• Gold (/GC): Gold futures down 0.46% to $4,140.60 per ounce
• Bitcoin (/BTC): Bitcoin futures down 0.49% to 81,430
• VIX (/VIX): CBOE Volatility Index up 2.22% to 18.85 after declining 8% Monday
• U.S. Dollar ($DXY): Dollar Index down 0.10% to 101.878

Big Premarket Movers

Advancers:

• MSCI Inc. (MSCI) +6.48%
• Equifax (EFX) +5.51%
• Halliburton (HAL) +3.70%
• Akamai Technologies (AKAM) +2.22%
• APA Corp. (APA) +2.15%

Decliners

• General Motors (GM) -6.92%
• Genuine Parts (GPC) -6.28%
• Steel Dynamics (STLD) -5.37%
• Coherent (COHR) -3.67%
• Bloom Energy (BE) -3.63%

Economic Data

• 8:30 AM: Housing Starts and Permits
• 10:00 AM: Pending Home Sales

Notable Earnings

• Premarket: ALLY, CBSH, EFX, GE, GM, GPC, HAL, HAS, KEY, MMM, MSCI, NOC, RTX, SYF, VMI
• Postmarket: ALK, CB, COF, ISRG, LRN, NFLX, NLY, OZK, PEGA, SPXC, UAL
• Premarket Wednesday: ABT, CME, DHR, ELV, LAD, MCO, NEE, PM, TMO, WAB, WFRD, WGO
• Postmarket Wednesday: CACI, CCI, CSX, ESI, GGG, GL, HXL, IBM, KNX, KALU, LRCX, LUV, META, MOH, PKG, QS, ROL, RS, SAP, SON, TSLA, TXN, URI, WCN

Upgrades/Downgrades

Upgrades:

• Raymond James upgrades Akamai Technologies (AKAM) from Outperform to Strong Buy
• TD Cowen upgrades BlackRock (BLK) from Hold to Buy
• Arete upgrades TKO Group Holdings (TKO) from Neutral to Buy
• Stifel upgrades Trex Company (TREX) from Hold to Buy
• BTIG upgrades American Electric Power (AEP) from Neutral to Buy
• New Street upgrades Liberty Global (LBTYA) from Neutral to Buy

Downgrades:

• Loop Capital downgrades Apple (AAPL) from Buy to Hold
• Baird downgrades Werner Enterprises (WERN) from Outperform to Neutral
• Barclays downgrades NuScale Power (SMR) from Equal Weight to Underweight
• Jefferies downgrades Zoetis (ZTS) from Buy to Hold
• Jefferies downgrades Elanco Animal Health (ELAN) from Buy to Hold

Also see this week's earnings and economic calendars in the Week Ahead: Can Corporate Earnings Offset Inflation Risk?

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