Here’s what we’re watching ahead of Wednesday’s market action.
—U.S. stock futures edged higher, with technology stocks poised to lead gains as investors cheered corporate earnings and the prospect of more fiscal stimulus.
Futures tied to the S&P 500 ticked up 0.4%, while contracts on the Dow Jones Industrial Average were up a more muted 0.1%. Tech-heavy Nasdaq-100 futures rose 0.7% after Alphabet reported strong sales growth late Tuesday. Read our full market wrap.
What’s Coming Up
—Earnings updates are due after the close from
The ADP employment report, due at 8:15 a.m. ET, is expected to show that the private sector added 50,000 jobs in January.
IHS Markit’s U.S. services index for January, due at 9:45 a.m., is expected to fall to 57.1 from a preliminary reading of 57.5. The Institute for Supply Management’s services index for January, due at 10 a.m., is expected to tick down to 57 from 57.2 a month earlier.
Market Movers to Watch
—Some of the Reddit traders’ favorite stocks are bouncing around ahead of the bell after a rough day.
edged up 0.5%,
added more than 5% and
jumped 33%. For our live blog of the action, follow this link.
shares jumped more than 7% premarket after its earnings reflected a continuing recovery in global ad spending that took a hit in early 2020 when people paused travel plans and other purchases.
‘s shares dropped 5.4% premarket after it delivered slightly better-than-expected results Tuesday but gave a mixed outlook for the quarter and year ahead.
‘s shares slipped 2.8% premarket after it said its labor expenses rose in the latest quarter as the Covid-19 pandemic worsened, while online orders increased sharply.
‘s U.S.-listed shares fell 6.4% ahead of the bell. The music-streaming giant posted stronger-than-expected subscription growth in the fourth quarter of 2020, but offered a conservative outlook for the current year.
—The end of an era at Amazon: The e-commerce giant’s shares edged up 0.2% after it said
will shift to executive chairman and hand over the CEO role later this year to Andy Jassy. The surprise announcement came as the company capped off its 2020 financial performance with record quarterly sales.
—Shares of videogame publisher
fell 3.8% premarket after it reported that revenue rose 5% in the latest quarter as the pandemic continued to fuel demand for at-home entertainment. Under a new partnership with collegiate-trademark company CLC, EA will gain exclusive rights to make games that simulate U.S. college football.
Wood-pulp prices are soaring thanks to speculators in China, with help from paper takeout containers, a weaker dollar and people using restrooms at home instead of at the office. Bleached softwood kraft pulp futures have risen 48% on the Shanghai Futures Exchange since Dec. 1, to about $1,037 a ton.
Chart of the Day
Alibaba plans to sell billions of dollars of bonds, in what will be a test of investor appetite after the e-commerce giant’s recent run-ins with Chinese authorities.
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