U.S. stock futures were pointing to a marginally higher open on Friday as Treasury yields hovered near multi-month lows. Focus shifts to U.S. consumer data to gauge the Federal Reserve’s next move on monetary policy amid escalating inflation pressure.
Dow futures rose 0.15%, S&P futures climbed 0.14%, and Nasdaq futures were up 0.15% at the time of writing.
Investors remain fixated on the FED for any signs of a change in the dovish policy that continues to offer support to equities. FED chair Jerome Powell has already reiterated that inflation is likely to be transitory, and the central bank will continue supporting the economy.
Charles Schwab Corp. (SCHW), First Horizon Corp. (Tennessee) (FHN), State Street Corp. (STT), and Kansas City Southern (KSU) are set to report their quarterly earnings before the market opens.
Ion Geophysical Corp. (IO) was the most actively traded stock in the pre-market session, with 1.64 million shares having changed hands at the time of writing. The stock was up 39.87% after announcing preliminary second-quarter results indicating that revenues could increase 40% sequentially to $20 million.
Aehr Test Systems (AEHR) was one of the biggest gainers in the pre-market session jumping 27.76% at the time of writing on volume of 1.05 million shares. The spike comes after the supplier of semiconductor test and reliability qualification equipment delivered its fourth-quarter results. Revenues in the quarter were up 102% to $7.6 million.
FibroGen (FGEN) was the biggest loser in the pre-market session, dropping 34.26% at the time of writing. The stock was being hammered after the Food and Drug Administration voted against the approval of its candidate drug Roxadustat for the treatment of anemia in adults. The drug is currently approved in China, Japan, and Chile.
In M&A news IBM (IBM) has reached an agreement to acquire data solution services provider Bluetab. While the two are yet to confirm the terms of the deal, the transaction is expected to close in the third quarter. The acquisition is expected to strengthen IBM’s prospects in the data management space.
Meanwhile, Alphabet’s (GOOGL) Google Cloud has inked a multi-year strategic partnership with Bell Canada. The two are coming together to develop new innovations around cloud solutions for enterprise customers. Additionally, Google cloud is to support Bell Canada’s digital transformation.
Amazon (AMZN) is under investigation for allegedly selling products that pose a danger to people. The U.S. Consumer Product Safety Commission has sued the e-commerce giant over the sale of hazardous items that include hair dryers and carbon monoxide detectors that don’t do their job.
Shares of Progressive Corp. (PGR) fell 2.57% on Thursday after the company delivered mixed second-quarter results. Earnings per share came in at $1.34 compared to the $1.08 per share expected. Q2 revenues, on the other hand, totaled $11.48 billion, below the $11.52 billion that analysts expected.
Morgan Stanley (MS) delivered a strong quarter impacted by the E*TRADE acquisition. Net income applicable to shareholders surged to $3.5 billion, or $1.85 per share, above the $1.65 per share expected. Net revenue also rose to $14.8 billion, compared to $13.7 billion reported in the same period last year, and came in above the consensus estimate of $13.96 billion.
