Wall Street looks higher despite falling Netflix shares
U.S. stock futures rose on Wednesday despite Netflix (NFLX) falling 27% in pre-market, the morning after reporting a quarterly loss in subscribers for the first time in more than a decade. Netflix’s carnage has hit other video streaming stocks, with Disney, Roku, Warner Bros. Discovery and Paramount all set for significantly lower openings. (CNBC)
Dow stock IBM (IBM) rose 2.5% pre-market after reporting on Tuesday night that quarterly earnings and revenue beat estimates. In regular trading on Tuesday, the Dow Jones, S&P 500 and Nasdaq all snapped two-session losing streaks even as the 10-year Treasury yield hit an over-three-year high of 2.94 %. The benchmark yield fell from that level on Wednesday. (CNBC)
Demand for mortgages continued to slump as home loan rates hit their highest levels since 2010. Total application volume fell 5% week-over-week, and it fell nearly 50% from levels a year ago. Refinance demand fell another 8% from the previous week, and it was down 68% year-over-year. Purchase requests fell 3% on the week, and were 14% lower than a year ago. (CNBC)
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Baker Hughes (BKR) fell 5 cents from estimates with adjusted quarterly earnings of 15 cents per share, and revenue also missed forecasts. The oil services company said its results reflected a volatile operating environment. The stock fell 2% pre-market.
Lululemon (LULU) gained 2.2% in premarket after the apparel maker announced a five-year plan to double revenue. The plan aims to quadruple international sales and double revenue from its menswear and digital businesses.
ASML’s (ASML) latest quarter beat analysts’ forecasts on the high and low, with the Amsterdam-based semiconductor equipment maker reporting strong demand from chipmakers trying to increase production. ASML shares jumped 5.4% premarket.
Teva Pharmaceutical (TEVA) fell 4.8% in premarket trading after the FDA issued a rejection letter in response to a new drug application for a treatment of schizophrenia. Teva said it is exploring possible next steps and will work with the FDA to address the agency’s concerns.
Omnicom (OMC) posted better-than-expected earnings and revenue for its latest quarter, despite what the ad agency operator called “particularly challenging global events”. Omnicom took a $113.4 million charge related to its investment in Russian companies. The shares added 3.7% in premarket action.
BMW is adding an all-electric model to its flagship 7-Series sedan lineup as the German luxury carmaker turns to electric vehicles to better compete with industry leader Tesla. The new BMW i7 was unveiled on Wednesday and is expected to arrive in US dealerships during the fourth quarter. (CNBC)