5 Key Things to Know Before the Stock Market Opens
U.S. stock futures are trending lower this morning as investors digest geopolitical developments and corporate earnings updates. Here’s a snapshot of what’s moving the markets today:
1. U.S. Stock Futures Dip as Middle East Tensions Flare
Stock futures are in the red as the recent market rally pauses. Reports suggesting a possible Israeli strike on Iranian nuclear sites have pushed oil prices higher and weighed on investor sentiment.
S&P 500 futures are down 0.6%, following Tuesday’s 0.4% drop, which ended a six-day winning streak.
Dow futures are off by 0.8%, and Nasdaq futures are lower by 0.6%.
Bitcoin remains relatively stable near $106,700, while gold and U.S. Treasury yields are edging higher.
2. Lowe’s Gains After Beating Earnings Expectations
Shares of Lowe’s (LOW) are up 2% in premarket trading after the home improvement retailer delivered stronger-than-expected Q1 results and reaffirmed its full-year guidance.
Q1 EPS came in at $2.92, topping estimates of $2.86.
Revenue slipped 2% year-over-year to $20.93 billion, in line with forecasts.
The company maintained its full-year 2025 outlook, projecting revenue between $83.5 billion and $84.5 billion and EPS of $12.15 to $12.40.
3. Target Shares Drop on Weaker Sales Outlook
Target (TGT) stock is down 4% in premarket trading after the retailer slashed its full-year sales forecast amid slowing consumer demand.
The company now expects a low-single-digit revenue decline for 2025, compared to its earlier projection of ~1% growth.
Q1 adjusted EPS was $1.30 on revenue of $23.85 billion, both missing estimates.
However, GAAP EPS came in at $2.27, boosted by gains from litigation settlements.
4. Apple Reinstates Fortnite to U.S. App Store
In a major development, Apple (AAPL) has allowed Epic Games’ Fortnite back into the U.S. App Store after a five-year ban.
The decision follows a recent court ruling that Apple violated antitrust laws by blocking apps that bypassed its in-app payment system.
Apple’s shares are slightly lower in early trading as investors digest the implications for its App Store policies.
5. Kraft Heinz Explores Strategic Options
Kraft Heinz (KHC) shares are slightly higher after the company announced it is evaluating potential strategic transactions to unlock shareholder value.
No specific timeline was provided for the completion of the process.
The company also revealed that two Berkshire Hathaway board representatives have stepped down, reducing the board size to 10 members.