May 15, 2021

PR Headline News

Top Stories Without The Fluff

Futures higher, Wall Street eyes Covid cases, airlines lower


A person wearing a face mask walks along Wall Street after further cases of coronavirus were confirmed in New York, March 6, 2020.

Andrew Kelly | Reuters

This is a live blog. Check back for updates.

8:48 am: Sherwin-Williams ups guidance on better-than-expected sales

Shares of Sherwin-Williams rose more than 2% during Monday’s premarket trading after the company increased its sales guidance for the current quarter. The company now expects net sales to decrease year-over-year by a mid-single digit percentage, compared with prior estimates of a low to mid-teens percentage drop. “We are raising our second quarter sales guidance given our ability to capture and serve greater than expected demand in our North American architectural businesses,” said chairman and CEO John Morikis. Shares of the paint producer have gained 41% in the last three months. – Stevens

8:21 am: JPMorgan initiates coverage on Nikola, sees more than 30% drop ahead

8:13 am: Microsoft, other tech names rise before the bell

Shares of popular consumer technology companies rose in premarket trading with Microsoft and Apple up 0.7% each. Investors have bought into the resilient technology shares over the last few months amid the coronavirus pandemic. E-commerce hub Amazon rose 0.5% before the opening bell while Zoom Video added 1.3%. Online payment companies Mastercard, PayPal and Visa gained about 1%, 0.7% and 0.35%, respectively. — Franck

8:09 am: Retailers rise after Wall Street upgrades

Some big-name retail stocks rose in premarket trading Monday after being upgraded by Wall Street analysts. Gap jumped more than 5% after Wells Fargo upgraded the stock to overweight from underweight, saying the market undervalued the company’s Athleta brand and calling the stock “a compelling risk/reward.” Walmart rose 0.7% after being upgraded to buy from neutral by UBS. Other rising retailers include Dollar General and Bed Bath & Beyond. — Pound

7:55 am: Futures gain is a bit misleading

Dow futures were up 150 points in early trading Monday, but the moves indicated an opening loss of about 60 points. The big gap between the direction of futures and the “implied open” is due to futures expiration on Friday, as well as recent market volatility. “The futures are trading a lot higher this morning, but that is very misleading…because they fell significantly on Friday between 4:00 (when the cash market closed) and 4:15 (when the futures closed),” Matt Maley, chief market strategist at Miller Tabak, said in a note. “Therefore, most of this morning’s bounce in the futures is merely taking back what it lost after the close of trading on Friday.” — Li

7:51 am: American Airlines seeking $3.5 billion in new financing

American Airlines announced on Sunday that it’s looking to secure $3.5 billion in new financing to improve its liquidity as it copes with travel restrictions introduced by the coronavirus. American plans to raise $1.5 billion through sales of equity and convertible notes due in 2025, the company said in a statement. Meanwhile, the airline said it will offer another $1.5 billion in senior secured notes and that it’s seeking a $500 million term loan facility due 2024. 

American shares fell 8.5% in premarket trading, while United, Delta and Southwest dropped 4%, 2.6% and 2%, respectively. — Franck

7:49 am: Coronavirus cases on the rise

Recent data show that coronavirus cases in the U.S. and abroad are increasing. The largest single-day increase in global coronavirus cases was recorded on Sunday, according to the World Health Organisation, after more than 183,000 new cases were reported worldwide. The U.S. saw more than 36,000 new cases reported on Sunday after more than 30,000 new cases were reported on both Friday and Saturday. Nevada, Florida, California and Arizona have reported record-high single-day infections as their economies attempt to open from the shutdown. Widespread testing is contributing to the uptick in reported cases. — Fitzgerald 

7:38 am: Stock futures higher

Dow Jones Industrial Average futures were higher by about 100 points. S&P 500 futures and Nasdaq-100 futures were also slightly higher. Major U.S. stock averages are coming off their fourth weekly gains in five weeks. Gains were capped on recent upticks in new coronavirus cases. — Franck

CNBC’s Jesse Pound and Pippa Stevens contributed reporting.

Subscribe to CNBC PRO for exclusive insights and analysis, and live business day programming from around the world.



Source link