Rebound of stock futures after the Dow's worst session in weeks

BY THE NUMBERS

On Thursday, U.S. stock futures rose as NATO leaders were trying to find ways to pressure Russia further for invading Ukraine. The Dow, the S&P 500, and the Nasdaq Composite all fell on Wednesday for the second session in the past three, following the best weekly gains last week since November 2020. The drop in the S&P 500 was nearly 450 points, or 1.3%, its worst day since March 7. The decline in the S&P 500 was caused by a roughly 5% jump in U.S. oil prices and the 10-year Treasury yield hitting nearly three-year highs of almost 2.42% on Wednesday. The 10-year yield on Thursday was around 2.4%, while American crude was steady.

The Federal Reserve is closely monitoring the robust job market and rising inflation, and at its recent meeting, it raised interest rates for the first time in over three years. Fed Chairman Jerome Powell has indicated that there may be more aggressive rate hikes in the future.

IN THE NEWS TODAY

On Thursday, President Joe Biden and world leaders convened three emergency meetings in Brussels to address Russia's ongoing conflict in Ukraine. These meetings included a NATO summit, a G-7 summit, and a European Union summit. Biden attended all three meetings. Meanwhile, British Prime Minister Boris Johnson condemned Russia's actions in Ukraine, stating that Russian President Vladimir Putin had crossed a red line into barbarism. The U.K. has now sanctioned over 1,000 individuals and businesses since the invasion. In a video address, Ukrainian President Volodymyr Zelenskyy called on Western nations to take "serious steps" to help his country fight Russia. Zelenskyy also claimed, without evidence, that Russia used phosphorus bombs in an attack. Poland and other eastern flank NATO countries are seeking clarification on how the U.S. and fellow European nations can assist in dealing with their growing concerns about Russian aggression and the spiraling Ukrainian refugee crisis. Biden is scheduled to visit Poland on Friday.

Fink says Russia-Ukraine conflict could accelerate use of cryptocurrencies (CNBC)

Local governments in mainland China are blaming the new omicron subvariant, BA.2, for their worst Covid outbreak since early 2020. This subvariant is more transmissible than the original omicron but doesn't necessarily cause more severe illness. Meanwhile, scientists are working to unravel the mystery of why kids don't get as sick from Covid.

STOCKS TO WATCH

DRI reported quarterly earnings of $1.93 per share, missing the $2.10 consensus estimate, with revenue and comparable-store sales also below analyst forecasts. As a result, shares of the parent of Olive Garden and other restaurant chains fell 1.7% in the premarket.

KB Home reported quarterly earnings of $1.47 per share, which missed estimates by 9 cents. Additionally, the home builder's revenue also fell short of forecasts. KB Home attributed the shortfall to supply and labor issues that hindered its ability to complete home construction. As a result, KB Home shares lost 3.6% in premarket trading.

Spotify's (SPOT) stock price jumped 3.7% in the premarket after it reached an agreement with Google (GOOGL) that allows subscribers to sign up for the service directly through the Google Play store. Meanwhile, dating services operator Match (MTCH) also rallied 3.4% following the Spotify news.

Electric truck production at Coolidge, Arizona, factory has begun, causing NKLA to soar 15% in premarket action.

GameStop's stock remains on watch after a 14.5% surge on Wednesday, marking the seventh consecutive day of gains following Chairman Ryan Cohen's purchase of 100,000 additional shares and increased stake to 11.9%. Despite this, GameStop slid 5% in premarket trading.

The unexpected profit and revenue exceeding analyst forecasts caused TCOM to jump 6.2% in the premarket.

The industrial adhesives and specialty chemicals maker reported better-than-expected profit and revenue for the quarter, raised its full-year forecast, and implemented price increases to deal with higher raw materials and logistics costs.

Although revenue for the latest quarter exceeded analyst estimates, SCS reported an unexpected loss due to supply chain disruptions and inflationary pressures. The office furniture maker also issued a weaker-than-expected forecast, causing its shares to fall 5.4% in premarket trading.

Logitech's stock price increased by 3.5% in the premarket after Bank of America Securities initiated coverage with a buy rating. According to BofA, Logitech's shares are an attractive investment opportunity due to the company's growth prospects and strong track record of execution.