1. Costco’s Shares Rise Thanks to Sales of Thanksgiving Pies and Gold Sticks That Helped Achieve Earnings Exceeding Expectations
Costco’s (COST) shares jumped 1.5% in pre-market trading after the company announced a 6.1% increase in net sales from last year, thanks to food items and other products in its stores. Thanksgiving pies and gold sticks were among the popular items, with 4 million pies sold during the Thanksgiving holiday alone. Costco reported quarterly earnings of $3.58 per share, better than analysts’ expectations of $3.41 per share, and announced a special cash distribution of $15 per share.
2. General Motors to Lay Off 1,300 Workers After Ending Production of the Bolt
General Motors (GM) plans to lay off around 1,300 workers after ending production of the Chevrolet Bolt, with the final production scheduled for next week and the layoffs occurring early next year. The Orion plant will be retooled to manufacture electric trucks and will resume operations in 2025. General Motors also announced layoffs in its robotic taxi unit. GM’s shares rose nearly 1% in pre-market trading.
3. Solar Stocks Rise Following Fed Rate Cut Signals and “Buy” Ratings from Analysts
Shares of solar providers Enphase Energy (ENPH), Sunrun (RUN), and First Solar (FSLR) rose nearly 3% in pre-market trading, continuing their gains from yesterday amid optimism regarding the Federal Reserve’s potential rate cuts and “buy” ratings from Jefferies analysts based on their exposure to utility-scale projects. Jefferies rated SunPower (SPWR) and Array Technologies (ARRY) as “hold,” with their shares rising nearly 4% in pre-market trading.
4. Investors Prepare for Volume and Volatility on Triple Witching Friday
Friday is known as “Triple Witching” day in the market where stock options and index futures and options expire simultaneously, leading to higher trading volumes and increased price volatility. The impact is usually more pronounced during the “Triple Witching Hour,” the last hour of trading on that day.
5. Industrial Production and Capacity Utilization Expected to Increase
The industrial production index is expected to show a 0.3% increase in November when the data is released at 9:15 AM EST, compared to a 0.6% decline in the previous month. Capacity utilization is expected to rise to 79.1% in November, up from 78.9% in the prior month, while the Empire State Manufacturing Survey is expected to show a decrease to a reading of 4 in December, down from 9.1 in November when it is announced at 8:30 AM EST.
Source: https://www.investopedia.com/5-things-to-know-before-the-stock-market-opens-december-15-2023-8416530
Leave a Reply