Here are the most important news, trends and analysis that investors need to start their trading day:
1. Actions set to jump after Thursday’s sales
Traders work on the floor of the New York Stock Exchange.
NYSE
US stock futures jumped on Friday after Treasury’s soaring yields hit tech stocks again on Thursday, causing Nasdaq to fall 3%. The S&P 500, which also weighs in on heavy technology, fell nearly 1.5% from the previous record close. Both stock benchmarks had their worst days in almost a month. The Dow Jones Industrial Average performed much better, but still fell almost 0.5% from the previous record close. The Nasdaq and S&P 500, at the close of Thursday, were lower for the week, while the Dow was higher for the week.
2. The bond market rebels as it adjusts to the Fed’s inflation policy
Federal Reserve Chairman Jerome Powell listens during a Senate Banking Committee hearing in Capitol Hill, Washington, USA, December 1, 2020.
Al Drago | Reuters
The 10-year Treasury yield fell on Friday, a day after reaching the 14-month high of 1.754%. Traders revolted at the Federal Reserve’s willingness to allow the economy and inflation to warm up while the labor market recovers. Yields barely moved on Wednesday afternoon after the Fed meeting ended, initially responding to the forecast of no interest rate hike until 2023. The rapid rise in yields is being driven by concerns that more Covid stimulus on on top of an already recovering economy will trigger worrying inflation. The 10-year yield started the year with less than 1%.
3. Nike sales loss estimates; FedEx revenue hits
The Nike logo is seen in the Nike store on February 22, 2021 in New York City.
John Smith | Corbis News | Getty Images
Dow’s shares, Nike, fell nearly 2% in Friday’s premarket, a morning after the shoe and sportswear maker reported that third-quarter tax revenue did not meet estimates. Sales growth of 2.5%, to $ 10.36 billion, was hampered by widespread congestion in ports in the USA and the closing of stores in Europe. Nike also warned of the prospects. However, the company exceeded estimates by 14 cents, with a third-quarter profit of 90 cents per share.
The boxes containing the Modern COVID-19 vaccine are ready to be shipped to the McKesson distribution center in Olive Branch, Mississippi, USA, on December 20, 2020.
Paul Sancya | Reuters
FedEx, a component of the Dow Jones Transportation Average, jumped 5% in Friday’s premarket. The delivery giant after Thursday’s bell reported a third-quarter tax profit of $ 3.47 per share, 24 cents better than expected. Revenue grew 23% to $ 21.51 billion, also exceeding estimates. Big holiday sales made up for the bad weather in February, which hampered operations at several of Fedex’s biggest centers.
4. The CDC says the United States has administered more than 100 million Covid vaccines
US President Joe Biden talks about the status of vaccinations during a coronavirus disease response event (COVID-19) in the East Room of the White House in Washington, March 18, 2021.
Carlos Barria | Reuters
The CDC vaccine tracker, updated every night, showed on Friday morning that 115.7 million doses of Covid vaccine were administered in the United States, reaching President Joe Biden’s initial 100 million vaccines in the first 100 days in the office well ahead of schedule. Last week, Biden said he hoped to reach the goal on the 60th. It happened on the 57th. With vaccination in the United States progressing, the Biden government unveiled on Thursday the outline of a plan to borrow a limited number of vaccine doses. Canada and Mexico.
5. The first US-China meeting under Biden got off to a rough start
US Secretary of State Antony Blinken speaks before Yang Jiechi, director of the Central Foreign Affairs Office’s office, and Wang Yi, China’s foreign minister, at the opening session of the US-China talks at the Captain Cook Hotel in Anchorage, Alaska, on March 18, 2021.
Frederic J. Brown | AFP | Getty Images
The first high-level meeting of American and Chinese officials under the Biden government began with a flurry of insults at a pre-meeting press event in Alaska on Thursday. The planned four-minute photo shoot for employees to speak to reporters ended up lasting an hour and 15 minutes due to foamy exchanges, according to NBC News. Expectations for the two-day talks, which are due to be completed on Friday, were already low.
– The Associated Press contributed to this report. Get the latest pandemic news with CNBC coronavirus blog.