Stock futures are experiencing a slight uptick this morning following a robust performance from major U.S. indexes, which reached new record highs yesterday, driven by a rally in the tech sector. Futures linked to the S&P 500, Dow Jones Industrial Average, and the Nasdaq are each showing a marginal increase of approximately 0.1%. The small-cap Russell 2000 index achieved its first record close since November 2021, buoyed by investor optimism surrounding potential further interest rate cuts by the Federal Reserve. Currently, the yield on the 10-year Treasury, which influences borrowing costs across various loans, stands at 4.14%, a slight increase from yesterday. Bitcoin has dipped slightly to around $116,500, while gold futures remain stable at approximately $3,680 per ounce.
In other news, President Donald Trump is scheduled to engage in a conversation with Chinese leader Xi Jinping aimed at negotiating a deal that would allow the video-sharing app TikTok to continue operations in the U.S. The call, anticipated around 9 a.m. ET, comes amid efforts to finalize a framework where Oracle would lead a consortium managing the app. To facilitate the negotiations, Trump has signed an executive order extending the deadline for Chinese firm ByteDance to terminate its ownership of TikTok until mid-December. Oracle’s shares are reflecting this positive sentiment, with a reported gain of around 1% in premarket trading.
Meanwhile, Apple has launched its highly anticipated iPhone 17 lineup today, generating robust demand evident in long lines of customers across Europe and Asia, particularly for the Pro models. The release features four distinct models, including the “Air,” noted for its sleek design as the thinnest model yet. The upgraded models also promise enhancements such as improved battery life, scratch-resistant materials, and advanced camera capabilities compared to previous versions. Despite facing challenges earlier this year—seeing a 5% decline in stock value—Apple shares have risen about 1% in early trading.
FedEx has seen a positive response in its stock after reinstating its full-year financial outlook, which had been suspended in June due to tariff uncertainties. The company forecasts a revenue growth of 4% to 6% for the fiscal year, exceeding analyst predictions. FedEx reported adjusted earnings per share of $3.83 and a nearly 3% increase in revenue to $22.2 billion for its first quarter, outperforming analysts’ expectations, driven by increased volumes in the U.S. Additionally, the company is on a trajectory to cut costs by $1 billion by fiscal 2026 and aims to spin off its freight business by next June. Despite a prior drop of around 20% in stock value this year, shares rose about 1% in premarket trading.
In the housing sector, homebuilder Lennar reported a decline in profits for its fiscal third quarter, attributed to ongoing challenges in the U.S. housing market. The company disclosed adjusted earnings per share of $2.29, surpassing analyst predictions but down from $4.26 in the previous year. Revenue fell to $8.8 billion, representing a drop of more than 6% year-over-year and falling short of consensus estimates. Although Lennar saw a 12% increase in new orders, it relied heavily on sales incentives, leading to a decrease in the average sales price to $383,000 and a reduction in its gross margin by 17.5%. Shares of Lennar fell nearly 3% in premarket trading, reflecting investor concerns over the company’s performance in the face of a weakening housing market.
