US stock futures rose on Tuesday, pushing benchmarks into fresh record highs, despite China's growth forecasts being slashed as the coronavirus continues to spread through the region.
China's National Health Commission announced that the number of deaths from the virus has surpassed 1,000, while the number of new infections has risen beyond 42,600.
With large-scale factories, businesses and travel affected, investors are seemingly awaiting hints of monetary policy support from Jerome Powell during his testimony before Congress this morning.
The Federal Reserve Chairman is likely to address how the expanding coronavirus outbreak could hamper the US economy's expansion and influence policymaking decisions at 10:00am EST.
These developments look to help extend upon yesterday’s gains, where investors enjoyed bullish momentum and another record close on the S&P 500 (+0.75%).
Ahead, besides Jerome Powell's testimony, today’s economic calendar also includes; the Job Openings for December at 10am EST.
In earnings; Lyft (LYFT), Under Armour (UAA), Hasbro (HAS), Denny's (DENN), Hilton (HLT), AutoNation (AN), Goodyear Tire & Rubber (GT) and Western Union (WU) are all expected to report today.
TODAY'S TOP HEADLINES
China: Deaths Top 1,000. (Bloomberg)
The death toll from the coronavirus exceeded 1,000. Hubei, the outbreak epicenter, recorded the highest number of fatalities.
Today's Economical Announcements.
10:00AM - ★★★ - Fed Chair Powell Testifies
10:00AM - ★★★ - JOLTs Job Openings (Dec) (Previous: 6.900M)
STOCKS IN THE SPOTLIGHT
Pre-Market Movers & News Related Stocks.
Under Armour (UAA): [EARNINGS] Reported an overall loss for the quarter, and warned of a negative sale impact from the coronavirus. The company also said it is assessing a possible 2020 restructuring.
AutoNation (AN): [EARNINGS] Beat estimates on both the top and bottom lines for the fourth quarter, with results boosted by higher demand for pre-owned vehicles.
Hasbro (HAS): [EARNINGS] Reported a quarterly profit of $1.24 per share, well above the consensus estimate of 91 cents a share. Sales fell short of Street forecasts, however, but Hasbro’s bottom line got a boost from toys related to Disney’s “Frozen 2” and “Star Wars” movies.
T-Mobile US (TMUS), Sprint (S): [NEWS] Are expected to win the approval of a federal judge for their $26 billion merger deal today, according to sources. That would end an effort by state attorneys general to block the combination of the third- and fourth-largest wireless carriers.
Slack Technologies (WORK): [NEWS] Said in a Securities and Exchange Commission filing that IBM (IBM) had been the messaging platform’s largest customer for several years and had expanded its use of Slack over that time. The statement was issued in response to an earlier report that a new deal had been struck that made IBM Slack’s largest customer, which had sent the stock surging in the regular session Monday.
Callaway Golf (ELY): [EARNINGS] Lost 26 cents per share for its fourth quarter, wider than the 23 cents a share loss that analysts were expecting. The golf club maker reported better-than-expected revenue but said the coronavirus will have a negative impact in terms of both sales in Asia and on supplies.
Boston Beer (SAM): [UPGRADE] Upgraded to “outperform” from “neutral” at Credit Suisse, which points to the company’s increasing involvement in the hard seltzer market. Credit Suisse also increased its price target on the beer brewer’s stock to $525 per share from $400.
XPO Logistics (XPO): [EARNINGS] Beat estimates by 10 cents a share, with adjusted quarterly earnings of $1.12 per share. The transportation and delivery company’s revenue came fall below analysts’ forecasts, however. XPO also announced the appointment of a new chief financial officer.
Hilton Worldwide (HLT): [EARNINGS] Earned $1.00 per share for the fourth quarter, 4 cents a share above estimates. Revenue also beat forecasts. Hilton’s 2020 earnings outlook was below analysts’ forecasts, however, and the company said the outlook does not include possible coronavirus impact.
ViacomCBS (VIACA): [NEWS] Has struck a deal with sports betting company William Hill, allowing William Hill to seek new customers among the CBS Sports audience. William Hill would seek to get CBS Sports users to download its app and deposit money in betting accounts.
GAINERS: EPC, WORK, PLAB, SPCE, LYFT, CAR
DECLINERS: ZGNX, TTWO, FNF
CITIC Capital Acquisition (CCAC.U) (Price: 10) (Est. Vol: $240.0M)
Greenrose Acquisition (GRACU) (Price: 10) (Est. Vol: $150.0M)
WE WILL SHOW YOU THE WAY!