BY THE NUMBERS
Stock futures were higher Tuesday, as investors continue to monitor the Russia-Ukraine war and look ahead to the Federal Reserve's widely expected interest rate hike Wednesday. A drop in oil prices lent support to stock futures. (CNBC)
* Treasury yields fall, but 10-year rate holds above 2.10% (CNBC)
The broad S&P 500 and tech-focused Nasdaq both fell in Monday's session, marking their seventh negative day out of the past eight. With its 2% decline Monday, the Nasdaq is firmly in a bear market, off about 22% from its November record. The Dow, which finished essentially flat Monday, and S&P 500 remain in correction territory.
The government issued its February producer price index figures at 8:30 a.m. ET, showing an 0.8% increase compared with the Dow Jones estimate of a 0.9% rise. The ex-food and energy inflation rate increased by 0.2%, below estimates of a 0.6% gain. (CNBC)
* Here's everything the Federal Reserve is expected to do at its meeting this week (CNBC)
The New York Federal Reserve Bank's Empire State Manufacturing Index for March also came out Tuesday morning, dropping to its lowest level since May 2020 at -11.8. Expectations had been for it to rise to 5.5 from February's 3.1.
Oil traded lower Tuesday, extending its recent downward trend after the Russia-Ukraine war sparked shortage concerns. West Texas Intermediate crude futures, the U.S. oil benchmark, fell about 6% to trade below $97 per barrel, its lowest level since March 1. International benchmark Brent crude traded around $100.67 per barrel Tuesday, down nearly 6% on the session.
There are no earnings reports of note out this morning or after today's closing bell.
IN THE NEWS
The Ukrainian capital of Kyiv is set to begin a 35-hour curfew, the city's mayor, Vitali Klitschko, announced Tuesday. The decision to prevent residents from moving about unless they have a special pass or are going to a bomb shelter was made by the Ukrainian military command, Klitschko said, because Kyiv is in "a difficult and dangerous moment." Multiple residential buildings in Kyiv were damaged by Russian ammunition earlier Tuesday. (CNBC)
Russian and Ukrainian officials are scheduled to resume cease-fire negotiations after they were paused Monday. China's foreign minister, Wang Yi, also indicated Beijing wants to avoid being impacted by the economic sanctions the U.S. has imposed on its ally Russia. The U.S. and China held "intense" diplomatic talks a day earlier. Washington has warned China that it could face penalties if it helped Russia work around any U.S. sanctions. (CNBC)
After new health restrictions hit Shanghai and technology hub Shenzhen in recent days, on Tuesday Dongguan city announced tougher measures to limit new cases including production halts in industrial parks where Covid infections have been reported. China is grappling with its worst virus outbreak since the early days of the pandemic in 2020. (CNBC)
AMC Entertainment (AMC) announced Tuesday it's buying a major stake in Hycroft Mining Holding (HYMC). It's an unusual move for the movie theater chain, which used its popularity as a so-called meme stock to raise capital. The deal, which also includes stock warrants, would make AMC a roughly 22% owner in the Nevada metal miner. (CNBC)
Tesla (TSLA) has bought aluminum from Russian company Rusal since late 2020, CNBC reported based on internal company documents. The revelation sheds light on the complex nature of supplier relationships during a war. Rusal's founder is sanctioned Russian oligarch Oleg Deripaska. (CNBC)
STOCKS TO WATCH
Coupa Software (COUP) plunged in off-hours trading after the business software company issued a much-weaker-than-expected full year outlook, although Coupa did report better-than-expected profit and revenue results for its most recent quarter.
Toyota Motor (TM) announced additional production cuts due to semiconductor shortages, a few days after cutting its domestic production target by as much as 20%. Production of about 14,000 minivans would be impacted by the latest announcement.
GitLab (GTLB) shares are surging in the premarket after the development operations platform company reported upbeat results for its latest quarter as well as issuing a better than expected outlook.
Moderna (MRNA) is up once again in premarket action, after rising 8.6% Monday following the surge in COVID-19 cases in China's Shenzhen region.
Alibaba (BABA) is sliding once again this morning, after falling for the past three days and losing more than 27% over the past nine trading sessions. The Chinese e-commerce giant is under pressure due to both fears of a Covid-related economic slowdown in China and the threat of a possible U.S. de-listing. Those fears have hit other China stocks that list in the U.S., such as JD.com (JD) and Bidu (BIDU).
Vimeo (VMEO) said its February revenue was up 23% compared to a year ago, with the video software company also reporting an 8% increase in subscribers and a 13% jump in average revenue per user.
Southwest Gas (SWX) said it would review Carl Icahn's increased offer for the utility company, now at $82.50 per share compared to the investor's original $75 per share offer.