News of the day for September 9, 2024
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Apple (AAPL) shares are rising in premarket trading ahead of its highly anticipated launch of its latest AI-powered iPhone; Oracle (ORCL) shares are gaining ahead of its first-quarter results after the bell; U.S. stock futures are rebounding after last week's dramatic selloff; Boeing (BA) appears set to avoid a painful strike after reaching a deal with its unions; and discount retailer Big Lots (BIG) files for bankruptcy and agrees to sell itself to a private-equity firm. Here's what investors need to know today.
1. Apple Event to Showcase New AI-Powered iPhone
Apple (AAPL) is expected to unveil its new iPhone with artificial intelligence (AI) capabilities as well as next generations of the Apple Watch and AirPods at the "It's Glowtime" event today. The highly anticipated event comes roughly a year after Apple's iPhone 15 launch and three months after it showcased iOS 18 and new AI feature Apple Intelligence. Apple's stock is rising less than 1% in premarket trading, having rallied around 13% since its August correction.
2. Oracle Cloud Infrastructure Growth in Focus
Oracle (ORCL) shares are rising less than 1% in premarket trading ahead of its fiscal first-quarter results due after the market closes, with investors focused on its cloud infrastructure growth. The software giant is expected to post revenue of $13.23 billion, up more than 6% year-over-year, with earnings per share (EPS) of 91 cents, up from 86 cents, according to Visible Alpha. Oracle shares hit a then-record high in June when the company announced cloud infrastructure deals with Microsoft (MSFT) and others, later reaching $146.59 on July 15, a level it is approaching again.
3. US Stock Futures Rise After Jobs Report Drag
U.S. stock futures are rebounding, with market darling Nvidia (NVDA) rising in premarket trading, after major indexes slumped last week as weak August jobs data raised concerns that the job market is cooling. Those worries about the health of the U.S. economy prompted investors to price in a higher chance of a half-point cut in the key fed funds rate by the Federal Reserve this month rather than a less-aggressive quarter-point easing. The U.S. economy's addition of 142,000 jobs fell short of forecasts, although it beat July's dismal growth, which caused stocks to tumble.
4. Boeing Reaches Tentative Union Deal, Potentially Averting Crippling Strike
Boeing (BA) said Sunday that it had reached a tentative deal with a union representing more than 33,000 workers in the Seattle area and Oregon, potentially avoiding a crippling strike at the troubled airline. The plane maker has proposed a four-year contract for staff, including a general wage increase of 25% and a pledge to build the next commercial airplane in the Seattle area. Boeing shares are jumping 6% in premarket trading.
5. Big Lots Files for Bankruptcy, Sells Itself to Nexus Capital
Big Lots (BIG) filed for Chapter 11 bankruptcy protections and agreed to sell itself to an affiliate of private-equity firm Nexus Capital Management, following extended decline in sales and several quarters of losses at the discount retailer. The Ohio-based firm said Nexus will serve as the "stalking horse bidder" in a court-supervised auction process, and that the deal will close in the fourth quarter if it doesn't get better offers.
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