The S&P 500 futures are up by 15 points, the Nasdaq 100 futures have increased by 100 points, and the Dow Jones Industrial Average futures are rising by 100 points.

Stock futures are gaining as the week is set to bring significant earnings reports. Notable companies include Alphabet (GOOG, Financial), reporting on Tuesday, Microsoft (MSFT, Financial) and Meta Platforms on Wednesday, and Apple (AAPL, Financial) along with Amazon.com (AMZN, Financial) on Thursday.

Oil prices are dropping sharply following Israeli military actions in Iran over the weekend. WTI crude oil futures are down 6.1% to $67.39 per barrel, and Brent crude oil futures are down 5.8% to $71.28 per barrel.

The 10-year Treasury note yield is up to 4.26%, which is an increase of three basis points, and the 2-year yield has risen by one basis point to 4.11%.

There are no significant U.S. economic data releases today.

Today's News

AT&T (T, Financial) has announced a significant multi-year purchase agreement with Corning (GLW, Financial) worth over $1 billion to enhance its fiber network. This collaboration aims to accelerate network expansion using Corning's advanced connectivity solutions, including Evolv FlexNAP with Multifiber Pushlok Technology. AT&T's strategic move is expected to bolster its broadband subscriber growth, with a target to surpass 30 million consumer and business locations by the end of 2025. Following the announcement, Corning's shares increased by 2.25% and AT&T's by 1.28% in premarket trading.

AbbVie (ABBV, Financial) has agreed to acquire Aliada Therapeutics for $1.4 billion, aiming to leverage Aliada's innovative blood-brain barrier-crossing technology to advance its neuroscience research. The acquisition positions AbbVie to enhance its development efforts in treating neurological disorders, including Alzheimer's disease, with Aliada's lead drug candidate, ALIA-1758. This strategic acquisition is anticipated to close in the fourth quarter of 2024, pending regulatory approvals.

Goldman Sachs has emphasized the importance of focusing on earnings data, noting that earnings day movements are at their highest in 15 years. The investment bank highlighted that last quarter saw significant stock movements within the S&P 500, with 12% of stocks experiencing more than a 10% change on earnings days. This underscores the heightened volatility and opportunities for active management during this earnings season.

Nutanix (NTNX, Financial) shares rose by 3% after Morgan Stanley upgraded the stock to Overweight, citing potential market share gains from VMware (VMW) due to upcoming renewals and strategic partnerships with Dell (DELL) and Cisco (CSCO). Analysts see Nutanix well-positioned to capitalize on these opportunities, potentially enhancing its growth rate significantly over the next five years.

Robinhood (HOOD) is set to launch presidential election event contracts, allowing customers to trade based on predictions for the 2024 U.S. presidential election. This new feature will initially roll out to a limited number of customers and includes contracts for candidates Kamala Harris and Donald Trump. The election-related trading initiative reflects Robinhood's innovative approach to engaging investors in political events.

The Boeing Company (BA, Financial) announced plans for concurrent public offerings of 90 million shares of common stock and $5 billion in depositary shares. The proceeds are intended for general corporate purposes, potentially including debt repayment and capital investments. This move is part of Boeing's strategy to strengthen its financial position and support its subsidiaries.

Standard Lithium (SLI, Financial) has entered into an agreement with Koch Inc. to license its Li-Pro Lithium Selective Sorption technology, which promises a 95% lithium recovery rate. This collaboration is set to enhance lithium extraction efficiency at Standard Lithium's joint venture plant in Arkansas, marking a significant advancement in lithium recovery technology.

Taiwan Semiconductor Manufacturing (TSM, Financial) has halted shipments to Chinese chip designer Sophgo following the discovery of a TSM chip in a Huawei AI processor. Sophgo has denied any business relationship with Huawei and is cooperating with TSM to resolve the issue, highlighting the ongoing complexities in the semiconductor industry amid geopolitical tensions.

GlobalFoundries (GFS) and United Microelectronics (UMC) were downgraded by Morgan Stanley due to competitive pressures from Taiwan Semiconductor (TSM, Financial) and Chinese fabs. This downgrade reflects challenges in the semiconductor market, including oversupply and pricing pressures, despite strategic positions held by GlobalFoundries and United Microelectronics.