In a noteworthy pre-market trading session, the broad market exchange-traded fund SPDR S&P 500 ETF Trust, commonly referred to as $SPY, experienced a slight decline of 0.1%. Similarly, the actively traded Invesco QQQ Trust, known as $QQQ, echoed the trend, also retreating by 0.1%. This decline comes as the earnings season begins to taper off following a particularly busy week for market activity.
Turning our attention to U.S. stock futures, they presented a mixed outlook. Specifically, S&P 500 Index futures decreased by 0.1%, while Dow Jones Industrial Average futures slipped marginally by 0.04%. On a brighter note, Nasdaq futures edged up by 0.02% just before the commencement of regular trading hours.
Looking ahead, the economic calendar reveals that the July housing starts and permits bulletin is set to be released at 8:30 am ET, offering valuable insights into the housing market’s current state. This will be followed by the much-anticipated August University of Michigan consumer sentiment report at 10 am ET, which will provide further clarity on consumer confidence trends.
Additionally, market participants are keenly awaiting the weekly Baker Hughes domestic oil-and-gas rig count, scheduled for release at 1 pm ET, which will shed light on the ongoing energy sector developments. In a significant address, Federal Reserve of Chicago President Austan Goolsbee is expected to speak at 1:25 pm ET, drawing attention from investors keen to gauge the Fed's perspective amidst evolving market conditions.
In notable market movements, bitcoin saw an upswing of 2.6% during the premarket action. The cryptocurrency fund ProShares Bitcoin Strategy ETF, termed $BITO, also witnessed growth, rising by 2.8%. This uptick in cryptocurrency values might indicate a renewed investor interest in digital assets as they navigate the broader financial landscape.
The Health Care sector exhibited some resilience, with the Health Care Select Sector SPDR Fund, or $XLV, advancing by 0.1%. In contrast, the Vanguard Health Care Index Fund, labeled as $VHT, remained flat, while both the iShares US Healthcare ETF ($IYH) and the iShares Biotechnology ETF ($IBB) experienced inactivity.
Meanwhile, shares of Sonida Senior Living, listed as $SNDA, faced a steep decline of over 15% during the premarket hours. This drop followed the company's announcement regarding the pricing of an upsized public offering, comprising 4.3 million shares priced at $27 each. The offering, initially planned for 4 million shares, is expected to raise an approximate $102.9 million, largely earmarked for financing the acquisition of eight senior living communities.
In the consumer sector, the Consumer Staples Select Sector SPDR Fund ($XLP) registered a minor increase of 0.1%. During this period, the Vanguard Consumer Staples Fund ($VDC) remained inactive, while the iShares US Consumer Staples ETF ($IYK) noted a 0.7% gain. Concurrently, the Consumer Discretionary Select Sector SPDR Fund ($XLY) increased by 0.2%, showing signs of resilience in discretionary spending.
Notably, the VanEck Retail ETF ($RTH) remained inactive, with the SPDR S&P Retail ETF ($XRT) also holding steady. In a contrasting trend, Sunlands Technology Group, denoted as $STG, saw its stock rise by over 6% pre-bell, despite reporting lower Q2 results. This indicates a potential market reaction to other positive factors overshadowing the disappointing earnings.
Within the industrial sector, the Industrial Select Sector SPDR Fund ($XLI) remained flat, while both the Vanguard Industrials Index Fund ($VIS) and the iShares US Industrials ETF (IYJ) were inactive. Tutor Perini, recognized as $TPC, emerged as a notable gainer, with shares rising nearly 6% prior to the market opening.
This positive movement followed the announcement of a significant $1.66 billion contract with the Honolulu Authority for Rapid Transportation, aimed at developing the City Center Guideway and Stations Project in Honolulu, Hawaii. A look at the energy sector shows a complex landscape, with the iShares US Energy ETF ($IYE) dipping by 1.5% and the Energy Select Sector SPDR Fund ($XLE) retreating by 0.9%.
Vital Energy, named $VTLE, faced a preliminary setback with a decline of 1.7% after being downgraded by KeyBanc from overweight to sector weight, reflecting a cautious outlook on energy markets. In technology, the Technology Select Sector SPDR Fund ($XLK) saw a slight increase of 0.1%. The iShares US Technology ETF ($IYW) also rose by 0.2%, while the iShares Expanded Tech Sector ETF ($IGM.US) remained inactive.
Semiconductor ETFs showcased some fluctuations; for instance, the SPDR S&P Semiconductor ETF ($XSD) was inactive, whereas the iShares Semiconductor ETF ($SOXX) declined by 0.1%. Texas Instruments, abbreviated as $TXN, posted a gain of 1.3% in the recent premarket activity. This uptick followed the company's announcement of a non-binding preliminary memorandum of terms with the US Department of Commerce, potentially unlocking direct funding of $1.6 billion to support the construction of three 300mm wafer fabs in Texas and Utah.
In the financial sector, the Financial Select Sector SPDR Fund ($XLF) witnessed a slight retreat, down by 0.1%. Direxion Daily Financial Bull 3X Shares ($FAS.US) experienced a 0.6% decline, while its bearish counterpart, Direxion Daily Financial Bear 3X Shares ($FAZ), performed better, increasing by 0.7%.
In corporate news, Deutsche Bank ($DB) experienced a minor increase of 1% during premarket hours, following reports from Reuters that revealed the bank's settlement offer to shareholders, who had sued for underpayment issues resulting from its Postbank acquisition, was rejected. Finally, analyzing commodities, front-month US West Texas Intermediate crude oil prices fell by 2.7%, settling at $76.07 per barrel on the New York Mercantile Exchange.
Natural gas prices dipped 0.1%, now priced at $2.19 per 1 million British Thermal Units. Additionally, the United States Oil Fund (USO) declined by 2.4%, while the United States Natural Gas Fund (UNG) was down by 0.8%. In the precious metals market, December gold futures advanced by 0.6%, reaching $2,506.10 an ounce on the Comex.
Conversely, silver futures were down by 0.8%, priced at $28.60 an ounce. Among notable transactions, SPDR Gold Shares ($GLD) experienced a gain of 0.6%, while iShares Silver Trust ($SLV) faced a decline of nearly 1%. As we navigate these market fluctuations, investors are advised to stay informed and consider the developing trends that could impact their trading strategies in the near future..