In the latest pre-market session on Friday, key U.S. stock indices showed signs of recovery, tracking in the green following a prior session marked by declines. The Standard & Poor's 500, a benchmark for the U.S. equity market, saw an uptick of 0.2%, while the Dow Jones Industrial Average rose by 0.1%.
The Nasdaq composite showcased a gain of 0.4% in premarket trading. However, Asian markets exhibited a mixed to lower trend, and European markets were largely trending downwards by midday. Tesla, a prominent player in the electric vehicle sector, faced some headwinds, trading slightly in the red ahead of the bell after a notable 6.1% drop in the previous session.
The decline is attributed to the company reporting a decrease in year-over-year vehicle deliveries for 2024, which fell short of market expectations for its fourth-quarter delivery figures. Meanwhile, Carvana, an online used car retailer, saw its stock slip by 3.5% following critical observations from the short-selling firm Hindenburg Research regarding its business viability. In a significant development for the steel industry, United States Steel experienced a sharp drop in its stock price, plummeting 9.5% after news broke that President Joe Biden has decided to block Nippon Steel's proposed $14.9 billion acquisition of the steelmaker.
This decision could have far-reaching implications for consolidation in the industry and raises questions about regulatory stances on such mergers. Looking ahead, the economic calendar reveals some crucial updates, including the Institute for Supply Management’s manufacturing index for December, set to be released at 10 am ET.
Following that, the weekly EIA natural gas supplies report is scheduled for release at 10:30 am, while the Baker Hughes domestic oil-and-gas rig count will be made public at 1 pm. Additionally, the speeches from key Federal Reserve officials, including Richmond Fed President Thomas Barkin at 11 am and San Francisco Fed President Mary Daly at 5:30 pm, are expected to provide insight into the central bank's economic outlook. In the realm of commodities, Bitcoin saw a slight decrease of 0.8%, settling at $96,711.
Meanwhile, West Texas Intermediate crude oil fell by 0.2%, priced at $72.96 per barrel. Treasury yields on 10-year notes retreated by 2.8 basis points, now at 4.55%, while gold prices experienced a marginal increase of 0.2%, reaching $2,673 an ounce. These movements reveal a cautious market attitude amidst fluctuating economic signals and ongoing corporate developments.
Investors today are closely monitoring these trends as they plan their next strategic moves in the evolving market landscape..