01 Stock Market
As of Jun 4, U.S. stock index futures performed as follows: Dow contracts advanced 0.81%, indicating modest resilience; S&P 500 minis eased 0.37% as investors adjusted to mixed corporate news; Nasdaq 100 futures retreated 1.17%, reflecting sharper pressure on growth and semiconductor names after a raft of earnings disappointments.
Notable Stock Movers: AVGO down 15.01% at $407.28 after revenue missed lofty expectations; weakness spilled into peers with MU down 7.00% at $1,004.03, AMD down 4.34% at $519.00, and NVDA down 1.10% at $212.15. Traders rotated into bearish vehicles such as SOXS up 12.42% at $5.52. Outside chips, large-cap tech showed mixed prints: MSFT up 1.28% at $432.80, GOOG up 0.50% at $357.45, while EV bellwether TSLA down 0.64% at $421.00. Data-analytics favourite PLTR up 2.61% at $145.91 bucked the trend, supported by steady government contract momentum.
Early breadth skews negative, with semiconductor ETFs such as SOXL down 12.85% amplifying sector volatility. Meanwhile selected defensive plays—most notably NOW up 3.28% at $121.77—signal selective rotation toward software and services. Overall, pre-bell trading suggests profit-taking in AI hardware leaders, while diversified megacaps and inverse products absorb some flows as investors brace for upcoming labour-market data and a busy corporate calendar.
02 Other Markets
• 10-year U.S. Treasury yield fell 0.80%, to 4.46%.
• U.S. Dollar Index fell 0.33% to 99.19.
• WTI crude oil futures fell 3.82% to 92.35 USD/barrel; COMEX gold futures rose 1.61% to 4,538.80 USD/ounce.
03 Key News
1. Broadcom reported revenue below market expectations, sparking concerns over its AI growth trajectory. Management maintained a long-term target of $100 billion in AI chip sales and slightly raised shipment forecasts, yet investors balked at the unaltered outlook for the upcoming quarter. Shares slid sharply as analysts flagged execution risks and intense competition in customised silicon.
2. Ciena delivered a 40% year-on-year revenue surge and stronger-than-expected earnings. Despite raising full-year guidance, the optical-networking specialist saw its stock retreat in pre-market trading, suggesting the market anticipated an even steeper outlook amid soaring data-centre demand.
3. SpaceX formally launched the investor roadshow for its blockbuster initial public offering. The company plans to float 555 million Class A shares at an indicative $135 each and grant underwriters an additional allotment option. Major banks including Goldman Sachs and Morgan Stanley will lead the deal, which could value the space-to-satellite group near $1.75 trillion.
4. SpaceX also secured local tax incentives for a planned semiconductor facility in Texas. Grimes County commissioners approved a reinvestment zone and abatements for the Terafab project, enabling potential investments topping $100 billion. Residents voiced environmental and infrastructure concerns, but officials cited job creation and advanced-manufacturing benefits.
5. Tilly’s posted a 22.9% jump in comparable sales and lifted full-year guidance. The apparel retailer credited refreshed assortments and improved store traffic for its outperformance, sending the stock sharply higher in pre-market dealings as investors welcomed the stronger outlook.
6. C3.ai beat consensus on fourth-quarter revenue and issued upbeat guidance for the new fiscal year. Management highlighted accelerating enterprise demand for generative-AI applications and noted progress in reducing cash burn, helping the shares firm despite broader tech weakness.
7. CrowdStrike reported higher first-quarter operating expenses, weighing on its shares before the opening bell. While topline growth met expectations, rising investment in platform expansion pressured margins, prompting a cautious reaction from traders sensitive to cost-inflation narratives.
8. Five Below cautioned on consumer spending despite solid same-store sales gains. The value-focused retailer delivered double-digit comparable growth but flagged a potential moderation in discretionary demand, leading to a pre-market share decline as investors reassessed earnings momentum.
9. Petco Health and Wellness disappointed the market with softer profit metrics. Quarterly results lagged consensus, and management signalled continued margin pressures from promotional activity, triggering a double-digit slide in early trading.
10. The Securities and Exchange Commission and FINRA voted to eliminate the $25,000 pattern day-trading threshold, easing retail trading rules. Brokerages have up to 18 months to adopt the change, which removes restrictions that limited frequent same-day trades for smaller accounts; industry observers expect heightened retail participation and emphasise the need for enhanced investor education on trading risks.
Sources: Reuters, Dow Jones, Tiger Newspress, public market data
Disclaimer: For informational purposes only; not investment advice.
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