Stocks are set to open higher on Thursday, with Wall Street looking to build off Wednesday’s gains after starting the week with back-to-back losing sessions. Federal Reserve chief Jerome Powell is scheduled to testify before the Senate Banking Committee, following his remarks to lawmakers in the House where he indicated the Fed expects to cut interest rates later this year.
New York Community Bancorp has secured a $1 billion capital raise from several investment firms, including Steven Mnuchin’s Liberty Strategic Capital. The stock has been volatile due to concerns over exposure to commercial real estate, but Mnuchin’s involvement has sparked optimism given his successful track record in turning around a California bank in the past.
Danish drugmaker Novo Nordisk saw its shares jump over 5% in premarket trading after a successful early trial of its next-generation obesity pill, amycretin. This positive news has also impacted rival Eli Lilly, which saw a slight dip in its shares on Thursday.
Chip stocks are also in focus, with Mizuho raising its price targets on Nvidia, Broadcom, and Advanced Micro Devices. The firm cited the expanding AI chip market and expects earnings multiples to continue growing during the current rally.
In the cybersecurity space, CrowdStrike emerged as a winner after a strong earnings report, prompting a price target increase from Citi. Meanwhile, Foot Locker was downgraded by Telsey Advisory Group due to a slower-than-expected recovery in operating margin.
Salesforce could see a re-rating higher, according to analysts at Canaccord, as the company remains committed to efficient spending and returning cash to investors. However, Apple continues to face challenges, including a new antitrust law in Europe and ongoing disputes with Epic Games.
Lastly, federal regulators criticized Boeing for not cooperating in their investigation over a mid-air cabin door emergency on an Alaska Airlines 737 Max 9. The NTSB expressed disappointment in Boeing’s response to their requests for information.
Overall, Thursday promises to be an eventful day in the markets, with a mix of positive developments and challenges across various sectors. Stay tuned for more updates as the day unfolds.
