Early Look

Monday, June 9, 2025

US equity futures are little changed as investors await the US and China trade negotiations in London. U.S. stocks closed out last week with solid gains Friday, extending their weekly advance as the S&P 500 gained 1.5%, Nasdaq up 2.18%, and the Dow was up 1.17%. The NASDAQ 100 is now just -2% below its all-time high and the S&P is less than 2.5% of its all-time high, 6,147.33, after being down -20% just 2 months ago. Friday’s stock market advance was driven by a robust U.S. jobs report, with May Non-Farm Payrolls adding 139,000 jobs, topping consensus which helped ease concerns over an economic slowdown following weaker data points prior. Market sentiment remains risk-on, supported by positive equity momentum and a backdrop of technical strength above key pivot levels. Market attention today remains on US trade talks in London as well as Apple’s (AAPL) Worldwide Developer Conference. In Asian markets, The Nikkei Index jumped 3467 points to 38,088, the Shanghai Index rose 14 points to 3,399, and the Hang Seng Index advanced 388 points to 24,181. In Europe, the German DAX is down -130 points to 24,174, while the FTSE 100 slips -11 points to 8,826. West Texas Intermediate (WTI) crude oil prices steadied after a weekly surge as a renewed round of US-China trade talks offered the potential for reduced global tensions.

• The Dow Jones Industrial Average rose 443.13 points, or 1.05%, to 42,762.87
• The Nasdaq Composite jumped 231.50 points, or 1.20%, to 19,529.95
• The Russell 2000 Index advanced 34.89 points, or 1.66% to 2,132.25

• 10:00 AM ET                Wholesale Inventory M/M for April

• Earnings After the Close: AII CASY CVGW LAKE LMNR SKIL

• DA Davidson Consumer & Technology Conference, 6/9-6/11 in Nashville, TN
• Goldman Sachs 46th Annual Global Healthcare Conference, 6/9-6/11 in Miami, FL
• Oppenheimer 2025 Software Bus Tour, 6/9-6/10, in San Francisco, CA
• Oppenheimer 25th Annual Consumer Growth and E-Commerce Conference, 6/9-6/11

• Japan is considering buying back some super-long government bonds issued in the past at low interest rates, two sources with direct knowledge of the plan said on Monday, Reuters reported. The move would come on top of an expected government plan to trim issuance of super-long bonds — such as those with 20-, 30- or 40-year maturities — in the wake of sharp rises in their yields.
• China Consumer Prices (CPI) fall again in May; CPI declined (-0.1%) y/y for the fourth month, compared with the median estimate for a (-0.2%) decline, while PPI dropped (-3.3%), the sharpest fall since July 2022. Core CPI inflation, excluding food and energy prices, rose 0.6% in May, the highest level since January this year.
• St Louis Fed President Alberto Musalem notes Trump’s levies could boost inflation for “a quarter or two” and puts ‘50-50’ odds on tariffs sparking sustained US inflation – Financial Times

• Children’s Place (PLCE) Q1 sales fell (-9.6%) to $242.1M while same-store sales tumbled (-13.6%) as customers drew back from shopping amid tariff-related uncertainty; said the decline was driven by a decrease in e-commerce sales after the company increased its shipping minimum to $40 from $20.
• Conagra Brands (CAG) was downgraded to Sell from Neutral at Goldman Sachs and cut tgt to $21 from $26 saying center-of-store food companies continue to face a number of headwinds.
• Starbucks (SBUX) China will lower the prices of some of its iced drinks by an average of 5 yuan, or 70c, across the country as consumers become more cautious about spending – Reuters.
• In Online sports betting, the Louisiana Senate has passed HB 639 to raise the state’s online sports betting tax rate from 15% to 21.5% by a 35-3 vote. It now heads to Gov. Jeff Landry (R), where it will likely be signed into law – watch shares of DKNG, FLUT, CZR, MGM, PENN and others.

• Chevron (CVX) CEO Mike Wirth told employees they need to reinforce safety standards following an increased number of injuries near-misses, weeks before three workers died due to a fire on one of the company’s oil platforms in Angola.
• Rio Tinto (RIO) is seeking a multibillion-dollar government bailout for its Tomago aluminum smelter due to increasing energy costs, Bloomberg reported.

• UnitedHealth (UNH) is considering multiple bids for its Latin American operations, Reuters reported. The health insurer has been trying to exit Latin America since 2022, but the sale of Banmedica has taken on increasing urgency in recent months as the insurer took hits on multiple fronts.

• EchoStar (SATS) is considering a Chapter 11 bankruptcy filing as the firm vies to shield its stockpile of wireless spectrum licenses from the threat of revocation by federal regulators – WSJ reported.
• Equinix (EQIX) downgraded to Peer Perform from Outperform at Wolfe Research
• Meta Platforms (META) is in discussions to potentially make a more than $10B investment in AI startup Scale AI – Bloomberg News reported.
• Mobileye (MBLY) was downgraded to Neutral from Buy at Goldman Sachs with an unchanged price target of $17 citing the company’s competitive landscape, risk to Street estimates in 2026 and 2027.
• Qualcomm Incorporated (QCOM) announced that it has reached an agreement with Alphawave IP Group plc regarding the terms and conditions of a recommended acquisition by Aqua Acquisition Sub LLC, an indirect wholly owned subsidiary of Qualcomm Incorporated, for the entire issued and to be issued ordinary share capital of Alphawave Semi at an implied enterprise value of approximately $2.4 billion.