U.S. stock index futures slipped in light trading volumes on Monday as elevated Treasury yields threatened to pressure a historically strong year-end period for equities.
Market Snapshot
At 08:01 a.m. ET, Futures tied to the Dow Jones Industrial Average fell 338 points, or 0.8%. S&P 500 futures dropped 0.9%. Nasdaq-100 futures shed 1%.
Pre-Market Movers
Faraday Future soars 30% in premarket after surging over 30% on Friday. Faraday Future has secured approximately $30 million in financing, consisting of $22.5 million in cash and $7.5 million converted from previous loans. This funding will support the company’s growth, particularly the development of its Faraday X (FX) strategy, which focuses on launching affordable, high-performance AIEVs in the U.S. market. The financing involves the issuance of unsecured convertible notes and warrants, and is expected to strengthen the company’s core business operations and facilitate the production of its FF 91 2.0 model and the FX brand.
Shares of Boeing tumbled 2.6%. A Boeing 737-800 jet operated by South Korea's Jeju Air crashed while landing in South Korea, killing nearly all 181 passengers and crew on board. The Jeju plane was manufactured in 2009, and the airline started flying it in 2017.
The aircraft isn't a 737 MAX jet, which is the model closely monitored by investors since two tragic MAX crashes grounded that jet worldwide between March 2019 and November 2020. The two MAX jets were relatively new and the problem was traced back to faulty flight control software.
Tesla was down 1.9% ahead of the open after declining 5% on Friday. The electric-vehicle maker recalled almost 700,000 vehicles to correct a potential error with the warning light on the tire-pressure monitoring system. Tesla said it would be issuing a free software update to fix the problem. The company is expected this Thursday to report fourth-quarter deliveries.
Super Micro Computer was down 1.9% in premarket trading. Shares of the server maker fell 5.2% to $31.98 on Friday, making the stock the worst performer in the S&P 500 during the session. The stock was swept up Friday in a broad tech-sector selloff brought about by rising interest rates. Heading into the last week of 2024, Super Micro has risen 13% for the year. It has been the year's most volatile stock in the S&P 500, according to Dow Jones Market Data.
Social media stocks Meta Platforms, Alphabet, and Snap fell 0.7%, 0.6%, and 1.4%, respectively, as President-elect Donald Trump on Friday asked the Supreme Court to block a federal law banning TikTok from taking effect on Jan. 19. Trump, in a legal brief, urged the Supreme Court to delay the ban on TikTok, which has become a significant rival to the U.S. technology companies, so his administration can "pursue a negotiated resolution that could prevent a nationwide shutdown" of the social-media platform. TikTok is owned by Chinese tech company ByteDance.
Apple fell 0.8% in premarket trading after closing Friday at $255.59, down 1.3%. The stock, however, had traded as high as $258.70 during the session, moving Apple closer to becoming the first U.S. company with a market capitalization of $4 trillion. Shares have to close above $264.62 to reach that valuation.
Palantir declined 2.3%. Shares of the software company slipped back from record territory on Thursday and closed down 3.7% on Friday. Nvidia, another artificial intelligence giant, was down 0.7% in premarket trading after falling 2.1% Friday. The stocks have gained 360% and 177% this year, respectively.
Market News
Google CEO asks employees to brace for challenging 2025
Google (NASDAQ:GOOG) (NASDAQ:GOOGL) chief executive Sundar Pichai warned employees that 2025 would be a challenging year, as the search giant faces "scrutiny across the world," CNBC reported Friday.
According to the report, Pichai acknowledged during a 2025 strategy meeting on December 18 that the tech giant was under the scanner across the globe.
"It comes with our size and success. It's part of a broader trend where tech is now impacting society at scale. So more than ever, through this moment, we have to make sure we don't get distracted," said Pichai.
Trump Holds Majority Stake In Trump Media Technology Group
According to BlockBeats, documents from the U.S. Securities and Exchange Commission (SEC) reveal that as of December 17, U.S. President-elect Donald Trump holds a 52.9% stake in Trump Media Technology Group (DJT.O). Trump has reported transferring approximately 114.8 million shares of Trump Media Technology Group stock into a revocable trust.