Stocks look set for a mixed open Thursday as initial jobless claims came in better than expected.
Dow Jones Industrial Average futures have gained 31 points, or 0.1%, while S&P 500 futures have fallen about 0.2% and Nasdaq Composite futures have declined 0.3%.
Jobless claims came in at 406,000 for the week ended May 22, lower than the expected 425,000 and an improvement over the previous week’s result of 444,000.
“Jobless claims have been slowly declining and could receive a bit more attention this morning given the importance of the upcoming jobs report for the Fed’s decision to taper asset purchases,” writes Citigroup economist Andrew Hollenhorst.
If the U.S. adds jobs at a fast pace—a potential driver of inflation — the Federal Reserve may soon taper, or reduce the size of, its bond purchasing program. That would lower bond prices and lift their yields. Higher bond yields erode the value of future cash flows, which would reduce stock valuations. The Fed has indicated it may soon discuss tapering.
Here are five stocks making moves in Thursday’s premarket action:
Ford Motor (ticker: F) stock gained 2.5% after getting upgraded to Outperform from Sector Perform at RBC Capital Markets. This came after key electric-vehicle announcements Wednesday.
Dollar Tree (DLTR) stock fell 6% after reporting a profit of $1.60 a share for its latest quarter, beating forecasts for $1.04. It posted sales of $6.48 billion, above expectations for $6.43 billion.
Occidental Petroleum (OXY) stock gained 2.2% after getting upgraded to Buy from Neutral at Goldman Sachs.
Chipotle Mexican Grill (CMG) gained 0.5% after getting upgraded to Overweight from Equal Weight at Stephens.
Nvidia (NVDA) stock was little changed after reporting a profit of $3.66 a share, beating forecasts for $3.28 a share, on sales of $5.66 billion, above expectations for $5.41 billion.
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