U.S. stock futures fell as jitters in China’s indebted property sector rippled into global markets. Here’s what we’re watching ahead of Monday’s trading session.
- The Cboe Volatility Index—Wall Street’s so-called fear gauge, also known as the VIX—ticked up to 26.11, its highest level since mid-May.
- Shares of banks and financial services companies, which tend to be among the most economically sensitive stocks, declined premarket. Bank of America and Goldman Sachs Group shares each fell 3.2%.
- Energy stocks fell premarket as futures for Brent crude, the benchmark in international energy markets, fell 2.2% to $73.68 a barrel. Shares of Occidental Petroleum fell 5.2%, Devon Energy declined 4.3% and Marathon Oil shed 9.4%.
- Shares of bitcoin mining stocks fell alongside the price of the world’s largest cryptocurrency by market value. Hut 8 Mining shares contracted more than 10% and Marathon Digital Holdings shed 9.1% premarket. Bitcoin’s dollar value fell 9% to $43,312.10 from its 5 p.m. ET level Sunday. Other cryptocurrencies also fell, with joke crypto dogecoin tumbling 12% over the same period.
- U.S.-listed shares of Li Auto fell 5.8% premarket after the company revised lower its outlook for third-quarter vehicle deliveries due to Covid-19 hampering chip production in Malaysia.
- Pfizer and partner BioNTech said their Covid-19 vaccine was found to be safe and generated a strong immune response in children aged 5 to 11 years in a late-stage study but the positive news wasn’t enough the shake the broader market rout. Pfizer shares edged 1.5% lower premarket and U.S. listed shares of BioNTech fell 5.3%.
- AstraZeneca shares bucked the broader selloff, with U.S.-listed shares up 0.6% premarket. The company shared strong data on its new breast cancer drug Enhertu at a large medical conference over the weekend.
- Individual-investor favorite AMC Entertainment declined 8% premarket. GameStop fell 4.2%
- U.S.-listed shares of Chinese companies declined, with Alibaba Group Holding down 3.7%, JD.com down 3.7% and Baidu down 2.8%.
Chart of the Day
- Natural-gas prices have surged, prompting worries about winter shortages and forecasts for the most expensive fuel since frackers flooded the market more than a decade ago.
Write to Caitlin Ostroff at [email protected]
