BY THE NUMBERS
Dow futures rebounded Tuesday, one day after a big slide on Wall Street capped three straight down sessions on concern about a surge in Covid cases due to the omicron variant. Stocks that benefit from the economy staying open saw some relief-buying. Adding to premarket strength, Dow stock Nike jumped 3.6%, the morning following better-than-expected quarterly earnings and revenue. (CNBC)
So far in December, the Dow Jones Industrial Average is up 1.3%; the S&P 500 is flat; and the Nasdaq is down nearly 3.6%. The U.S. stock market is closed on Friday for Christmas Eve. Heading into the new year, investors will also assess the prospect for President Joe Biden's economic agenda. (CNBC)
* Cramer expects omicron-related stock slump to be short-lived (CNBC)
IN THE NEWS TODAY
The White House will deploy 1,000 military medical personnel to support hospitals facing a surge of patients infected with Covid this winter, and it will purchase 500 million at-home tests that Americans can order online for free with delivery beginning in January, according to senior administration officials. President Joe Biden will announce the plan in a speech later Tuesday. (CNBC)
* Biden tests negative for Covid after close contact with aide who contracted virus (CNBC)
The CDC said Monday that omicron is now the dominant variant of Covid in the U.S., representing about 73% of the sequenced cases. The delta strain made up 26.6% of U.S. infections for the week ended Dec. 18. Just a week earlier, delta represented 87% of cases and omicron was just 12.6%. (CNBC)
* CDC director says initial Covid shots ‘may not be enough’ as omicron cases spike (CNBC)
* NYC expects omicron to rapidly surge but peak in a matter of weeks (CNBC)
* WHO urges holiday caution: 'An event canceled is better than a life canceled' (CNBC)
Moderna (MRNA) CEO Stephane Bancel told a Swiss newspaper that work on an omicron-specific booster could begin within a few weeks, adding that only minor adjustments to the original formula would be needed. Earlier this week, Moderna said a booster of its current vaccine dramatically increases protection against omicron.
The Senate will vote on Biden's sweeping $1.75 trillion social safety net and climate policy legislation in January despite Democratic Sen. Joe Manchin's opposition to it. Senate Majority Leader Chuck Schumer, D-N.Y., wants to put every senator's position on the record. It's unclear whether Democrats would try to pass a smaller, similar measure. (CNBC)
* EV stocks tumble after Manchin rejects Biden's climate and social plan (CNBC)
Nikola has agreed to pay $125 million to settle SEC charges of defrauding investors by misleading them about its products, technical capacity and business prospects. Shares of the electric truck maker rose 3% in the premarket after falling 7% on Monday. SEC officials said they hope the penalty would serve as a warning to all companies hoping to go public via SPACs. (CNBC)
STOCKS TO WATCH
Micron Technology (MU) beat estimates by 5 cents a share, with quarterly profit of $2.16 per share. The chip maker's revenue also came in above consensus. Micron gave an upbeat forecast, amid continued strong demand for its chips. Shares leaped about 8% in the premarket.
Braze (BRZE) reported a lower-than-expected loss and better-than-expected revenue in the cloud computing company's first report since going public in mid-November. The stock surged 11.9% in the premarket.
Citrix Systems (CTXS) nearly surged 8% in premarket trading following a Bloomberg report that Elliott Investment Management and Vista Equity Partners are considering a joint bid for the software maker.
General Mills (GIS) missed earnings estimates by 6 cents a share, with quarterly profit of 99 cents per share. The food producer's revenue was above Wall Street forecasts. The company raised its full-year sales forecast, as at-home dining demand remains elevated, but said it is still dealing with higher input costs and supply chain disruptions. Shares fell roughly 2% in the premarket.
Rite Aid (RAD) earned a profit of 15 cents per share, compared to expectations of a 32 cents per share quarterly loss. Rite Aid also announced a store closure program, initially targeting 63 stores with an expected annual savings of about $25 million. The stock rallied 4% in premarket trading.
Financial information provider FactSet (FDS) earned $3.25 per share for its latest quarter, 25 cents a share above estimates. Revenue came in above consensus as well, boosted by higher sales of analytics and research solutions.