The upcoming trading session is poised for significant movement with key economic data releases, including jobless claims, the Producer Price Index, and retail sales, all due at 8:30 a.m. ET. While major energy stocks and payment processors like Mastercard and Visa are hitting new highs, homebuilders are struggling with rising mortgage rates. Investors are also watching Taiwan Semiconductor, International Flavors & Fragrances, Alcoa, J.B. Hunt, Tesla, and Southwest Airlines following recent reports and announcements.
As the trading day concludes and eyes turn to the next session, investors are bracing for a torrent of critical economic data and significant corporate movements set to influence the market. CNBC's "Stocks @ Night" newsletter provides an exclusive preview of what producers are tracking, featuring a blend of macroeconomic indicators and company-specific news.
Morning Data Deluge: Jobless Claims, PPI, and Retail Sales
At 8:30 a.m. ET, Wall Street will digest several high-impact reports. Weekly initial jobless claims are expected to hit around 200,000, according to Dow Jones consensus estimates. Simultaneously, a crucial inflation gauge, the producer price index (PPI) for September, will be released, with economists forecasting a 0.6% monthly rise and a 5.5% year-over-year increase. Retail sales data, a key measure of consumer spending, is also due, with a Dow Jones consensus predicting a 0.4% increase. CNBC TV's "Squawk Box" — with Becky Quick, Andrew Ross Sorkin, and Joe Kernen — will deliver instant analysis of these figures and their implications for stock and bond markets.
Taiwan Semiconductor in Focus
Early risers will note Taiwan Semiconductor's earnings report at 2 a.m. ET, with full details expected on "Morning Call" at 5 a.m. The stock has seen a 2.3% gain over the last three months, though it has recently pulled back 12% from a high achieved earlier this month.
Energy Sector's Unstoppable Rise
Big energy stocks are roaring, hitting new all-time highs and demonstrating remarkable October performance:
- ConocoPhillips: Up nearly 14% this month.
- Chevron: Gained close to 9% in October.
- EOG Resources: Increased 12% this month.
- Phillips 66: Surged 16% in October.
- Marathon Petroleum: Rocketed up 22% this month.
- ExxonMobil: Shares climbed close to 9% so far this month.
Collectively, these giants have seen at least a 4% increase in just the last three days.
Homebuilders Face Headwinds
In stark contrast, the homebuilding sector is under significant pressure:
- D.R. Horton: Sits at a 15-month low, down nearly 15% over the past year.
- PulteGroup: Also at a 15-month low, with shares down 12% in a year.
- Lennar: Hit a four-year low, having plummeted about 40% in the last year.
The average rate on a 30-year fixed mortgage now hovers around 7.4%, exacerbating challenges. Housing analyst Michael Rehaut of Melius Research recently highlighted on "Squawk Box" that beyond rates, consumer confidence, a softening employment picture, and elevated existing housing supply are all contributing to the sector's woes.
International Flavors & Fragrances Reaches New Heights
The company behind countless perfumes and food flavorings, International Flavors & Fragrances, has achieved a new high, a level not seen since December 2024. Shares have soared 50% from their 52-week low last October and are up approximately 6% in the last three days.
Skydance Bounces Back
Skydance shares are now trading just above $7, recovering from a Wednesday low of $6.63 a share.
Payment Processors Charge Ahead
Mastercard and Visa are both demonstrating strong October performance, with Mastercard up 9% and Visa up almost 9% for the month, thanks to their solid market positions.
Alcoa and J.B. Hunt Report After Hours
The aluminum processing giant, Alcoa, will report after the bell. Its stock has been challenged, down 18% in three months and 52% from its June high. Similarly, J.B. Hunt Transport Services reports after hours, with its stock down 17% in three months and 22.5% from its mid-July high. Major truckers like Old Dominion Freight Line and Knight-Swift Transportation have also seen double-digit declines over the past three months, partly due to surging diesel prices.
Tesla Unveils the Roadster; Southwest Airlines Hosts Media Day
CNBC's Phil LeBeau reports that Tesla is unveiling the long-awaited Roadster, with reservations now open. While not expected to be a mass-market seller, it's generating considerable buzz. Tesla stock, however, is down 26% from its December 2025 high. Southwest Airlines is holding a media day, where it's anticipated to discuss plans for opening airport lounges. Southwest's stock is down 17% in three months and 28% from its February high.
