Stocks climbed early Thursday as Wall Street once again held out hope for some form of fiscal stimulus to come from Washington.
House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin spoke on Wednesday about a slimmed-down stimulus plan, which could include a stand-alone bill for the airline industry. The talks come after President Donald Trump on Tuesday called off talks for stimulus only to seemingly reverse course that evening, saying in a series of tweets that he supported more targeted measures.
Wall Street will also have its eye on initial jobless claims data, which are set to be released at 8:30 a.m. It is expected that more than 800,000 people newly sought unemployment benefits last week.
Futures for the Dow Jones Industrial Average climbed 172 points or 0.6%. S&P 500 futures were up 0.4% and Nasdaq Composite futures gained 0.6%. Oil advanced with the price of West Texas Intermediate crude gaining 1.8% and Brent crude climbing 2%.
Morgan Stanley (ticker: MS) shares slid 3% premarket after announcing it was going to buy Eaton Vance in a $7 billion cash and stock deal. Shares of Eaton Vance (EV) climbed 40%. The deal comes just after Morgan Stanley completed its acquisition of E*Trade Financial.
Regeneron Pharmaceuticals (REGN) shares climbed 4.5% after Trump touted the company’s Covid-19 antibody treatment, which he took last week. Regeneron submitted a request for an emergency-use authorization to the U.S. Food and Drug Administration to make the experimental treatment more widely available.
Domino’s Pizza (DPZ) shares slid 5% after management reported weaker-than-expected profits for the third quarter. The pizza chain has been helped by a surge in at-home dining but high pandemic-related costs weighed on the results.
Write to Carleton English at email@example.com