Market uncertainty continues as coronavirus fears mount around the globe, plus stocks to watch today in the Money and Markets Wall Street Wake-Up.
The Top Story
Coming off the second day of huge losses, U.S. equities markets continue to teeter on the brink.
All three major U.S. indexes suffered nearly 3% losses for the second straight day Tuesday and futures don’t point to a significant rally today.
The Dow Jones Industrial Average dropped nearly 900 points Tuesday following a 1,000-point loss Monday. Both the S&P 500 and Nasdaq Composite also suffered massive losses over a rough two-day stretch.
In today’s premarket trading session, markets were basically flat, pointing to an uncertain opening on Wall Street.
As of 8 a.m. Eastern time, the Dow was down 0.06%. The Nasdaq Composite inched up 0.13% while the S&P 500 was up just 0.09%.
Stocks to Watch Today
SmileDirectClub Inc. (Nasdaq: SDC) — The teledentistry company posted a $0.25-per-share loss in the fourth quarter and revenue was also below analysts’ expectations. Its shares were down more than 22% early Wednesday.
Walt Disney Co. (NYSE: DIS) — Shares of the media and entertainment company fell nearly 2% in the premarket session after it announced CEO Bob Iger was stepping down. Disney named Bob Chapek as Iger’s replacement.
Virgin Galactic Holdings Inc. (NYSE: SPCE) — A week ago, the spaceflight company was on a high after moving its flagship spacecraft to its launch facility in New Mexico. Shares of Virgin Galactic were down 4.2% this morning after it reported a $73 million loss in its first results as a public company.
In the News
Global stock markets continued a downward spiral Wednesday as European countries attempt to deal with the coronavirus outbreak.
The Nikkei in Japan fell 0.8% as traders worried the virus could prompt the cancellation of the Olympic games scheduled for July.
Indices across Europe also dropped after Greece reported its first confirmed case of the virus, and Italy and Iran added to their reported cases.
The Markit iTraxx Europe Crossover index — which tracks credit-fault swaps on high-yield companies — jumped for a third straight day.
In a bold move, the government in Hong Kong announced a one-time stimulus payment to residents totaling $15.4 billion to offset the city’s slumping economy.
Starbucks Adding Beyond Meat in Canada
Starbucks Corp. (Nasdaq: SBUX) is adding a new menu item to its stores in Canada.
On Wednesday, it said it will begin offering a sandwich featuring a meat-free patty from Beyond Meat Inc. (Nasdaq: BYND).
Starbucks said it will start selling the sandwich in all of its 1,500 Canadian stores starting in March.
BlackRock Power Broker Barbara Novick Is Stepping Down
The face of the public policy arm of investment management giant BlackRock Inc. (NYSE: BLK) is stepping down.
In a memo to employees Wednesday, the company announced that Barbara Novick will step down. The memo said she will scale back her duties until a replacement is named.
Novick was responsible for building BlackRock’s lobbying arm as well as supervising its oversight of public companies.
Other Morning Reads
Rosenberg’s Recession Alert: ‘We Are Simply Choking on Too Much Debt (Money and Markets)
Panasonic to End Tesla Partnership That Makes Solar Panels in Buffalo (The Wall Street Journal)
10-Year Treasurys Hit All-Time Low as Investors Pour Into Safe Havens (Money and Markets)
Here are the companies releasing earnings reports today:
3D Systems Corp. (NYSE: DDD)
Carvana Co. (NYSE: CVNA)
Crown Castle (NYSE: CCI)
L Brands Inc. (NYSE: LB)
NV5 Global Inc. (Nasdaq: NVEE)
Check back each morning before the opening bell for stocks to watch today with the Wall Street Wake-Up, here on Money and Markets.