Stock futures declined on Tuesday, and Treasury yields rose as investors speculated that the Federal Reserve will maintain higher interest rates for an extended period. This belief on Wall Street has led to a negative sentiment in the stock market. Ford announced that it is pausing a $3.5 billion electric-vehicle battery plant, stating that it has not made a final decision regarding the investment. The company wants to ensure its ability to operate the plant competitively before moving forward. Alongside General Motors and Stellantis, Ford is also facing a strike by the United Auto Workers.
In other news, Fisker, an electric-vehicle maker, saw a 6% increase in premarket trading after announcing that it has manufactured 5,000 Fisker Ocean SUVs. The company expects to deliver 300 vehicles per day later this year. Thor Industries, a recreational-vehicle maker, projected fiscal 2024 earnings of $6.25 to $7.25 per share on sales of $10.5 billion to $11 billion. However, analysts’ expectations were slightly lower, anticipating earnings of $7.12 per share on sales around $10.9 billion. Costco Wholesale is scheduled to report its fiscal fourth-quarter earnings after the market closes, with analysts expecting adjusted earnings of $4.79 per share on sales of $77.7 billion.
Additionally, DraftKings was upgraded from Neutral to Overweight by J.P. Morgan, which also raised its price target on the sports-betting company’s shares. Coty, a cosmetics company, launched a global offering of 33 million shares, aiming to boost its European presence. As a result of the news, Coty shares declined by 4.1% in premarket trading.
