Stock futures slightly lower as traders await U.S. CPI; Rivian IPO in focus

Wall Street

Markets set for negative open

Wall Street futures were marginally lower early Wednesday, as market participants await the release of U.S. inflation report later today.

The Consumer Price Index (CPI) increased 0.6% in October and 5.9% on a year-over-year basis, Labor Department data is expected to show at 8:30 a.m. ET.

Excluding volatile food and energy prices, analysts expect a gain of 0.4%, or 4.3% on a year-over-year basis.

U.S. CPI climbed 0.4% in September, and 5.4% on a year-over-year basis.

As of 5:30 a.m. ET, futures tied to the blue-chip Dow Jones were down 63 points, or 0.17% to 36,146.

S&P 500 futures dropped 8.75 points, or 0.19% to 4,669.50 while the tech-heavy Nasdaq 100 gave away 37 points, or 0.23% to 16,175.75.

Rivian prices IPO above range

Rivian has priced its initial public offering (IPO) at $78 per share, comfortably ahead of its $72 to $74 range that already significantly boosted the company’s valuation.

The electric-vehicle maker sold 153 million shares at $78 per share late Tuesday, raising more than $11.93 billion.

Rivian had marketed the shares at a price of $72 to $74 apiece, up from its initial range of $57 to $62.

The company, which counts Ford (NYSE: F) Amazon (NASDAQ: AMZN) among its backers, recently started production on its R1T electric pickup, and aims to make 10,000 deliveries as soon as next year.

Rivian’s listing is being led by Goldman Sachs Group, Morgan Stanley, and J.P. Morgan. The shares are expected to begin trading today on the Nasdaq Global Select Market under the symbol RIVN.

Elon Musk’s net worth shrinks by $50 billion as Tesla extends slide

Meanwhile, Elon Musk’s net worth has fallen by a whopping $50 billion in just two days as Tesla (NASDAQ: TSLA) stock continues to drop.

Tesla shares began slumping on Monday after CEO Musk asked his Twitter followers over the weekend whether he should sell 10% of his stake in the electric-car maker. Nearly 58% of the 3.5 million respondents said he should offload the stake.

The results of the poll were followed by news that Musk’s brother Kimbal Musk recently offloaded 88,500 Tesla shares. Reports also surfaced that Musk may want to offload his stake to settle his personal debts.

Musk is still the world’s richest man, but the slump has narrowed his lead over Amazon founder Jeff Bezos to $83 billion.

Tesla shares were down 2.10% to $1,001.55 apiece in the premarket trading session.