Stocks set to rise at open
U.S. stock futures moved higher in the premarket trading session Friday, after the Dow Jones Industrial Average suffered its worst selloff of 2022, due to the threat of a possible Russian invasion of Ukraine and concerns about U.S. monetary policy.
As of 5:40 a.m. ET, futures tied to the Dow were indicated 134 points, or 0.39% higher to 34,365. S&P 500 futures climbed 23.25 points, or 0.53% to 4,397.75 while the tech-heavy Nasdaq 100 futures rose 108.75 points, or 0.77% to 14,237.5.
On Thursday, the Dow plunged 622.24 points, or 1.8%, to end the session at 34312.03, its worst drop since November. The S&P 500 shed 94.75 points, or 2.1%, to close at 4380.26 while the Nasdaq Composite Index plummeted 407.38 points, or 2.9%, to finish at 13716.72.
The selloff came after President Joe Biden warned that Russia could invade Ukraine within days. His administration believes that Russia has built up some 150,000 military forces near the Ukrainian border.
The State Department said late Thursday that State Secretary Anthony Blinken is scheduled to meet Russia’s Foreign Minister Sergei Lavrov next week. Meanwhile, Biden is expected to speak with NATO leaders later today.
Roku slides as Q4 earnings fall short of expectations
Shares of Roku (NASDAQ: ROKU) are sinking after the company posted fourth-quarter financial results late Thursday.
The video-streaming company reported adjusted earnings of 17 cents per share, topping analysts’ estimates of 9 cents per share. Revenue grew 33% on a year-over-year in the quarter to $865.3 million, but missed expectations of $894.0 million.
For the current quarter, Roku said it expects revenue to come in at $720 million, a figure below estimates of $748.5 million. The company guided for adjusted EBITDA of $55 million in the first quarter, also below expectations of $79.2 million.
Roku stock was $35.97, or 24.86% down to $108.74 a share in the premarket trading session Friday.
Crude futures fall on U.S.-Iran talks progress
In energy markets, crude futures edged lower on Friday as talks to revive the 2015 Iran nuclear deal moved to the final stages.
Reuters reported on Wednesday that Iran’s chief nuclear negotiator Ali Bagheri Kani said in a tweet that “we are closer than ever to an agreement” after weeks of intensive talks.
Iran may resume oil exports if the deal is resurrected and economic sanctions are lifted. Traders believe that the move could unlock more crude supplies and bring more oil to the global market.
U.S. West Texas Intermediate (WTI) crude futures were down $2.28, or 2.48% to $89.48 a barrel at 5:40 a.m. ET. Global Brent crude futures were at $90.77, down $2.20, or 2.37% a barrel.
