Tonight's Highlights | Nvidia Rises 2% Premarket Then Pulls Back; U.S. Stock Index Futures Mixed
On Tuesday (December 9th) premarket, U.S. stock index futures traded mixed. As of press time, Dow Jones Industrial Average futures fell 0.01%, S&P 500 Index futures rose 0.01%, and Nasdaq 100 Index futures dropped 0.09%.
For individual stocks, Nvidia climbed over 2% in early premarket trading. The move came after Donald Trump announced on social media that the U.S. government would allow Nvidia to sell its H200 artificial intelligence chips to China. By press time, however, Nvidia's gains narrowed to around 0.4%.
In the previous trading session, the three major U.S. stock indexes closed lower collectively. The 10-year U.S. Treasury yield rose sharply that day as markets remained concerned about the impact of persistently high U.S. inflation. Traders are now awaiting the Federal Reserve's interest rate decision, scheduled to be announced mid-session on Wednesday.
Currently, markets expect the Fed to ease monetary policy again, following similar moves in September and October. The CME FedWatch Tool shows an 89.4% probability of a 25-basis-point rate cut, with the chance of no change at just over 10%.
Shortly before press time, Nick Timiraos, known as the "Fed whisperer," stated that Fed Chair Jerome Powell is most likely to first cut rates by 25 basis points, then signal through a post-meeting statement that the threshold for further policy easing will be higher.
This "cut first, then restrict" approach is commonly referred to as a "hawkish rate cut" — similar to his 2019 "three consecutive rate cuts." Timiraos analyzed that this move could reduce dissent, as some officials are not in favor of rate cuts.
Bret Kenwell, U.S. investment analyst at eToro, said: "While a rate cut is nearly a done deal, the Fed's economic projections and Powell's comments will have a significant impact on markets — not just this week, but potentially setting the tone for the rest of the year."
Kenwell added: "After the recent pullback in U.S. stocks and cryptocurrencies, risk-seeking investors are hoping the Fed paves the way for a year-end rally rather than dampening the recent rebound."
European stocks, which are currently trading, were mixed. Germany's DAX Index was up 0.31%, the UK's FTSE 100 Index fell 0.09%, and France's CAC 40 Index dropped 0.51%.
Company News
Microsoft Announces Increased AI Investment in Canada, to Inject Over CAD 7.5 Billion in Next Two Years
On December 9th, Microsoft announced plans to boost its AI investment in Canada, with total spending reaching CAD 19 billion between 2023 and 2027 — including over CAD 7.5 billion in the next two years.
Silicon Solid-State Battery Firm Blue Current Secures Over $80 Million in Funding, Led by Amazon
U.S.-based silicon elastic composite solid-state battery manufacturer Blue Current announced on December 8th the completion of a $80+ million Series D funding round. Led by Amazon, participants include Koch Disruptive Technologies (KDT), Piedmont Capital, Rusheen Capital Partners, and Allen & Company. The company stated the funds will accelerate the commercialization of its silicon composite battery platform.
Brookfield and Qatar AI Company Launch $20 Billion AI Joint Venture
Canadian asset management giant Brookfield and Qatar AI (Qai) — the artificial intelligence subsidiary of Qatar Investment Authority (QIA) — announced a strategic partnership today to establish a $20 billion joint venture. Focused on developing AI infrastructure in Qatar and selected international markets, the venture aims to expand global AI capacity.
CVS Health Projects 2026 Adjusted EPS of $7 to $7.20
CVS Health forecasts 2026 adjusted earnings per share (EPS) of $7 to $7.20, compared to the market consensus of $7.17. The company pledged a mid-teens compound annual growth rate (CAGR) in adjusted EPS through 2028.
Novartis Signs $1.7 Billion Drug Target Collaboration with Relation Therapeutics
UK biotech firm Relation Therapeutics announced a partnership with Novartis to discover and advance new targets for atopic diseases. Under the agreement, Relation will receive an initial $55 million, including an upfront payment, equity investment, and additional R&D funding.
It is also eligible for up to $1.7 billion in preclinical, development, regulatory, and commercial milestone payments, plus tiered royalties on net product sales.
ExxonMobil Expects Higher Profits and Oil Production by 2030
ExxonMobil stated on Tuesday that it aims to achieve $25 billion in profit growth between 2024 and 2030, alongside increased oil and gas output. Despite maintaining annual capital expenditure targets of $28 billion to $30 billion through 2030, the profit outlook is $5 billion higher than previous plans.
The growth will be driven by the Permian Basin — the largest U.S. oilfield — where production is set to rise from 2.3 million barrels per day to 2.5 million barrels per day.
U.S. Oil Giants May Take Over Sanctioned Russian Firm's Iraq Oilfield Stake
Multiple media outlets reported that U.S. oil giants could acquire the stake of sanctioned Russian firm Lukoil in an Iraqi oilfield project. Earlier this month, Iraq's Oil Ministry said it had invited several major U.S. oil companies to bid for stakes in the West Qurna-2 oilfield, with the winner set to replace Lukoil as the new operator.
Stellantis Partners with Bolt to Launch Autonomous Ride-Hailing in Europe
Stellantis and Bolt announced a collaboration to explore the development and deployment of Level 4 autonomous vehicles for commercial ride-hailing in Europe.
The two sides plan to begin testing vehicles in European countries from 2026, with mass production targeted for 2029. Bolt currently offers ride-hailing services in over 50 countries — including 23 EU member states — and intends to integrate Stellantis' autonomous vehicles into its mobility platform.
Medical Supplies Giant Medline Files for IPO to Raise Up to $5.37 Billion, Potential 2024 U.S. Largest IPO
On December 8th (local time), U.S. medical supplies giant Medline submitted a filing to the U.S. Securities and Exchange Commission (SEC) for an initial public offering (IPO). Plans call for raising up to $5.37 billion by issuing 179 million shares, valuing the company at up to $55.3 billion. If completed, it could be the largest U.S. IPO of the year.