Skip to main content

AMC, Tesla, Roku and Sanderson Farms - 5 Things You Must Know Monday

Stock futures trade mostly lower as investors boost bets the Fed will pull back on stimulus following a strong jobs report; AMC Entertainment reports earnings; Tesla workers at Nevada battery plant will have to wear masks.

Here are five things you must know for Monday, Aug. 9:

1. -- Stock Futures Mostly Lower as Taper Bets Rise

Stock futures traded mostly lower Monday as investors increased bets the Federal Reserve would pull back on stimulus following a stronger-than-expected U.S. jobs report.

Contracts linked to the Dow Jones Industrial Average dropped 93 points and S&P 500 futures were down 5 points but Nasdaq futures rose 21 points. The yield on the benchmark 10-year Treasury was down slightly Monday to 1.282%.

The Dow and the S&P 500 closed at records Friday following a jobs report for July that pointed to a labor-market recovery but also boosted expectations the U.S. central bank may soon start paring back its extraordinary stimulus that has underpinned stock market gains. The S&P 500 notched its 44th record close of 2021 on Friday and finished the week with a gain of 0.9%

Dallas Federal Reserve President Robert Kaplan told Bloomberg in an interview the Fed should begin gradually tapering asset purchases sooner rather than later.

“I would be supportive of adjusting these purchases soon, but once we start the adjustment process, I would probably prefer to have it be more gradual,” Kaplan told Bloomberg last week before the jobs report was released.

Prices of commodities, such as oil, slumped on worries that restrictions put in place to curb the spread of the COVID-19 virus variant will crimp demand. West Texas Intermediate crude oil, the U.S. benchmark, fell 3.84% to $65.66 a barrel.

2. -- Monday's Calendar: AMC Earnings, JOLTS Report

The economic calendar in the U.S. Monday includes the Job Openings and Labor Turnover Survey for June at 10 a.m. ET.

Data also is expected this week on consumer prices, producer prices, jobless claims and consumer sentiment.

Earnings reports are expected Monday from AMC Entertainment  (AMC) - Get Free Report, BioNTech  (BNTX) - Get Free Report, Trade Desk  (TTD) - Get Free Report, Barrick Gold  (GOLD) - Get Free Report and Tyson Foods  (TSN) - Get Free Report.

Earnings will be issued later in the week from Coinbase Global  (COIN) - Get Free Report, Walt Disney  (DIS) - Get Free Report, fuboTV  (FUBO) - Get Free Report, Wendy's  (WEN) - Get Free Report, Lordstown Motors  (RIDE) - Get Free Report, NIO  (NIO) - Get Free Report, eBay  (EBAY) - Get Free Report, Bumble  (BMBL) - Get Free Report, Baidu  (BIDU) - Get Free Report, Airbnb  (ABNB) - Get Free Report, DoorDash  (DASH) - Get Free Report and ContextLogic  (WISH) - Get Free Report.

Top Earnings to Watch: Disney, eBay, Dish

3. -- Tesla Workers Will Have to Wear Masks as Nevada Battery Plant

Tesla  (TSLA) - Get Free Report has told workers at its battery factory in Nevada
they will be required to wear masks indoors starting Monday regardless of vaccination status.

Workers at the Reno-area facility previously had been required to wear a mask if they weren't vaccinated but could avoid that requirement if they were, people familiar with the matter told The Wall Street Journal

The electric vehicle company made the policy change because of the spread of the
delta variant of the virus and updated guidance from the Centers for Disease Control and Prevention.

Meanwhile, Jefferies boosted its rating on shares of Tesla to buy, and lifted its price target to $850 from $700. The firm cited accelerating earnings at Tesla and growing demand for electric vehicles for its higher rating.

Tesla shares rose 0.97% to $705.86 in premarket trading.

4. -- Sanderson Farms to Be Acquired for $4.5 Billion

Poultry giant Sanderson Farms  (SAFM) - Get Free Report confirmed it would be acquired by a Cargill and Continental Grain Co. joint venture in a deal valued at $4.53 billion. 

The Wall Street Journal was first to report that Sanderson Farms of Laurel, Miss., was in advanced talks with Cargill and agricultural-investment firm Continental Grain, which owns a smaller chicken processor.

Sanderson Farms will be acquired for $203 a share, about 30% above the price before the Journal reported in June that the company had attracted interest from suitors.

Shares of Sanderson Farms, the country's third-largest chicken producer, rose 8.32% to $197.55 in premarket trading Monday.

5. -- Cathie Wood's ARK Snaps Up Shares of Roku

Cathie Wood's ARK Invest purchased 48,880 shares of streaming media player Roku  (ROKU) - Get Free Report estimated to be worth more than $19 million, according to a trading update. 

Roku shares were rising 0.9% in premarket trading to $395 after tumbling nearly 3% on Friday. The company last week reported stronger-than-expected second-quarter earnings and revenue but fell short on active accounts and streaming hours and also noted higher hardware costs.

Streaming hours in the second quarter declined to 17.4 billion from 18.4 billion in the previous quarter.

ARK Invest also sold 127,800 shares of Square  (SQ) - Get Free Report. The stock rose more than 11% last week.