Here are five things you must know for Monday, March 8:
1. -- Nasdaq Futures Fall Sharply, Oil Prices Steady
Stock futures fell Monday with Nasdaq futures sinking sharply as investors continue to question lofty valuations of high-flying tech stocks.
Oil prices steadied after a Saudi oil terminal was attacked over the weekend.
Contracts linked to the Dow Jones Industrial Average fell 10 points, S&P 500 futures declined 20 points and futures for the tech-heavy Nasdaq dropped 180 points.
Rising bond yields, which have dominated market attention the past few weeks, have been hitting tech shares the hardest since the high-growth stocks can be more vulnerable to inflation pressures.
The yield on the benchmark 10-year Treasury traded at 1.594% early Monday, just below one-year highs, after the Senate passed Joe Biden's $1.9 trillion coronavirus relief package on Saturday.
Brent crude, the global benchmark, traded above $70 a barrel for the first time since January 2020 after Saudi Arabia said its oil infrastructure came under missile and drone attack from Iran-backed Houthi rebels. Saudi Arabia said the attacks were intercepted and oil output appeared to be unaffected, according to reports from Bloomberg and others.
U.S. crude touched its highest prices in more than two years. At last check, West Texas Intermediate crude was up 0.29% at $66.28 barrel.
Stocks rose broadly Friday in a rally that ended Wall Street's three-day losing streak as tech shares rebounded and Treasury yields stabilized. The S&P 500 rose 0.8% last week, its first weekly gain in three weeks, following a better-than-expected U.S. jobs report.
2. -- GE's Aircraft-Leasing Unit Reportedly Near Deal to Merge With AerCap
An announcement is expected Monday, The Wall Street Journal reported, citing people familiar with the matter.
The deal would merge the world’s two biggest aircraft financiers during a tough time for the aviation business, which has been hit hard by the coronavirus pandemic.
The GE unit, known as GE Capital Aviation Services, or Gecas, is the biggest remaining piece of GE Capital, a lending business that GE has been stepping back from. A deal for Gecas, the Journal noted, would represent another big move in that direction.
Gecas leases passenger aircraft made by Boeing (BA) - Get Report and Airbus as well as regional jets and cargo planes to customers ranging from flagship airlines to startups. Gecas had $35.86 billion in assets as of Dec. 31, according to the Journal. It has more than 1,600 aircraft owned or on order.
AerCap's market value is about $6.5 billion.
GE shares were rising 2.5% to $13.94 in premarket trading. AerCap gained 10.63% to $56.20.
3. -- Monday's Calendar: XPeng and Stitch Fix Earnings
Reports will be issued later this week by Dick's Sporting Goods (DKS) - Get Report, Oracle (ORCL) - Get Report, Campbell Soup (CPB) - Get Report, Cloudera (CLDR) - Get Report, JD.com (JD) - Get Report and DocuSign (DOCU) - Get Report.
The U.S. economic calendar for Monday includes Wholesale Inventories for January at 10 a.m. ET.
Data will be released later in the week on consumer prices for February, producer prices, jobless claims and consumer sentiment.
4. -- Tesla Extends Sharp Slide
Tesla has fallen more than 23% the past two weeks following a drop of nearly 4% on Friday as interest rates have risen and bitcoin prices have tumbled.
In premarket trading Monday, the stock was down 2.47% to $583.17. Tesla closed at a record high of $883.09 on Jan. 26, a day before benchmark 10-year Treasury yields began a steep ascent amid accelerating inflation forecasts and improving economic growth prospects.
5. -- It's 'Inevitable' Bitcoin Will Reach $100,000, Says Expert
Bitcoin was rising Monday to $50,061, up 2.06%.
TheStreet conducted an interview with Dave Balter, the chief executive of Flipside Crypto, which provides analytics and business intelligence to crypto organizations and pens a regular column in TheStreet.
A few of his takeaways: Bitcoin likely won't ever see $10,000 again. "That era is long gone," Balter said.
"But will it see $30,000 again? It could happen. Just as $100,000 is inevitable - it’s all a matter of time, Balter said.
More of TheStreet's interview with Balter can be found here: