Here are five things you must know for Thursday, Dec. 6:
1. -- Stocks Slide as Arrest of Huawei Executive Muddles U.S.-China Trade Truce
U.S. stock futures were falling significantly on Thursday, Dec. 6, and global stocks slumped following the arrest of a high-level Chinese business executive in Canada that threatens to unravel the trade truce between Washington and Beijing.
Meng Wanzhou, the chief financial officer of China's Huawei Technologies Co. and the daughter of the company's founder, was detained in Vancouver on Dec. 1, and faces extradition to the United States amid reported allegations that she assisted the world's second-largest smartphone maker in evading U.S. sanctions on Iran.
News of the arrest, which only came to light late Wednesday, sent U.S. futures sharply lower and pulled stocks in Asia in Europe down as investors worried of reprisals from Beijing and the potential collapse of the uneasy truce between Donald Trump and Chinese President Xi Jinping.
"At the request of the U.S. side, the Canadian side arrested a Chinese citizen not violating any American or Canadian law. The Chinese side firmly opposes and strongly protests over such kind of actions which seriously harmed the human rights of the victim," said the Chinese embassy in Canada in a statement. " The Chinese side has lodged stern representations with the U.S. and Canadian side, and urged them to immediately correct the wrongdoing and restore the personal freedom of Ms. Meng Wanzhou. We will closely follow the development of the issue and take all measures to resolutely protect the legitimate rights and interests of Chinese citizens."
Contracts tied to the Dow Jones Industrial Average plunged 391 points, futures for the S&P 500 declined 40.75 points, and Nasdaq futures tumbled 135.75 points. Chipmakers linked to Huawei were sliding Thursday and smartphone rivals such as Apple Inc. (AAPL - Get Report) face the prospect of consumer boycotts or restrictions should authorities in China choose to react.
2. -- ADP Jobs Report and Kroger Earnings Highlight Thursday's Calendar
The economic calendar in the U.S. on Thursday includes the ADP National Employment Report for November at 8:15 a.m. ET, International Trade for October at 8:30 a.m., weekly Jobless Claims at 8:30 a.m., Productivity and Costs for the third quarter at 8:30 a.m., Factory Orders for October at 10 a.m., and the ISM Non-Manufacturing Index for November at 10 a.m.
Earnings reports are expected Thursday from Broadcom Inc. (AVGO - Get Report) , Kroger Co. (KR - Get Report) , American Outdoor Brands Corp. (AOBC - Get Report) , Signet Jewelers Ltd. (SIG - Get Report) , Ulta Beauty Inc. (ULTA - Get Report) and Lululemon Athletica Inc. (LULU - Get Report) .
3. -- Tesla Seeks Bids to Build Gigafactory in China
Tesla Inc. (TSLA - Get Report) has opened a tender process to build its Shanghai Gigafactory and at least one contractor has started buying materials, Reuters reported, citing sources and documents that it reviewed.
The $2 billion factory would be the electric vehicle company's first in China, the world's biggest auto market.
The so-called Gigafactory also would be China's first wholly foreign-owned car plant, Reuters reported, a clear sign that China has been opening up its markets.
Tesla has begun seeking bids from companies looking to build the plant, Reuters reported, citing two people with knowledge of the matter and a construction document on an official local bidding platform.
Tesla shares were down 0.7% in premarket trading on Friday.
4. -- Facebook Says It 'Never Sold People's Data'
Internal Facebook Inc. (FB - Get Report) documents released by a U.K. parliamentary committee offer the clearest evidence yet that the social media giant used its wealth of user data as a competitive weapon, the Associated Press reported.
Parliament's media committee accused Facebook on Wednesday of cutting special deals with some app developers to give them more access to data, while turning back others it viewed as potential rivals.
In other documents, Facebook executives discussed how they were keeping the company's collection and exploitation of user data from its users. That included collecting the call records and text messages of users of phones that run on Google's Android operating system without asking their permission, according to the AP.
Facebook called the documents misleading and said the information they contain was "only part of the story."
"Like any business, we had many internal conversations about the various ways we could build a sustainable business model for our platform," Facebook said in a statement. "But the facts are clear: We've never sold people's data."
Shares declined 2.8% in premarket trading on Thursday.
5. -- Lam Research CEO Resigns Amid Allegations of 'Misconduct'
Lam Research Corp. (LRCX - Get Report) said Martin Anstice, CEO of the semiconductor company, resigned Wednesday amid allegations of "misconduct in the workplace and conduct inconsistent with the company's core values."
The company replaced Anstice with President and Chief Operating Officer Tim Archer.
Lam Research said in a statement that Anstice's "alleged conduct did not involve financial misconduct, nor did it relate to questions regarding the integrity of the company's financial systems or controls."
The company said upon learning of the allegations its board formed a committee of independent directors and retained an outside law firm to assist with the investigation.
Anstice, Lam Research said, won't be receiving any severance benefits.
The stock fell 2.9% in premarket trading.