Here are five things you must know for Wednesday, Sept. 25:
1. -- Stock Futures Fall as Trump Impeachment Probe Rattles Markets
U.S. stock futures pointed lower on Wednesday while shares in Asia and Europe declined after Democrats in the U.S. House of Representatives said they would proceed with an "official" impeachment probe of Donald Trump.
Contracts tied to the Dow Jones Industrial Average fell 54 points, futures for the S&P 500 declined 7.45 points, and Nasdaq futures slumped 31 points.
The move by House Speaker Nancy Pelosi follows the Trump administration's refusal to release a whistleblower complaint about a phone call between the president and the leader of the Ukraine earlier this year. During the call, Trump is alleged to repeatedly have asked for an investigation of potential Democratic Party presidential candidate Joe Biden. Trump withheld aid to the Ukraine prior to the call.
"The actions taken to date by the president have seriously violated the constitution," Pelosi said in a prepared statement.
Trump accused China of failing to adopt promised reforms linked to its admission in the World Trade Organisation in 2001.
"China has embraced an economic model dependent on massive market barriers, heavy state subsidies, currency manipulation, product dumping, forced technology transfers and the theft of intellectual property and also trade secrets on a grand scale," Trump said in remarks that suggested trade negotiations, which began last week after a two-month hiatus, weren't progressing quickly toward an agreement.
The S&P 500 dropped 0.84% to 2,966.6, its biggest one-day slide since Aug. 23. The Dow finished down 142 points, or 0.53%, to 26,807. The Nasdaq fell 1.46%.
The economic calendar on Wednesday includes New Home Sales for August at 10 a.m. ET, and Oil Inventories for the week ended Sept. 20, at 10:30 a.m.
2. -- Nike Rises on Strong Earnings Beat, Growth in Asia
Nike (NKE - Get Report) rose 5.55% in premarket trading Wednesday to $92.02 after the apparel and footwear giant reported fiscal first-quarter earnings and revenue ahead of analysts' expectations and growth in Asia surprised investors.
For the quarter ended Aug. 31, Nike reported earnings of 86 cents a share vs. 67 cents in the year-earlier quarter. Analysts surveyed by FactSet were expecting 70 cents.
Revenue for the period was $10.66 billion, up 7% from a year earlier and ahead of forecasts of $10.44 billion.
Nike attributed the strong quarter to its investments in its digital strategy and direct-to-consumer business.
"Even amidst the increasingly volatile macroeconomic and geopolitical environment," Nike expects "strong, broad-based growth across our global portfolio," Chief Financial Officer Andy Campion said in a statement.
Nike reported 22% revenue growth in China to $1.68 billion, topping Wall Street expectations. Sales in the company's footwear business in China rose 27% to more than $1 billion.
Prior to the earnings release, there were concerns about the overhang from the trade war with China.
TheStreet's Jim Cramer wasn't worried, however, saying, "Nike's been a winner in China kind of like Starbucks. The ministry of sport likes Nike."
3. -- Amazon Expected to Unveil Health Wearables at Hardware Event
The expected wearable is a set of Alexa-enabled earbuds that are outfitted with built-in accelerometers, CNBC reported. The earbuds will be able to track distance, steps and calories burned, and are expected to be priced below $100. Although Amazon has made various inroads into healthcare - it said months ago that Alexa was HIPPA-compliant and also announced a handful of health-related Alexa skills - the new earbuds would be Amazon's first ever wearable health-tech device.
"Amazon entering into the wearable health tech space is a move that just makes sense: Alexa already has insight into the lifestyles we lead at home, and a wearable device could clue the company in to how those choices ultimately impact our overall health and wellness," said Michael Abrams of healthcare consulting firm Numerof & Associates.
"Amazon's 100 million-plus Prime subscribers give it a running head start on new product introductions," Abrams added.
Outside of the rumored wearable, Amazon is expected to deliver a number of new products that build upon its existing Alexa and Echo ecosystem.
Separately, Amazon said it bought technology startup INLT in a transaction that will help merchants on its online marketplace more easily import goods into the United States, Reuters reported.
INLT makes software for sellers to manage costs and customs clearance of cross-border shipments.
4. -- AT&T's Stankey Says There Are No Plans to Sell DirecTv
In an interview with The Wall Street Journal, Stankey said, "DirecTV is an important part of what we're going to be doing going forward."
Reports last week suggested that AT&T, which is currently being pressured to streamline its business and improve profitability by activist investor Elliott Management, is looking at ways in which it can divest itself of DirecTV from its broader portfolio.
Stankey said AT&T has studied its options for DirecTV as part of broader portfolio reviews. "We're constantly looking at the portfolio," he told the Journal. "That's the normal course of business and it's not unique to DirecTV."
5. -- Adam Neumann Steps Down as WeWork CEO
WeWork's parent company said embattled CEO Adam Neumann stepped down from the top role as the office-sharing giant tries to salvage its flailing initial public offering.
"As co-founder of WeWork, I am so proud of this team and the incredible company that we have built over the last decade," Neumann said in a statement announcing the move.
"While our business has never been stronger, in recent weeks, the scrutiny directed toward me has become a significant distraction, and I have decided that it is in the best interest of the company to step down as chief executive."
The Tel Aviv-born Neumann, 40, will stay on as parent We Co.'s non-executive chairman. We Chief Financial Officer Artie Minson, formerly of AOL and Time Warner Cable, and Sebastian Gunningham, a former executive at Amazon.com (AMZN - Get Report) , were named co-CEOs.
Neumann co-founded WeWork with Miguel McKelvey, who is the company's chief culture officer. Neumann said WeWork now operates in 111 cities in 29 countries.
Gunningham and Minson said in a joint statement that WeWork's "core business is strong, and we will be taking clear actions to balance WeWork's high growth, profitability and unique member experience."
They said the company will be "evaluating the optimal timing for an IPO."
Bloomberg reported that We must go public by year-end to ensure that it obtains a $6 billion debt financing. That financing in turn is conditioned on We completing a stock offering.