Stocks were on track to slip lower on Monday, pausing after a rally driven by optimism that the Federal Reserve could cut interest rates multiple times next year.
Economic indicators are in focus, with U.S. factory orders for October due Monday—but the spotlight falls on Friday, when the closely watched U.S. jobs report for November will be released. Investors want to see signs that inflation and growth are waning sufficiently to encourage the Fed to cut rates—but not waning so much as to prompt broader concerns over the health of the economy.
Here are stocks making moves:
Uber,
the ride-hailing app, and
Jabil,
the electronics manufacturer, were both gaining after S&P Global said the stocks were among the group being cycled into the benchmark
S&P 500
index. Inclusion in the S&P 500 can be supportive of stocks because many investors buy funds that track components of the index.
Uber
shares advanced 4.2% in premarket trading with
Jabil
stock up 3.2%.
Shares in
Coinbase Global
jumped 7% amid a rally in the price of
Bitcoin,
which surged 6% over the past 24 hours to hit 20-month highs. The cryptocurrency broker often trades in step with the largest digital asset, with signs of increasing investor interest in cryptos also supportive of the company’s core trading business.
Bitcoin miners, which have wider profit margins when token prices rise, also gained, with
Marathon Digital
up 12% and
Riot Platforms
10% higher.
Spotify
stock was up 1.8% after the audio media streaming company said it was laying off 17% of staff, or about 1,500 jobs, in its third round of job cuts this year. Shares in Spotify have more than doubled this year, but continued layoffs may be a sign that management is growing increasingly worried about future profits after rapid expansion.
Alaska Air
tumbled 11% after it agreed to buy Hawaiian Airlines, a rival for travel in the Pacific region.
Hawaiian Holdings
gained 180% in a blistering premarket move, reflective of the deal price of $18 a share, a hefty premium to the stock’s closing price of $4.86 on Friday.
The cash transaction, which Alaska said would expand it as the fifth-largest U.S. airline, is worth $1.9 billion, including some $900 million of Hawaiian’s debt.
Write to Jack Denton at jack.denton@barrons.com
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