Stock futures are pointing higher on Friday as Wall Street awaits the release of a fresh measure of U.S. inflation and investors close out the worst month of the year for equities. Nike (NKE) stock surged 8.2% in premarket trading after the athletic apparel company reported fiscal first-quarter profit that beat analysts’ estimates. Nike also provided positive guidance for its second quarter and reaffirmed its fiscal-year outlook, leading to an increase in shares of other athletic footwear and accessory companies.
Foot Locker (FL) was up 3%, Under Armour (UAA) rose 1.5%, and On Holding (ONON) jumped 3.7% in response to Nike’s strong performance. Tesla (TSLA) was also rising 1.6% in premarket trading despite being sued by the Equal Employment Opportunity Commission, which alleged racial harassment and a hostile work environment for black employees at its Fremont, California plant. However, analysts at Citi reduced their quarterly sales estimate for Tesla to 450,000 vehicles.
Meanwhile, Ford (F) rose 0.5%, General Motors (GM) was up 0.6%, and Stellantis (STLA) gained 0.5% as a strike deadline looms for the auto makers. The United Auto Workers announced that more workers would go on strike if progress wasn’t made in talks with the companies. Investors are awaiting an update from UAW President Shawn Fain at 10 a.m. Eastern on Friday.
Nvidia (NVDA) saw a 1.1% increase in premarket trading after a challenging September. Shares of the semiconductor maker, known for its leadership in chips related to artificial intelligence, reached a peak in August but have since tumbled. PTC Therapeutics (PTCT), a biopharmaceutical company, announced it has cut 25% of its workforce as part of efforts to reduce operating expenses. BlackBerry (BB) reported a second-quarter loss that was narrower than expected, but missed revenue forecasts.
In other news, Vail Resorts (MTN) reported a wider fiscal fourth-quarter loss compared to the previous year due to weather-related challenges. However, the ski-resort company expects growth in fiscal 2024 relative to fiscal 2023. Carnival (CCL), the cruise operator, is set to report fiscal third-quarter earnings on Friday, and its shares rose 2.4% ahead of the announcement.
Overall, the market is showing signs of optimism as various companies report positive earnings and guidance, despite ongoing challenges and lawsuits faced by some companies. Investors will be closely monitoring the release of U.S. inflation data and the outcome of the auto makers’ labor negotiations for further insights into the market’s direction.