Register now for tomorrow's free trading Q&A on LinkedIn with crypto expert and trader John Divine!
DJIA Futures: -31 (-0.1%)
SPX Futures: -10 (-0.2%)
NASDAQ Futures: -33 (-0.2%)
Good morning friends!
Futures are slipping as the November rally pauses.
Let’s get right to it!
Futures are falling this morning after the major indexes all posted modest declines on Monday.
All three are still on track for strong monthly gains, the Dow is up 6.9% so far in November, the S&P 500 has risen 8.5%, and the Nasdaq has surged 10.8%.
Important economic data today includes the S&P Case-Shiller home price index, consumer confidence, and a slate of Fed speakers.
While stocks are slipping, yields are inching higher.
The 10-year yield is up 1 basis point at 4.40% while the 2-year yield is up 2 basis points at 4.87%.
Investors are looking ahead to the Fed’s preferred inflation gauge this week with the PCE price index set to be released Thursday morning.
Zscaler (ZS) shares are down 5.1% ahead of the open despite topping fiscal Q1 results and raising its guidance.
Here’s how the cloud security company’s results compared to analysts’ estimates:
Revenue jumped 40% year over year while billings rose 34% to $456.6 million vs $441 million expected.
Zscaler’s CEO said the company is “scaling our go-to-market and R&D organizations, strengthening our foundation for the long-term growth of our business,” in order to meet growing demand.
That implies higher costs and may be behind the drop in the stock.
Zscaler forecast fiscal Q2 adjusted EPS between $0.57 and $0.58 on revenue of $505 million to $507 million.
Analysts were anticipating guidance for $0.52 in adjusted EPS on $496 million in revenue.
Fast-fashion retailer Shein has confidentially filed to go public in the U.S.
CNBC reported on the filing this morning and says the Chinese-founded retailer was last valued at $66 billion.
It’s unclear what the company is currently valued at but sources say Shein could make its market debut as soon as 2024.
The company recently acquired about one-third of Sparc Group, partnering up with U.S. retailer Forever 21 as part of that deal.
Shein has reportedly tapped Goldman Sachs (GS), JPMorgan Chase (JPM), and Morgan Stanley (MS) to be the lead underwriters on the offering.