5 things to know before the stock market opens on Thursday

Here are the most important news, trends and analysis that investors need to start their trading day:

The highest 1st floor futures on Wall Street appear to be breaking losing streaks

Traders work on the floor of the New York Stock Exchange (NYSE) on May 18, 2022 in New York City.

Spencer Platt | Getty Images

US stock futures rose Thursday morning after the semiconductor giant’s key earnings report was released Nvidia. All three major equity indices are looking to break through a long string of weekly downs and are ready to do so before entering Thursday’s session. the Industrial average of the Dow Jonesup 2.8% for the week, it is in the midst of its first eight-week losing streak since 1923. The S&P 500 and heavy technical Nasdaq composite both had seven consecutive weeks of defeats. These indices have increased by 1.98% and 0.7% respectively since the beginning of the week. Shares rose Wednesday, led by the Nasdaq’s 1.5% rise.

In the bond market, the yield on the 10-year reference Treasury bond Thursday morning it stood at around 2.756%, recording a slight increase of 1 basis point. Yields move against prices. One basis point equals 0.01%. The muted move in Treasury yields comes after the minutes of the Federal Reserve’s May meeting were released on Wednesday.

2. Nvidia shares fall on a light guide; The snowflake also slips

Jensen Huang, president and CEO of Nvidia, speaks at the company’s event at the Consumer Electronics Show 2019 in Las Vegas on January 6, 2019.

David Paul Morris | Bloomberg | Getty Images

Shares of Nvidia fell more than 4% in pre-market trading the next day the California-based semiconductor company issued lighter-than-expected guidance for the current quarter. CFO Colette Kress also indicated that Nvidia intends to slow down the pace of hiring and control spending in the face of a challenging macro environment. In its fiscal first quarter results, Nvidia reported earnings per share of $ 1.36 and revenue of $ 8.29 billion, exceeding Wall Street expectations for both metrics. Investors were anticipating Nvidia’s results as they searched for clues about the strength of the tech sector amid fears of a broader economic slowdown; semiconductors have historically been a cyclical industry. Shares of Nvidia are down about 42% year-to-date and more than 50% from their November high.

Frank Slootman, CEO of Snowflake Inc. on September 16, 2020.

CNBC

snowflakes stocks fell over 14% in pre-market trading the next morning the maker of the data analysis software has released earnings and guidelines. Wall Street didn’t expect Snowflake to say it expects an adjusted operating margin of -2% for its current quarter, which could contribute to the stock’s fall. Analysts interviewed by StreetAccount had expected an adjusted margin of 0.3%. Snowflake shares fell more than 65% from their November highs, demonstrating the market’s pull away from fast-growing, money-losing companies as the Fed indicated a tighter policy was on the way.

3. Macy’s beats on earnings and sales, increases profit prospects

On Tuesday, November 17, 2020, a pedestrian carries a Macy’s Inc.-branded shopping bag outside the company’s flagship store in the Herald Square area of ​​New York, United States.

Victor J Blue | Bloomberg | Getty Images

by Macy Thursday raised its full-year earnings guide, after reporting first-quarter fiscal earnings and sales that beat Wall Street forecasts. Shares in the department store chain rose about 15% in the premarket. In its fiscal first quarter, Macy’s earned $ 1.08 adjusted per share on revenue of $ 5.35 billion; Analysts interviewed by Refinitiv had expected earnings per share of 82 cents on sales of $ 5.33 billion. Macy’s is the latest retailer to report this earnings season, which has been a mixed bag for the industry. Companies like Target Other Abercrombie & Fitch they disappointed investors, while north current Other Williams Sonoma they exceeded expectations.

4. Apple will increase pay for corporate and retail employees

Apple plans to increase pay for both retail and corporate workers by the end of the year, the iPhone maker said late Wednesday. Other tech giants like Microsoft and Google’s parent company Alphabet have recently changed pay structures as companies compete to retain talent in a historically tight US job market. Workers are also faced with the hottest inflation in the United States since the early 1980s. As part of its announcement on Wednesday, Apple said its starting salary for retail employees in the United States will become $ 22 an hour, compared to $ 20; the initial pay in stores in some areas will be higher than that. The rise in retail wages comes as workers at some Apple stores across the country embarked on unionization efforts.

5. Broadcom says it plans to buy VMware in a $ 61 billion deal

In this photo illustration, the VMware logo is displayed on a smartphone screen.

Rafael Henrique | Sopa Images | Light rocket | Getty Images

Broadcom intends to buy Vmware in one of the largest technology acquisitions in history, the companies announced Thursday morning. The cash and stock transaction is valued at around $ 61 billion, based on where Broadcom shares ended the session on Wednesday, at $ 531.63. The planned deal helps Broadcom further diversify its traditional semiconductor design and sales business into the higher-margin enterprise software world. Broadcom, which made multi-billion dollar acquisitions in 2018 and 2019, expects the VMWare deal to close in its fiscal year 2023; the company is currently in its third quarter of 2022.

Editor’s Note: CNBC’s “Five Things You Should Know” is out on Friday.

subscribe now for the CNBC Investing Club to follow Jim Cramer’s every stock move. Follow the broader market action like a pro CNBC Pro.