Updated 2 min read
US stock futures rose on Wednesday, poised to backtrack on a string of recent slumps as oil surged and investors continued to debate what the latest jobs data means for Federal Reserve policy and the US economy.
Contracts on the S&P 500 (ES=F) and on the tech-heavy Nasdaq 100 (NQ=F) moved up 0.4% and 0.5%, respectively. Dow Jones Industrial Average futures (YM=F) added 0.3%, after US stocks finished mixed in Tuesday’s session.
Also in focus, oil jumped about 2% after President Trump ordered a blockade of sanctioned tankers off Venezuela and with the US said to be readying fresh sanctions on Russia if it rebuffs a Ukraine peace plan. West Texas Intermediate (CL=F) futures climbed to above $56 a barrel, rebounding from the lowest level in almost five years, while Brent (BZ=F) traded just below $60.
After weeks in a data vacuum, Wall Street is trying to find a clear signal in a noisy November jobs report to pinpoint a path for interest rates next year. The data out Tuesday delivered a double surprise: a bigger number of jobs added last month than expected, alongside the highest unemployment rate since 2021. Wall Street is also waiting for the other data shoe to drop: Thursday’s update on consumer inflation in November.
Two key Fed members on Wednesday could offer clues on the path ahead, as the New York Fed’s John Williams and Fed governor Chris Waller are set to speak at separate appearances. Waller is also reportedly interviewing with Trump on Wednesday as the president moves closer to choosing his replacement for Chair Jerome Powell.
At the same time, investors’ appetite for tech stocks remains in focus as questions about the AI trade persist. Micron Technology’s (MU) quarterly results are due after the bell on Wednesday and are in higher focus as those worries ripple through the sector, even as the US semiconductor maker gets a boost from the memory chip squeeze.
Tesla (TSLA) has boosted the mood for techs in recent sessions. On Tuesday, it notched its first record close in about a year, amid growing investor enthusiasm over its robotaxi ambitions.
Elsewhere in corporates, Netflix (NFLX) stock rose after Warner Bros. Discovery’s (WBD) board called on shareholders to reject a rival bid from Paramount Skydance (PSKY), questioning funding guarantees.
LIVE 8 updates
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America’s biggest banks are ending 2025 on top with big growth goals and markets ‘wide open’
Bank of America (BAC), JPMorgan Chase (JPM), Wells Fargo (WFC), and Citigroup (C) are setting ambitious plans for growth in 2026 as they wrap up an upbeat 2025.
Yahoo Finance’s David Hollerith reports:
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Warner Bros Discovery board urges shareholders to reject rival bid from Paramount
The contest for Warner Bros. Discovery (WBD) took a fresh twist as the Hollywood giant’s board urged shareholders to reject Paramount Skydance’s (PSKY) $108.4 billion offer, saying it was “inferior” to the current merger deal with Netflix (NFLX).
Shares of WBD and Paramount traded 1.6% and 1.8% lower, respectively, while Netflix stock rose 1.3% before the bell.
Reuters reports:
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Tesla’s Robotaxi progress gives investors proof of the AI dream
Yahoo Finance’s Hamza Shaban reports:
Read more here in the takeaway from today’s Morning Brief.
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Good morning. Here’s what’s happening today.
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Amazon said to be in talks to invest about $10 billion in OpenAI
Shares in Amazon (AMZN) ticked up in premarket after Reuters reported that it is eyeing a $10 billion investment in OpenAI (OPAI.PVT), citing a source familiar with the matter.
The potential deal, which could value the ChatGPT maker at over $500 billion, comes as some on Wall Street question the circularity of investments in AI providers and Big Tech.
Reuters reports:
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Premarket trending tickers: Lennar, Brent futures and Micron
Homebuilder Lennar (LEN) stock fell more than 3% before the bell on Wednesday after reporting a drop in its fourth quarter profit. The housing market has been very precarious over the last 12 months, as consumers have continued to be hindered by affordability concerns.
Brent crude futures (BZ=F) rose 2% and traded just below $60 a barrel on Wednesday after Present Trump ramped up pressure on Venezuela by ordering a blockade of sanctioned tankers.
Micron (MU) stock rose 3% before the bell on Wednesday. The chipmaker is due to report its first quarter financial report after the bell today.
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Oil gains after Trump orders blockade of tankers off Venezuela
Bloomberg reports:
Oil advanced from the lowest level since 2021 after President Donald Trump ramped up pressure on Venezuela by ordering a blockade of sanctioned tankers off the South American nation.
Brent (BZ=F) climbed toward $60 a barrel after losing more than 5% over the previous four sessions on concerns over a swelling global glut. West Texas Intermediate (CL=F) was near $56. Trump said he was ordering a blockade of crude carriers going into and leaving Venezuela, according to a social media post on Tuesday.
The move is a major escalation and follows the seizure of an oil tanker last week by US forces off Venezuela. The regime of President Nicolas Maduro said the latest action was intended to steal the country’s resources.
… The move is a major escalation and follows the seizure of an oil tanker last week by US forces off Venezuela. The regime of President Nicolas Maduro said the latest action was intended to steal the country’s resources.
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Bitcoin fatigue sets in as it heads for fourth annual loss
Bloomberg reports:
Bitcoin (BTC-USD) is headed for the fourth annual decline in its history, and the first one that didn’t coincide with a major scandal or industry meltdown.
The latest leg down came Monday, with a sharp sell-off that sent the original cryptocurrency falling as much as 3.7% during New York hours. Bitcoin is now about 7% lower for the year. It was trading at about $87,100 at noon in Singapore on Wednesday.
While the latest decline is a much milder correction than in the previous three down years, it’s happened against a vastly different backdrop. Since the last major crypto crash in 2022, institutional adoption has widened, regulation has matured, and the industry has found its arguably most important champion in US President Donald Trump.
The rapid lurch lower since bitcoin hit a record of over $126,000 in early October has confounded bulls and left cryptoassets struggling to find a footing. Volumes are low, investors are bailing on bitcoin ETFs and derivatives markets are showing a lack of appetite for betting on a rebound. Even massive buying from the dominant bitcoin whale — Michael Saylor’s Strategy Inc. (MSTR) — hasn’t been enough to turn things around.
“Most are surprised by the lack of follow-through despite so many positive catalysts,” said Pratik Kala, a portfolio manager at hedge fund Apollo Crypto.
