Friday's trading: 5 Things to know
Traders will be keeping an eye on the latest consumer price index for the latest on inflation
C3 Solutions VP of Public Policy Nick Loris discusses how Americans are dealing with record-high gas prices.
Here are the key events taking place on Friday that could impact trading.
INFLATION WATCH: The Bureau of Labor Statistics is expected to say the consumer price index rose 0.7% month-over-month in May. That’s up from a 0.3% increase in April. On a year-over-year basis watch for prices to jump 8.3% in May, unchanged from April’s rise. If you factor out volatile food and energy costs, the core consumer price index is anticipated to rise 0.5% for the month.
INFLATION LIKELY REMAINED SCORCHING HOT IN MAY
A shopper selects produce at the Reading Terminal Market in Philadelphia. (AP Photo/Matt Rourke / AP Newsroom)
DOCUSIGN INC.: Shares of the e-signature software developer were down 24% in premarket trading after growth slowed in the first quarter. The company also announced it is scaling back its hiring plans, according to the Wall Street Journal. DocuSign widened its loss to $27.4 million from $8.4 million. Adjusted earnings were 38 cents a share. Analysts polled by FactSet expected 46 cents a share.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| DOCU | DOCUSIGN INC. | 69.85 | -1.26 | -1.77% |
STITCH FIX: Shares of the online personalized styling service firm plunged 16% after hours. The company is cutting around 15% of salaried positions as part of a plan to return to profitability. The layoffs come to around 330 positions. The company forecasted net revenue for the fourth quarter that is short of estimates.
STITCH FIX CUTS JOBS, REVENUE FORECAST MISS SENDS SHARES PLUNGING
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| SFIX | STITCH FIX INC. | 3.37 | +0.12 | +3.69% |
OIL RISES: Oil prices rose on Friday, remaining near three-month highs even as new COVID-19 lockdown measures took effect in Shanghai. U.S. West Texas Intermediate crude traded around $121, after dropping 0.5% on Thursday. WTI was set for a seventh straight weekly increase.
Oil drill outstanding in its field. (iStock)
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CREDIT-CARD BORROWING: Big U.S. banks could get an earnings boost from a pick-up in the battered credit-card business. Balances on credit card and similar loans are up 15%, as of May 25, from a year earlier, according to Federal Reserve data and reported by Reuters. Cardholders are reportedly allowing more of those balances to revolve and incur interest charges instead of paying them off.