In This Article:
U.S. stock futures are higher as investors look forward to this week's interest rate decision; bitcoin (BTCUSD) pulls back after surpassing the $106,000 mark; Palantir Technologies (PLTR), MicroStrategy (MSTR) and Axon Enterprise (AXON) will be included in the Nasdaq 100; Broadcom (AVGO) stock rises further after the chipmaker's market cap reaches $1 trillion; and Super Micro Computer (SMCI) shares plummet on news the company will be removed from the Nasdaq 100 and that it is seeking to raise capital. Here's what investors need to know today.
1. US Stock Futures Point Higher to Begin Week
U.S. stock futures are higher as investors look ahead to this week's Federal Reserve interest-rate decision. Nasdaq futures are 0.4% higher as the index comes off its fourth straight week of gains. S&P 500 and Dow Jones Industrial Average futures are 0.2% higher after each fell last week. The Fed will announce an interest rate decision on Wednesday, with many investors and analysts anticipating that the central bank will again lower the federal funds rate. The yield on the 10-year Treasury note is lower, dipping below 4.4%. Crude futures are lower by nearly 1%, while gold futures are slightly higher.
2. Bitcoin Pulls Back After Hitting New Record High
Bitcoin (BTCUSD) is slightly lower, trading below $104,000, after the cryptocurrency hit a new record high of more than $160,000 over the weekend. Bitcoin, which first crossed the $100,000 mark earlier this month, has been surging on optimism over regulatory appointments in the upcoming Trump administration. Stocks associated with cryptocurrency also is performing well in early trading, with crypto exchange Coinbase (COIN) and bitcoin mining companies Riot Platforms (RIOT) and MARA Holdings (MARA) all higher.
3. Palantir Stock Retreats, MicroStrategy Shares Rise After Nasdaq 100 Inclusion
Palantir Technologies (PLTR) shares are pulling back slightly in premarket trading after Friday's announcement that the company would join the tech-focused Nasdaq 100 Index next Monday, Dec. 23. The recalibration follows Palantir's recent move from the Dow to the Nasdaq. Palantir's stock has soared nearly 350% since the start of the year, boosted by growing demand for the software maker's customizable artificial intelligence (AI) offerings. Shares of bitcoin buyer MicroStrategy (MSTR) and Axon Enterprise (AXON), who also were added to the index, are up about 3% and 1%, respectively.
4. Broadcom Stock Gains After Hitting All-Time High
Broadcom (AVGO) stock is up a further 3% in premarket trading after the chipmaker surged to a $1 trillion market capitalization with a 24% share gain Friday. On Thursday, Broadcom—whose stock price has doubled this year—reported that revenue from AI more than tripled this fiscal year to $12.2 billion. Broadcom is the ninth company to surpass the $1 trillion threshold and the second semiconductor maker, joining Nvidia (NVDA).