U.S. Stock Futures Rise as Wall Street Rebounds, PLTR Stock Pops
Elevate Your Investing Strategy:
Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
In after-hours trading, Palantir (PLTR) stock surged over 3% after announcing quarterly revenue exceeding $1 billion for the first time. On the other hand, Hims & Hers Health (HIMS) stock dropped more than 12% following a Q2 revenue report that fell short of consensus estimates.
In Monday's regular trading session, the S&P 500 staged a rebound, jumping about 1.5% and ending a four-day losing streak. The Nasdaq Composite also saw a strong gain of nearly 2%, while the Dow Jones climbed 1.3%. At the same time, the small-cap Russell 2000 jumped over 2%.
Looking ahead, investors are focused on a new round of corporate earnings reports on Tuesday, with major companies like Pfizer (PFE), Yum! Brands (YUM), Snap (SNAP), Advanced Micro Devices (AMD), and Rivian (RIVN). Key economic reports such as trade deficit and Services Purchasing Managers Index are also due on Tuesday morning.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CNBC
28 minutes ago
- CNBC
Jim Cramer looks at what's behind Palantir's stock surge
'Mad Money' host Jim Cramer is taking a look at Palantir's stock as the tech company shares surge.
Miami Herald
44 minutes ago
- Miami Herald
Veteran fund manager sends urgent 9-word message on stocks
The stock market has had a rally for the ages since President Donald Trump backed off some tariffs in early April, clearing the way for trade negotiations with major trading partners. The S&P 500 marched over 25% higher since hitting a tariff-fueled low on April 8; however, cracks in the U.S. economy are forming even as President Trump's tariff pause has expired, unleashing a new wave of inflation-unfriendly import taxes. Don't miss the move: Subscribe to TheStreet's free daily newsletter Weakening employment data and arguably sticky inflation isn't a great recipe for stock market gains, and it doesn't help that August is historically a tricky month for markets. The dynamic has increased investor anxiety, causing a sharp and fast 3% dip late last week. The potential for additional losses has Doug Kass's attention. Kass is a veteran hedge fund manager with 50 years of experience, including a stint as research director for Leon Cooperman's Omega Advisors. On August 5, he sent a blunt message to investors that's likely to turn some heads. The stock market's gravity-defying gains have rewarded many investors who took advantage of stocks becoming deeply oversold this spring, including Kass. A self-described contrarian with a calculator, he correctly called the selloff overdone in early April before its big move higher. Related: Major analyst sends blunt 3-word message to investors Nowadays, he's less impressed, saying that the downside risk dwarfs the upside reward, particularly given what he sees as lackluster earnings outside of high-tech. "Non tech Q2 earnings were poor - as was forward guidance," wrote Kass on X. "The rate of growth in economy and corporate profits (ex AI) are rolling over. Market participants are worshipping at the altar of price momentum, speculating in meme stocks and riding the wave of large-cap tech equities." Just as Kass was bullish on stocks in April when everyone else was bearish, now he's turned bearish when everyone is seemingly bullish. According to Bank of America, "all major client groups bought equities last week, led by institutions," resulting in the first stock market inflows in six weeks. Fund manager buys and sells Veteran fund manager who forecast Nvidia stock rally reboots outlookStocks & Markets Podcast: Small Caps & Your Portfolio With Thomas BrowneLegendary fund manager reveals new trades after S&P 500 rally "Bull Markets Die Hard, so I don't anticipate a straight-down correction," wrote Kass in a pre-market post on TheStreet Pro on August 4. "Rather, I am expecting a jagged move lower in the weeks and months ahead. I will be reshorting strength. Friday was likely the first shot across the bow." And strength is what Kass got. After the 3% dip in the S&P 500 and Nasdaq caused by worrisome inflation and jobs data last week, the indexes rallied on August 4, adding 1.5% and 1.9%, respectively. Related: Fed official sends warning on 'two-speed' economy The bounce gave Kass the "reshorting" opportunity he mentioned. As a result, he delivered an urgent message, saying he is "back to my largest net short exposure since January." Kass is picking and choosing, and while net short, he still owns stocks, suggesting his shorting stocks is simply managing risk to control his downside if stocks do roll over. Among the stocks he's shorting are technology bellwethers he believes have run too fast, too far, and thus, might be due for a short-term retreat, including Nvidia, Palantir, and Tesla. "The investing world almost universally believes it has discovered a new god in artificial intelligence and machine learning," said Kass. "AI infrastructure CAPEX is already 20% higher as a % of GDP than what was spent on telecom and internet infrastructure at the peak of the dot com boom." Kass doesn't think that's sustainable, leading him to take "trading short rentals" on Nvidia (NVDA) and Palantir. Nvidia, the AI-chip Goliath, is up 70% in the past 12 months, including 57% in the past three months. The company's shares have recently moved higher on optimism over rising capital expenditure budgets at major hyperscalers, including Microsoft and Meta Platforms. Meanwhile, Palantir's (PLTR) shares have skyrocketed on optimism surrounding its AI software platform, gaining 128% in the past year, and 58% in the past three months, including a sharp post-earnings rally this week. He is also short Tesla, which has been mired in a sales slump since CEO Elon Musk supported President Trump's reelection bid and took a role in the administration earlier this year at the newly created Department of Government Efficiency. Musk has since stepped down from that role, but Tesla's sales haven't recovered yet. In Q2, Tesla's revenue fell 12% year over year to $22.5 billion. "Current valuations are a poor launching pad for future investment returns," said Kass. Todd Campbell is long Nvidia, Palantir, and Tesla shares. Related: Major Wall Street analyst revamps S&P 500 target amid tumble The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
CNBC
an hour ago
- CNBC
Asia markets set to open lower, tracking Wall Street losses
Asia-Pacific markets are expected to open lower, tracking losses on Wall Street as investors weighed weaker-than-expected economic data as well as fresh tariff comments from U.S. President Donald Trump. "We're going to be announcing [tariffs] on semiconductors and chips, which is a separate category, because we want them made in the United States," Trump said on Tuesday stateside, adding that he'll announce the new plan "within the next week or so." Happy Wednesday from Singapore. Asia markets are poised for a lower open. Australia's S&P/ASX 200 was set to start the day lower with futures tied to the benchmark at 8,739, compared with its last close of 8,770.4. Japan's benchmark Nikkei 225 was set to open higher, with the futures contract in Osaka last traded at 40,555 against the index's last close of 40,549.54. Futures for Hong Kong's Hang Seng Index stood at 24,812, pointing to a weaker open compared with the HSI's last close of 24,902.53. — Lee Ying Shan The three leading U.S. indexes finished lower Tuesday. The S&P 500 fell 0.49%, closing at 6,299.19, while the Nasdaq Composite slid 0.65% to end at 20,916.55. The Dow Jones Industrial Average moved 61.90 points lower, or 0.14%, to settle at 44,111.74. — Sean Conlon U.S. President Donald Trump speaks to reporters near Air Force One at the the Lehigh Valley International Airport on August 03, 2025 in Allentown, Pennsylvania. Anna Moneymaker | Getty Images President Donald Trump spoke with "Squawk Box" in a wide-ranging conversation. Here are some of the highlights: On semiconductors, Trump said his administration is going to announce new tariffs "within the next week or so." "We're going to be announcing on semiconductors and chips, which is a separate category, because we want them made in the United States," he said during the interview. When it comes to his planned pharmaceutical tariffs, Trump said that the levies could eventually reach up to 250%. That's the highest tariff rate he's threatened to date. The president also revealed in the interview that he's considering four candidates for future Federal Reserve chair, which does not include Treasury Secretary Scott Bessent. "Well, I love Scott, but he wants to stay where he is," Trump said. — Kevin Breuninger, Annika Kim Constantino, Jeff Cox, Sean Conlon
