5 things to know before the stock market opens Monday, Nov. 8
Table of Contents
Here are the most important news, trends and analysis that investors need to start their trading day:
1. Dow futures higher after more Wall Street records Friday
Traders on the floor of the NYSE
The Dow is set to start the week where it left off. The 30-stock average closed at another record Friday and so did the S&P 500 and the Nasdaq, following a better-than-expected October jobs report. All three benchmarks saw solid gains in the first week of November. Stocks in premarket trading got a boost from the House late Friday passing an over $1 trillion infrastructure bill, sending the legislation to President Joe Biden for his signature. House Democrats entered Friday planning to pass both the infrastructure legislation and the party’s $1.75 trillion social safety net and climate package. A demand from a handful of centrists to see a Congressional Budget Office estimate of the bigger bill’s budgetary effects delayed its approval.
2. Ether hits a record as bitcoin inches toward its all-time high
In 2021, bitcoin and ether have seen huge rallies. In April 2021, the cryptocurrency market topped $2 trillion in value for the first time.
Jaap Arriens | NurPhoto | Getty Images
Ether, the world’s second-largest digital coin, surged more than 4% in 24 hours Monday to hit a new all-time high above $4,700. Bitcoin, the biggest crypto, climbed 5% to $66,250, inching back toward its record high above $66,900, set in late October. The reason for the move wasn’t clear. Cryptocurrencies are known for their volatile price swings, with moves of up to 20% higher or lower relatively common. Ethereum, the blockchain that ether runs on, is undergoing a major upgrade, which investors hope will make the network faster and more environmentally friendly.
3. Tesla slides 5% after Musk proposes sale of 10% of his stock
Elon Musk, Tesla CEO, stands in the foundry of the Tesla Gigafactory during a press event.
Patrick Pleul | picture alliance | Getty Images
Shares of Tesla — more than 70% higher year to date and nearly 180% in the past 12 months — sank 5% in Monday’s premarket. Tesla’s stock market value would still be worth well over $1 trillion if the stock were to open around where it is in the premarket. In a Twitter poll Saturday, Tesla CEO Elon Musk proposed selling 10% of his stock in the electric auto maker.
More than 3.5 million people responded and nearly 58% of them voted for “Yes.” Musk said he would “abide by the results of this poll, whichever way it goes.” However, facing a $15 billion tax bill in the coming months on stock options, a Musk sale of Tesla stock this year was probably likely regardless of the Twitter vote.
4. Regeneron’s Covid antibody therapy shows long-term protection
Regeneron Pharmaceuticals said Monday a single dose of its antibody cocktail in a late-stage trial reduced the risk of contracting Covid by 81.6%, in the two-to eight-month period after the administration. During the eight-month assessment period, there were zero Covid hospitalizations in the drug group and six in the placebo group. Shares of Regeneron rose about 2% in premarket trading.
Surgeon General Vivek Murthy told ABC’s “This Week” on Sunday the Biden administration is ready to defend its “appropriate and necessary” Covid vaccine and testing requirement for private businesses. A federal appeals court Saturday temporarily blocked the upcoming mandate. The White House has until Monday evening to respond.
The U.S. lifted restrictions Monday on travel from a long list of countries including Mexico, Canada and most of Europe. Travelers must show proof of vaccination and a negative Covid test. The rules allow tourists to make long-delayed trips and family members to reconnect with loved ones after more than a year and a half apart due to the pandemic.
— The Associated Press and Reuters contributed to this report. Follow all the market action like a pro on CNBC Pro. Get the latest on the pandemic with CNBC’s coronavirus coverage.