U.S. stock futures are mixed as investors watch talks between the U.S. and Russia; UnitedHealth Group (UNH) shares are jumping in premarket trading after Warren Buffett's Berkshire Hathaway revealed building a stake in the health insurance provider; Applied Materials (AMAT) shares are plummeting after the firm delivered a weak outlook on concerns over Chinese demand; retail sales growth is expected to have slowed slightly in July when data is released this morning; and Intel (INTC) shares are moving higher after a report that the U.S. government could take a stake in the struggling chipmaker. Here's what investors need to know today.
1. US Stock Futures Mixed as Investors Watch Trump-Putin Talks, Retail Sales Data
U.S. stock futures are mixed as investors monitor talks President Donald Trump and Russian leader Vladimir Putin and watch for fresh retail sales data this morning. Dow Jones Industrial Average futures are up 0.6% as UnitedHealth Group (UNH) shares surge, after the blue-chip index dipped Thursday. S&P 500 futures are up 0.2% and Nasdaq futures are ticking lower. Bitcoin (BTCUSD) is trading slightly higher at more than $119,000. The 10-year Treasury note yield and gold futures are little changed. WTI oil futures are moving higher, although Brent crude futures are lower.
2. UnitedHealth Stock Jumps as Buffett's Berkshire Hathaway Builds Stake
Shares of UnitedHealth Group (UNH) are surging 11% in premarket trading after Warren Buffett's Berkshire Hathaway (BRK.A, BRK.B) revealed in a regulatory filing that it has built a $1.6 billion stake in the health insurance giant. The conglomerate also reported opening positions in security products provider Allegion (ALLE), homebuilder D.R. Horton (DHI), Lamar Advertising (LAMR), and steelmaker Nucor (NUE), all of whose shares are also moving higher. Berkshire sold its remaining stake in T-Mobile US (TMUS) and offloaded nearly half of its Charter Communications (CHTR) shares.
3. Applied Materials Stock Plunges on Weak Outlook Amid China Struggle
Applied Materials (AMAT) shares are plunging 14% in premarket trading after the semiconductor equipment manufacturer's current-quarter projections fell short of analysts' expectations. The company expects fiscal fourth-quarter adjusted earnings per share of $2.11 and revenue of $6.7 billion, plus or minus $500 million, while Visible Alpha estimates call for $2.37 and $7.30 billion, respectively. “We are currently operating in a dynamic macroeconomic and policy environment, which is creating increased uncertainty and lower visibility in the near term, including for our China business,” CEO Gary Dickerson said. The firm's third-quarter results topped expectations.
4. Retail Sales Growth Expected to Have Slowed in July
Retail sales growth in July is expected to have slowed slightly when that data is released at 8:30 a.m. ET. Economists surveyed by Dow Jones Newswires and The Wall Street Journal expect sales to have increased by 0.5% in July, slower than the 0.6% sales growth reported in the prior month. On Monday, the National Retail Federation reported sales growth of 1.5% in July. Investors will also be watching the 10 a.m. ET release of the Michigan Consumer Sentiment Index, which is also expected to have improved slightly from the prior month. Consumer surveys have been trending higher after sentiment declined earlier as tariff announcements drove inflation fears.
5. Intel Stock Gains After Report US Might Take Stake in Chipmaker
Intel (INTC) shares are up less than 2% in premarket trading following a report that the U.S. government is considering taking a stake in the struggling chipmaker. Bloomberg reported Thursday that members of Trump's team had discussed plans that could see the administration throwing its support behind an expansion of Intel's domestic manufacturing capabilities. Earlier this week, Intel CEO Lip-Bu Tan met with Trump, who previously had called for the executive's resignation over concerns about his ties to China.
