Early Look

Wednesday, June 11, 2025

U.S. stock futures are down slightly after US/China talks concluded last night in London, bringing the proposals back to each respective President, while the market turns its attention to inflation data later this morning. Treasuries decline ahead of the consumer price index (CPI) data at 8:30 Am, with US 10-year yields rising 3 bps to 4.50%. Gilts lead a selloff in European government bonds, pushing UK 10-year yields up ~6 bps to 4.60%. Last night, the U.S. and China have reached consensus on trade, representatives from both sides said following a second day of high-level talks in London according to CNBC. “We have reached a framework to implement the Geneva consensus and the call between the two presidents,” U.S. Commerce Secretary Howard Lutnick said. Lutnick said he and U.S. Trade Representative Jamieson Greer will head back to Washington to “make sure President Trump approves” the framework. In stock news, steel stocks are trading lower after Bloomberg reported the US and Mexico are closing in on a deal that would remove 50% tariffs on steel imports up to a certain volume. In Asian markets, The Nikkei Index climbed 209 points to 38,421, the Shanghai Index rose 17 points to 3,402, and the Hang Seng Index jumped 204 points to 24,366. In Europe, the German DAX is up 76 points to 24,963, while the FTSE 100 is up 11 points to 8,864. Treasury Secretary Bessent will testify before the House Ways and Means Committee today, and the second of three Treasury auctions take place at 1:00 pm with $42B in 10-year notes. Oracle (ORCL) reports earnings tonight.

• The Dow Jones Industrial Average rose 105.11 points, or 0.25%, to 42,866.87
• The Nasdaq Composite gained 123.75 points, or 0.63%, to 19,714.99
• The Russell 2000 Index advanced 11.96 points, or 0.56% to 2,156.41

• 8:30 AM ET                  Consumer Price Index (CPI) Headline M/M for May…est. +0.2% (prior +0.2%)
• 8:30 AM ET                  Consumer Price Index (CPI) Headline Y/Y for May…est. +2.5% (prior +2.3%)
• 8:30 AM ET                  Core CPI Ex: Food & Energy M/M for May…est. +0.3% (prior +0.2%)
• 8:30 AM ET                  Core CPI Ex: Food & Energy Y/Y for May…est. +2.9% (prior +2.8%)
• 10:00 AM ET                Treasury Secretary Bessent will testify before the House Ways and Means Committee
• 10:30 AM ET                Weekly DOE Inventory Data
• 11:00 AM ET                Cleveland Fed CPI for May…est. +0.3%
• 1:00 PM ET US Treasury to sell $42B in 10-year notes
• 2:00 PM ET                   Federal Budget for May…est. (-$318.0B)

• Earnings After the Close: ORCL OXM

• Bank America London TMT Conference, 6/10-6/12, in London
• DA Davidson Consumer & Technology Conference, 6/9-6/11 in Nashville, TN
• Deutsche Bank Global Auto Industry Conference, 6/11-6/12, in New York
• Goldman Sachs 46th Annual Global Healthcare Conference, 6/9-6/11 in Miami, FL
• Goldman Sachs 29th European Financials Conference, 6/10-6/12, in Berlin
• Oppenheimer 25th Annual Consumer Growth and E-Commerce Conference, 6/9-6/11
• Oppenheimer 2025 Semiconductor Bus Tour, 6/11-6/12

• Dave & Busters (PLAY) Q1 adj EPS $0.76 vs. est. $0.99; Q1 revs $567.7M vs. est. $576.4M; reiterates its outlook for certain financial items for FY25; said while Q1 performance was nowhere close to where we want and expect to be, back to basics strategy is working; Q1 comp sales fell (-8.3%) y/y.
• GameStop (GME) Q1 adj EPS $0.17 vs. est. $0.04; Q1 revs fell -17% y/y to $732.4M vs. est. $754.23M; Q1 operating loss includes $35.5M impairment charges related to international restructuring efforts; purchased 4,710 bitcoin between May 3, 2025, and June 10, 2025, for cash.
• General Mills (GIS) is considering selling its Haagen-Dazs ice-cream stores in China – Bloomberg.
• Krispy Kreme (DNUT) sells remaining ownership stake in Insomnia Cookies as received aggregate cash proceeds of $75 mln from transaction which will be used for debt paydown
• Starbucks (SBUX) has received “a lot of interest” in the sale of a stake in its China business as the company explores a partnership with an outside investor to help restore growth in the country – Financial Times
• StitchFix (SFIX) Q3 EPS loss (-$0.06) vs. est. loss (-$0.11); Q3 revs $325.02M vs. est. $314.34M; Q3 active clients of 2.35M, a decrease of 18,000, or 0.8%, q/q and down -10.6% y/y; Q3 net revenue per active client of $542, an increase of 3.2% y/y; guides Q4 revenue $298M-$303M, consensus $288.54M while raises FY25 revenue view to $1.25B-$1.26B from $1.23B-$1.24B and narrows Fy25 adj Ebitda view.

• First Solar (FSLR) upgraded to Buy from Hold at Jefferies and raise tgt to $192 from $157.
• Karat Packaging (KRT) 1.5M share Spot Secondary priced at $27.00.
• Steel producers Steel Dynamics (STLD), Nucor (NUE), Cleveland Cliffs (CLF) shares slipped after a report overnight by Bloomberg News that the US/Mexico are closing in on a deal that would remove President Donald Trump’s 50% tariffs on steel imports up to a certain volume.
• Mind Technology (MIND) Q1 EPS loss (-$0.12) on revs $7.9M vs. $9.7M y/y; backlog of Marine Technology Products as of April 30, related to the Seamap segment was approximately $21.1M compared to $16.2M at January 31 and $31M at April 30, 2024.
• Talen Energy (TLN) announced that it has expanded its existing nuclear energy relationship with Amazon (AMZN) to provide carbon-free energy from Talen’s Susquehanna nuclear power plant to Amazon Web Services, or AWS, data centers in the region

• Artisan Partners Asset Management Inc. (APAM) preliminary assets under management as of May 31, 2025, totaled $170.9 billion. Artisan Funds and Artisan Global Funds accounted for $83.4 billion of total firm AUM, while separate accounts and other AUM accounted for $87.5 billion.
• Brown & Brown (BRO) 39.2M share Secondary priced at $102.00.
• Byline Bancorp (BY) 4.28M share Spot Secondary priced at $24.75.
• CoreCivic (CXW) announced that it has entered into a definitive agreement to acquire the Farmville Detention Center, a 736-bed facility constructed in 2010 and located in Farmville, Virginia.
• IREN (IREN) announces $450M offering of convertible senior notes due 2029
• Victory Capital Holdings, Inc. (VCTR) reported Total Assets Under Management (AUM) of $289.4 billion, Other Assets of $3.7 billion, and Total Client Assets of $293.1 billion, as of May 31, 2025.

• Tilray Brands, Inc. (TLRY) announced that the vote for an amendment of the Company’s Fifth Amended and Restated Certificate of Incorporation, in order to implement a reverse stock split of the Company’s common stock at a ratio ranging from 1-to-10 to 1-to-20, passed at the special meeting of stockholders.

• Nvidia (NVDA) announced it is building the world’s first industrial AI cloud for European manufacturers. This Germany-based AI factory will feature 10,000 GPUs, including through NVIDIA DGX B200 systems and NVIDIA RTX PRO Servers.
• Ouster, Inc. (OUST) announced that its OS1 digital lidar has been vetted and approved by the Department of Defense (DOD) for use in unmanned aerial systems (UAS).