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Below are AI-generated insights on today's premarket moves, powered by MarketReader technology.

Wednesday, October 28

Noteworthy macro moves today: Noteworthy US mega-cap moves today: SK Hynix Inc (SKHY) +6.9%. Micron Technology, Inc. (MU) +4.0%. Broadcom Inc (AVGO) +1.9%.

Global equity indices are trading generally higher, with U.S. stocks benefiting from a positive sentiment following strong earnings reports and optimism surrounding artificial intelligence investments. The Nasdaq Composite led the way higher, buoyed by a notable rally in tech stocks after SK Hynix reported a significant surge in quarterly profits, reflecting robust demand for AI-related products.

In the U.S., several economic indicators were released today, including retail inventories which rose by 0.4% for September, exceeding expectations of a decline of 0.1%. Additionally, the goods trade balance showed a widening deficit of $134.9 billion, larger than the forecasted $130 billion gap, indicating ongoing challenges in trade dynamics amid elevated import levels.

Also released today was the GfK Consumer Confidence index from Germany, which fell to -30.8, slightly better than expectations of -30.9 but still reflecting persistent concerns over household finances and inflationary pressures that are weighing on consumer sentiment.

Market participants are closely watching the upcoming Federal Reserve interest rate decision scheduled for later today; current expectations suggest that rates will remain unchanged at 4%. However, analysts anticipate discussions around potential future hikes as inflation remains a concern amid geopolitical tensions affecting energy prices.

iShares MSCI South Korea ETF (EWY) [+3.3%]
SK Hynix reported record operating profits and significant revenue growth, prompting an analyst upgrade and enhanced shareholder returns, which led to strong performances among the iShares MSCI South Korea ETF's holdings, particularly in the semiconductor sector. This positive momentum in technology stocks contributed to broader gains in the South Korean stock market, with the KOSPI index also rising amid optimism from easing oil prices. Earlier in the session, EWY pulled back from a session high but remains higher since Tuesday's close.

VanEck Semiconductor ETF (SMH) [+1.2%]
Micron Technology's announcement of quarterly profit-linked payments for employees and positive commentary on future demand, along with Broadcom's discussions for a debt deal related to AI hardware, are contributing to strong performances from key holdings in the VanEck Semiconductor ETF. Advanced Micro Devices also saw upward movement following an analyst upgrade and increased price target. The ETF is gaining in pre-market trading. Social media posts highlighted a notable uptick in the ETF, with users discussing the momentum in AI trades and upcoming earnings reports from major tech companies that could further influence its performance.

iShares MSCI Japan ETF (EWJ) [-1.0%]
The iShares MSCI Japan ETF is experiencing a decline in pre-market trading, driven by sharp drops in key holdings such as Sony, Toyota, Mitsubishi UFJ Financial Group, and Honda. Sony is under scrutiny due to a data breach affecting millions of users and significant discounts on its products. Meanwhile, Toyota and Honda are retreating after previously reaching brief highs, and Mitsubishi UFJ remains below its recent trading averages. Despite a rebound in the Japanese stock market, with the Nikkei index rising on gains in mining and technology sectors, EWJ is trading lower amid this volatility. The fund is approaching the lower end of its one-month trading range and remains below its 20-day moving average.

VRT | +16.3% | +15.2B
Vertiv Holdings Co | Industrials
Vertiv Holdings Co reported strong third-quarter results, with revenue of $4.313 billion, a 61% year-over-year increase that surpassed analysts' expectations of $3.760 billion. The company posted adjusted earnings per share of $2.21, significantly exceeding the consensus estimate of $1.83. Additionally, Vertiv raised its full-year adjusted EPS guidance to a range of $7.10-$7.20 from a previous range of $6.65-$6.75, and its revenue outlook was increased to $14.45 billion-$14.85 billion from $13.8 billion-$14.2 billion. CEO Giordano Albertazzi noted that the ongoing infrastructure buildout in data centers is driving demand for the company’s products and services. Following these results, shares are sharply higher in pre-market trading.

FLEX | +10.0% | +3.4B
Flex Ltd | Information Technology
Flex Ltd reported a significant increase in second-quarter net income, reaching $263 million compared to $199 million a year earlier. The company raised its fiscal 2027 adjusted earnings per share guidance to a range of $4.84 to $5.16, exceeding analysts' expectations. Flex also reported revenue of $8.491 billion for the quarter, a 24.8% increase from $6.804 billion last year, with adjusted earnings per share of $1.18, surpassing the estimated $1.05. Following these strong financial results and positive guidance, shares are advancing in pre-market trading. Earlier in the session, the stock pulled back from a session high. Users on X discussed the earnings report, highlighting key metrics such as revenue exceeding estimates and an increase in adjusted EPS guidance.

GEHC | +8.4% | +2.9B
GE HealthCare Technologies Inc. | Health Care
GE HealthCare Technologies Inc. saw a significant increase in pre-market trading following the release of its third-quarter financial results, which surpassed analysts' expectations. The company reported adjusted earnings per share of $1.34, exceeding the consensus estimate of $1.20, while revenues reached $5.5 billion, above the anticipated $5.35 billion. Additionally, GE HealthCare raised its full-year 2026 adjusted EPS guidance to a range of $4.95 to $5.05, up from the previous forecast of $4.80 to $5.00. The strong performance was driven by a 7.2% revenue growth and margin expansion across all segments, with net income for the quarter at $615 million, compared to $446 million in the prior year. The shares are sharply higher in pre-market hours, building on strong momentum from the previous day.

MANH | +9.8% | +1.5B
Manhattan Associates, Inc. | Information Technology
Citi analyst George Kurosawa raised the price target on Manhattan Associates, Inc. to $280.00 from $260.00 while maintaining a Buy rating, following the company's strong third-quarter results reported on October 27. The results included adjusted EPS of $1.55, exceeding the consensus estimate of $1.46, and revenue of $306.2 million, surpassing expectations of $297.1 million. This positive financial performance has led to increased investor interest and optimism regarding the company's growth prospects. Shares of Manhattan Associates are sharply higher in pre-market trading. Social media posts indicated that the company is performing well due to its financial results, with continued demand for its software solutions noted by users.

STLA | +8.5% | +1.1B
Stellantis NV | Consumer Discretionary
Stellantis NV reported a narrower net loss of €453 million for the third quarter, a significant improvement from €4.53 billion a year earlier. Revenue reached €37.61 billion, exceeding the consensus estimate of €35.91 billion, while adjusted operating income climbed to €256 million, above expectations. The company reaffirmed its guidance for mid-single-digit revenue growth by fiscal 2026 and indicated expectations for positive industrial free cash flow in 2027. Following these results, shares of Stellantis are sharply higher in pre-market trading. Users on X discussed the earnings report, noting the adjusted operating margin of 0.7%, which surpassed the expected 0.47%.

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