US PREMARKET ACTIONS: September 16, 2025
**Futures Indices**
Dow Futures: +0.1%
S&P 500 Futures: +0.3%
Nasdaq 100 Futures: +0.4%
US 10-year yield: 4.04%
Market Environment
US indices continue to advance this morning, as markets digest the appointment of Stephen Miran to the Fed board (confirmed by the Senate 48-47), just before the FOMC meeting starts today. He succeeds Adriana Kugler.
Focus is on the monetary policy decision expected Wednesday, as 10-year yields ease slightly to 4.04%. Also noteworthy, an appeals court has temporarily blocked the dismissal of Lisa Cook, meaning she should participate in the meeting.
Markets hit new records on Monday, with the S&P 500 passing 6,600 points, buoyed by optimism over US-China trade relations and Tesla’s rally after Elon Musk’s large stock purchase.
“As we await the FOMC decision tomorrow, markets have continued their upward trend over the last 24 hours, bolstered by encouraging signals from US-China trade negotiations. This flow of information has fueled optimism that a form of long-term truce may be found, and these hopes of de-escalation in the trade war helped S&P 500 and Nasdaq finish at historic highs again.”
— Jim Reid, Deutsche Bank
“Ahead of the FOMC, an appeals court last night blocked Donald Trump’s attempt to dismiss Lisa Cook from the Fed board before her appeal is heard. She should therefore be present at the meeting unless further legal action occurs.”
— Jim Reid, Deutsche Bank
On the macroeconomic front, investors await August retail sales (expected at +0.3%) and import/export prices data. The housing market remains sluggish with a NAHB index expected at 33.
“US consumer spending will be in the spotlight with August’s retail sales data. Price fluctuations affect these numbers, but middle-aged, middle-class consumers appear ready to spend and have the resources to offset slow real income growth.”
— Paul Donovan, UBS
“Import price data are also awaited—they are useful for identifying where trade policy costs are being passed on.”
— Paul Donovan, UBS
Stocks to Watch
WEBTOON Entertainment (WBTN) +60%
The stock soared after announcing a strategic partnership with Disney to launch a digital platform featuring over 35,000 comics, including Marvel and Star Wars. Disney takes a 2% stake.
High Tide (HITI) +8%
Strong Q3 results: revenue of $149.7M vs $106.5M expected, return to profitability, FCF up 148%. Store sales growth and expansion into Germany via Remexian.
Oracle (ORCL) +3.5%
Up on a CBS report mentioning its participation in a consortium to keep TikTok running in the US as part of a possible deal with China.
Google (GOOGL) +1.15%
Opening a data center in the UK as part of a £5B two-year investment. The center will support its AI services, including Google Cloud and DeepMind, with 8,250 projected jobs.
Oscar Health (OSCR) -4%
Slides after the pricing of a $355M private placement in convertible bonds. Funds will support AI initiatives, growth, and improved customer experience.
ADTRAN Holdings (ADTN) -10%
Dropped after announcing a $150M private placement in convertible bonds. Objective: partial refinancing and hedging operations.
Dave & Buster’s (PLAY) -17%
Big fall after disappointing Q2 results: adjusted EPS at $0.40 vs $1.12 a year earlier. Total revenue up, but below expectations. Truist lowers price target to $22.
Red Cat (RCAT) -5%
Under pressure after announcing a shelf offering of up to $300M, with no immediate issuance.
Recommendation Changes
Upgrades
Prologis ($PLD) → BofA Securities upgrades from Neutral to Buy, target raised to $130
Jumia Technologies ($JMIA) → RBC upgrades from Sector Perform to Outperform, target to $15 (vs $6.50)
Union Pacific ($UNP) → Loop Capital upgrades from Sell to Hold, target to $227 (vs $214)
United Rentals ($URI) → BNP Paribas Exane to Neutral (vs Underperform), target $900
Hershey ($HSY) → Goldman Sachs upgrades from Sell to Buy, target raised to $222 (vs $170)
Neutral
Dave & Buster’s ($PLAY) → Truist maintains Hold, but lowers target from $27 to $22
Norfolk Southern ($NSC) → Loop Capital keeps Hold, target raised to $278 (vs $235)
Waste Management ($WM) → Citigroup keeps Buy, but lowers target to $268 (vs $275)
Republic Services ($RSG) → Citigroup maintains Buy, target cut to $270 (vs $280)
Amazon ($AMZN) → Truist maintains Buy, target raised to $270 (vs $250)
Micron ($MU) → Mizuho keeps Outperform, target $182 (vs $155)
Meta Platforms ($META) → HSBC keeps Buy, target slightly raised to $905
Downgrades
Brandywine Realty Trust ($BDN) → Truist moves from Buy to Hold, target cut to $4 (vs $5)
Warner Bros. Discovery ($WBD) → TD Cowen downgrades from Buy to Hold, target set at $14
Live Nation ($LYV) → Rothschild & Co Redburn downgrades to Neutral, target at $170 (vs $144)
Have a great session, everyone!
Sylvain Mouilhaud: Equity Coach