Stock Futures Steady Ahead of Key Inflation Data; Netflix Falls on $72 Billion WBD Deal
U.S. stock futures remain flat ahead of key inflation data as Netflix shares drop following its $72 billion Warner Bros. Discovery acquisition. Investors await PCE inflation numbers and upcoming Fed rate decision.
Traders work on the floor of the New York Stock Exchange as U.S. stock futures hold steady ahead of key inflation data.
On Friday, U. S. stock futures were almost the same as the previous day with investors waiting for important inflation data that might affect the Federal Reserve's decision on interest rates.
Futures of the Dow Jones Industrial Average were down by 0.2% (which is equivalent to a reduction of 77 points), and the futures of S&P 500 and Nasdaq 100 were down by 0.1% each, with Netflix shares falling sharply impacting the index.
Netflix Slides After Announcing $72 Billion Acquisition
Netflix shares fell 4% in premarket trading after the streaming giant confirmed a $72 billion deal to acquire Warner Bros. Discovery’s film studio and HBO Max streaming assets. The transaction, expected to close within 12–18 months, sent WBD shares up 3%.
Markets Await Inflation Gauge
The Commerce Department will release long-delayed September numbers on consumer spending, income, and the personal consumption expenditures (PCE) price index — the Fed’s preferred inflation measure. The release, postponed due to the record U.S. government shutdown, will serve as the final data point before the Fed’s December 10 policy meeting.
The University of Michigan’s December consumer sentiment survey is also scheduled for release, giving insights into short- and long-term inflation expectations.
Market Performance and Labor Data
On Thursday, the S&P 500 and Nasdaq Composite finished slightly higher, while the Dow closed just below flat. The Nasdaq logged its eighth positive session in nine days, supported by gains in Meta (+3.4%) and Nvidia (+2.1%).
Investors also assessed mixed labor indicators. Challenger, Gray & Christmas reported job cuts surpassing 1 million in 2025, driven by AI adoption, corporate restructuring, and tariffs. Meanwhile, jobless claims hit their lowest level since September 2022.
Traders are pricing in an 87% probability of a 25-basis-point Fed rate cut next week, according to the CME FedWatch tool.
Stocks Making Moves Before the Bell
- Southwest Airlines: Shares dipped after the carrier cut its 2025 earnings forecast, citing a demand slump during the government shutdown and higher fuel costs.
- Netflix, WBD: Both stocks slipped following the acquisition announcement.
- Rubrik: Jumped 19% after beating quarterly earnings expectations.
- Cooper Companies: Surged over 13% on strong earnings and positive guidance.
- Ulta Beauty: Rose 6% after raising its full-year sales outlook.
- SoFi Technologies: Dropped 7% after announcing a $1.5 billion public stock offering.
Analysts Bullish on Meta
Wall Street analysts project a potential 20%+ upside for Meta after reports suggested significant budget cuts — up to 30% — in its metaverse division. The stock climbed 5% on Thursday after the news.
