Stock futures pointed lower Wednesday with tech shares leading the declines after a report from The Wall Street Journal said the Biden administration was considering new curbs on exports of artificial intelligence chips to China.
These stocks were poised to make moves Wednesday:
Nvidia
(NVDA) declined 4.2% in premarket trading and
Advanced Micro Devices
(AMD) slumped 3.5% after the Journal said the Commerce Department could stop the shipments of AI chips made by the semiconductor makers to customers in China unless the companies first obtain a license. The restrictions could be put in place as early as next month, the Journal reported, citing people familiar with the situation.
Micron Technology
(MU), which is scheduled to report quarterly earnings after the closing bell Wednesday, declined 1.5%. Other chip makers such as
Intel
(INTC) and
Qualcomm
(QCOM) also traded lower.
The Food and Drug Administration rejected an application from
Regeneron Pharmaceuticals
(REGN) for approval of a new, higher-dose version of its blockbuster eye disease treatment Eylea. The stock fell 0.9% in premarket trading after declining 8.7% on Tuesday.
Drone maker
AeroVironment
(AVAV) reported fiscal fourth-quarter revenue that beat analysts’ expectations and said it expects fiscal-year adjusted earnings of $2.30 to $2.60 a share on revenue of $630 million to $660 million, which also topped forecasts. The stock rose 5.2%.
AST SpaceMobile
(ASTS) was falling 24% to $4.84 in premarket trading after announcing the launch of a sale of 12 million class A common shares.
Jefferies Financial
(JEF) posted fiscal second-quarter adjusted profit of 28 cents a share, beating Wall Street estimates by 1 cent. Net profit, however, dropped 89% from a year earlier as investment banking net revenue declined 26%.
General Mills
(GIS) is scheduled to report fiscal fourth-quarter earnings before the stock market opens Wednesday.
Write to Joe Woelfel at [email protected]
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