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Here’s what you need to know before markets open.
1. Goldman Sachs upgrades Q3 US GDP forecast to 35% after stronger August jobs report. Goldman Sachs has upgraded its forecasts for the US economy and now expects GDP to reach 35% in the third quarter of the year, making it by far the most bullish bank on Wall Street.
2. Tesla’s stock price could fall another 5-10% if a negative ‘herd mentality’ prompts ‘massive selling’. Tesla has had a tumultuous week including a market-sell off and a surprise exclusion from the S&P 500 causing the stock to shed 10% in a week alone, but shares in the electric vehicle manufacturer could come under fire again.
3. The UK economy grew 6.6% in July as lockdowns eased, but has recovered only about half of lost output. Britain's economy grew for a third straight month in July, expanding by 6.6% as lockdown restrictions eased, but has yet to recover even half of the output lost to the coronavirus pandemic, the national statistics agency said on Friday.
4. Peloton stock jumps after the connected-fitness company turns its first quarterly profit. Peloton shares jumped as much as 13% in pre-market trading on Friday after the connected-fitness company turned its first quarterly profit ever.
5. A major fund manager explains the rationale behind Berkshire Hathaway's $570 million investment in Snowflake's IPO — and outlines why it's a good sign for shareholders. Warren Buffett's Berkshire Hathaway is poised to plow about $570 million into Snowflake when the cloud-data platform goes public at a potential $24 billion valuation — and the investment comes despite Buffett's past warnings about initial public offerings, lofty valuations, and money-losing tech companies.
6. Buy these 16 tech stocks that are beaten down from the pandemic and now primed for explosive growth in the months ahead, Stifel says. With the Nasdaq composite coming off of its all-time highs after three days of violent sell-offs, investors are faced with a reckoning over where to put their cash to work as they ride the market's next leg up.
7. Renowned strategist Tom Lee called the market's rebound from its worst-ever crash. He lays out 9 bullish forces for stocks after this week's 'overdue' sell-off, and shares his best strategy for cashing in. Investors who are all in on tech companies and growth stocks might be feeling burned right about now. Tom Lee says there's good news buried in the wreckage.
8. Global stocks are mixed. European stocks are mixed, all major Asian stocks closed up. Futures on all three main US indices are pointing to a higher open of around 0.7%.
9. Earnings coming in. AEVIS VICTORIA Q2 20 earnings and Kroger Q2 20 earnings are due.
10. On the economic front. Baker Hughes US Oil Rig Count and US Monthly Budget Statement are due.