Tuesday’s Pre-Market: Here’s What You Need to Know Before the Market Opens

Tuesday’s Pre-Market: Here’s What You Need to Know Before the Market Opens

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U.S. stock futures were relatively flat on Tuesday morning, pointing to a slow start after the long weekend. The lack of direction for equities in the pre-market comes as oil prices edge higher after OPEC members abandoned talks on oil output.

The Dow Jones Industrial Average Futures was down 0.02% to 34,675, S&P 500 Futures fell 0.05% to 4,340.38 and Nasdaq Futures slid 0.03% to 14,710.

Ahead of the open, investors are waiting for the release of the U.S. Institute of Supply Management's (ISM) non-manufacturing purchasing managers' index. Investors also await the release of the U.S. Federal Reserve's June policy meeting report later in the day.

Trilogy Metals Inc. (TMQ) and Amira Nature Foods (ANFIF) are expected to report their quarterly earnings before the market opens. Chase Corp (CCF), Smart Global Holdings (SGH), HNI Corp (HNI), and Pure Cycle Corp (PCYO) are expected to report after the market closes.

DiDi Global (DIDI) was the most actively traded stock in pre-market trading, with more than 6.1 million shares having changed hands at the time of writing. The stock was down by 25% as investors reacted to Chinese regulators ordering the taking down of the company's app following its $4.4 billion listings on the New York Stock Exchange.

The Cyberspace Administration of China has ordered the removal of the company's app from all mobile app stores in the country. DiDi has acknowledged that the removal will hurt its revenue in China.

Bridgeline Digital (BLIN) was the biggest gainer, rallying 42.70% at the time of writing, with 1.56 million shares changing hands. The pre-market rally comes just days after the cloud-based marketing technology software provider confirmed receiving over $2.5 million in cash from the exercising of warrants.

The funds have strengthened its balance sheet to approximately $6 million, well above its capitalized operating plan. Consequently, the additional capital should allow the company to accelerate growth and execute its e-Commerce 360 strategy.

Ashford Hospitality (AHT) was the biggest loser in pre-market trading, falling 25% at the time of writing. The selloff comes after the company announced that its board of directors has approved a reverse 1 for 10 stock split.

In M&A news, Verizon (VZ) has reached an agreement to sell Yahoo Japan's branding rights and technology to Softbank’s (SFTBY) Z Holdings Corporation (ZHD Group). The U.S. carrier is set to receive $1.61 billion from the transaction, which is expected to close in the second half of the year.

Welbilt Inc. (WBT) is an acquisition target for Ali Holding, which has tabled a takeover bid that values the food equipment solutions company at $24 per share. The takeover bid represents a 3.5% premium to Welbilt's closing price on June 23, 2021. Ali Group is pushing to acquire Welbilt to strengthen its core business and enhance its product offerings.