Good Morning, Traders!…👋

U.S. stock futures dipped on Wednesday as investors held back from making significant bets, waiting for more signals on the economy's health and the direction of interest rates. The Federal Reserve's recent policy easing cycle, kicked off last week, remains a central focus.

In the previous session, both the S&P 500 and Dow closed at record highs for the second consecutive time, with commodity-linked stocks leading the way after China unveiled a significant stimulus package. However, a disappointing consumer sentiment report raised concerns about the labor market, causing some to question if the Fed's recent decision to cut rates by an unusually large 50 basis points was due to an economic slowdown.

All eyes will be on Fed Chair Jerome Powell, who is set to speak at the New York Treasury Market Conference on Thursday, with markets paying close attention to any signals about future monetary policy.

In pre-market moves, KB Home shares dropped 7.1% after the homebuilder's third-quarter profit missed Wall Street expectations. Meanwhile, U.S.-listed shares of Chinese companies fell, following a sharp rise the previous session. Some analysts have raised concerns that China’s massive stimulus package may not be enough to quickly boost weak domestic demand.

Happening Today

✓ 08:30 AM ET – Building Permits (Aug)

✓ 10:00 AM ET – New Home Sales (Aug)

✓ 10:30 AM ET – Cushing Crude Oil Inventories

✓ 01:00 PM ET – 5-Year Note Auction

PREMARKET SNAPSHOT📈

Market futures are mixed, with the S&P 500 down 0.04% and the NASDAQ falling 0.21%, while the Dow is slightly up by 0.07%.

SECTOR SNAPSHOT✨

Today's market presented a mixed bag of results. Consumer Discretionary and Industrials posted positive gains, with Information Technology and Communication Services also seeing modest increases. However, Consumer Staples, Energy, and Financials experienced declines, reflecting some pressure in those sectors. Health Care and Utilities also faced slight downturns, while Materials managed to achieve a notable uptick, contributing to a day of varied performance across the board.

PreMarket Unusual Volume Stocks

📈 AtlasClear Holdings Inc (ATCH): AtlasClear Holdings Inc saw a substantial surge in trading volume, reaching 20,539,870 shares, compared to its average of 387,670. This heightened activity led to an 86.92% increase in the stock price, signaling strong market interest.

📈 Sharps Technology Inc (STSS): Sharps Technology Inc traded 11,557,974 shares, significantly above its average volume of 2,598,910. Despite the increased activity, the stock experienced a price decline of 6.16%, suggesting potential market volatility.

📈 Elevai Labs Inc (ELAB): Elevai Labs Inc recorded a trading volume of 7,207,522, surpassing its average of 2,979,240. The stock price rose by 4.08%, reflecting moderate investor enthusiasm.

📈 Motorsport Games Inc (MSGM): Motorsport Games Inc saw its trading volume spike to 4,567,734, well above its average of 454,590 shares. This uptick in activity resulted in a 28.18% price increase, indicating increased market interest.

📈 Eightco Holdings Inc (OCTO): Eightco Holdings Inc had a trading volume of 3,643,254, significantly higher than its average of 122,350 shares. This increase in volume was accompanied by a 53.82% rise in the stock price, highlighting strong investor demand.

Premarket Picks

Southland Holdings, Inc. (SLND) saw a notable increase of 9.14%, hitting a pre-market price of $4.06 after its Civil segment subsidiary, Oscar Renda Contracting, secured a $132 million contract for a new water treatment plant for the Bureau of Reclamation.

Eightco Holdings Inc. (OCTO) experienced a surge to a pre-market price of $4.25, marking a 70.68% rise, following the announcement of a $100 million revenue forecast and its strategic plan for 2025.

RDE, Inc. (GIFT) rose 17.86%, reaching a pre-market price of $2.97 after filing an 8-K form with the SEC.

Motorsport Games Inc. (MSGM) recorded a pre-market price of $1.41, a 27.02% increase, after publishing the September Update for “Le Mans Ultimate,” the official game of the FIA World Endurance Championship and the 24 Hours of Le Mans.

Below is a list of other hot stocks in pre-market today:

Top Upgrades:

1. AutoNation, Inc. (AN)

Analyst Firm: Morgan Stanley
Upgrade: Equal Weight to Overweight
Price Target: $200
Yesterday’s Close: $178.50

Morgan Stanley analyst Adam Jonas has upgraded AutoNation, Inc. from Equal Weight to Overweight, raising the price target to $200 from $145. The stock price targets for AutoNation range from a low of $145.00 to a high of $220.00, with a median target of $197.50 and an average of $195.10.

AutoNation is one of the largest automotive retailers in the United States, offering innovative products and services designed to empower customers in making informed decisions.

2. Hewlett Packard Enterprise Company (HPE)

Analyst Firm: Barclays
Upgrade: Equal Weight to Overweight
Price Target: $24
Yesterday’s Close: $18.88

Barclays has upgraded Hewlett Packard Enterprise (HPE) from Equal Weight to Overweight, raising the price target to $24 from $20. Analyst price targets for HPE range from a low of $18.00 to a high of $24.00, with a median target of $21.00 and an average of $21.15.

Hewlett Packard Enterprise is a global edge-to-cloud company, helping organizations unlock the value of their data through open, innovative technology solutions.

3. Group 1 Automotive, Inc. (GPI)

Analyst Firm: Morgan Stanley
Upgrade: Equal Weight to Overweight
Price Target: $430
Yesterday’s Close: $384.85

Morgan Stanley has upgraded Group 1 Automotive from Equal Weight to Overweight, raising the price target to $430 from $285. Analyst price targets for Group 1 Automotive range from a low of $285.00 to a high of $450.00, with a median target of $400.00 and an average of $393.43.

Group 1 Automotive operates 260 dealerships, 337 franchises, and 45 collision centers across the U.S. and U.K., offering a wide selection of 35 car brands, along with financing, maintenance, and repair services.

Happy investing,

Maeve Grace
Editor In Chief
Premium Trade Alerts

Important: This newsletter does not provide investment advice. The stocks mentioned should not be taken as recommendations. Your investments are solely your decisions.

Disclosure: I hold no positions in any companies mentioned, either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I have no business relationship with any company whose stock is mentioned in this article.