Good Morning, Traders!…👋

U.S. stock futures fell Monday as Wall Street digested Moody’s downgrade of the U.S. credit rating and fresh developments in President Trump’s ongoing tariff battles. Moody’s lowered the country’s long-term credit rating from Aaa to Aa1 late Friday, citing ballooning deficits and the growing strain of refinancing debt in a high-interest-rate environment. The move brings Moody’s in line with Fitch and S&P, which had already cut the U.S. from its top-tier status.

Adding to the unease, President Trump reignited tariff tensions by targeting Walmart on social media, urging the retail giant to “eat the tariffs” rather than passing costs to consumers. The comments follow similar clashes with major companies like Amazon.

With few major economic reports scheduled this week, markets will focus on manufacturing data, initial jobless claims, and developments surrounding the Republican tax-and-spend proposal, which recently hit resistance within the party.

Earnings Watch

Earnings drop today from ZIM Integrated $ZIM ( ▼ 3.98% )  , Global Ship Lease $GSL ( ▼ 0.04% )  , and ICL $ICL ( ▼ 1.67% )  before open, plus Trip.com $TCOM ( ▼ 1.78% )  and Agilysys $AGYS ( ▼ 1.16% )  after close.

Analysts expect ZIM to post $1.95 EPS with shipping strength, GSL to hit $2.30 EPS, ICL at $0.12 EPS, TCOM to deliver $0.86 EPS on travel growth, and AGYS at $0.29 EPS.

Happening Today

✓ 08:30 AM ET – FOMC Member Bostic Speaks

✓ 08:30 AM ET – FOMC Member Williams Speaks

✓ 10:00 AM ET – US Leading Index (MoM) (Apr)

✓ 01:30 PM ET – FOMC Member Kashkari Speaks

PREMARKET SNAPSHOT 📈

U.S. equity futures declined this morning following Moody's downgrade of the U.S. sovereign credit rating from AAA to AA1, citing escalating federal debt and fiscal instability. This downgrade has heightened investor concerns, leading to a sell-off in U.S. assets and a rise in Treasury yields, with the 30-year yield surpassing 5%.

SECTOR SNAPSHOT✨

Markets advanced across the board, with every sector except energy posting gains. Health care led the charge with a nearly 2% rise, followed by utilities, real estate, and consumer staples. Industrials, materials, and financials also showed solid strength. While energy slipped marginally, the overall tone remained bullish, supported by steady moves in tech and communication services.

PreMarket Unusual Volume Stocks

📈 Vast Renewables Limited $VSTE is up 5.82% in pre-market trading, with volume at 135.3K—up more than 15,750% from its average. This early activity suggests growing trader interest in the low-float renewable play.

📈 Movano Inc. $MOVE has rallied 28.43%, with over 4.9M shares exchanged—an 10,800% increase in volume. The surge could be tied to speculation around upcoming product announcements or health-tech sector sentiment.

📈 Crown LNG Holdings Limited $CGBS is climbing 10.81% pre-market on volume of 19.5M shares—more than 25 times its norm. Traders appear to be positioning ahead of potential energy sector news or corporate developments.

📈 China SXT Pharmaceuticals, Inc. $SXTC is gaining 35%, with volume spiking to 2.55M—up nearly 348% from average. The biotech name may be benefiting from renewed interest following sector movement or regulatory updates.

📈 Healthcare Triangle, Inc. $HCTI is soaring 40.51%, with an eye-popping 306.7M shares traded, marking a 167% increase in volume. The stock is seeing massive speculative activity, likely on news or momentum-driven buzz.

Premarket Picks

Shares of Movano Inc. (MOVE) jumped 27.45% in pre-market trading to $1.30 after the company revealed its Board of Directors is exploring strategic alternatives. These options include a potential sale, merger, or similar transaction aimed at maximizing shareholder value. 

Interactive Strength Inc. (TRNR) rose 8.98% to $1.02 in the pre-market following the release of a shareholder update and Q&A session. The discussion featured TRNR Founder & CEO Trent Ward and Sportstech Founder & CEO Ali Ahmad, shedding light on the company’s vision and future direction. 

Adagio Medical Holdings, Inc. (ADGM) saw its shares climb 16.95% to $1.38 before the market opened. The boost came after the company reported its first quarter 2025 financial results, sparking renewed investor interest. 

Fractyl Health, Inc. (GUTS) gained 14.20% in pre-market trading, with shares reaching $1.93. The rise followed the announcement of a new oral presentation showcasing preclinical data from its Rejuva smart GLP-1 gene therapy platform at the ASGCT 2025 Annual Meeting. 

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

Top Upgrades:

1. RxSight, Inc. (RXST) 

Analyst Firm: Wells Fargo 
Upgraded: Equal Weight to Overweight 
Price Target: $25 
Yesterday's Close: $14.19 

Wells Fargo raised its rating on RxSight from "Equal Weight" to "Overweight" and increased its price target to $25, up from $17. RxSight is a U.S. medical tech company that develops light-adjustable lenses for cataract surgery. Analyst price targets range from $16.00 to $28.00, with a median of $18.00. The average target is $20.45. 

2. United Airlines Holdings, Inc. (UAL) 

Analyst Firm: UBS 
Upgraded: Neutral to Buy 
Price Target: $105 
Yesterday's Close: $77.93 

UBS upgraded United Airlines from "Neutral" to "Buy," boosting its price target from $67 to $105. United Airlines offers air travel across the U.S., Canada, Latin America, and international routes. Analysts have set targets between $67.00 and $130.00, with a median of $91.00. The average estimate is $94.10. 

3. Delta Air Lines, Inc. (DAL) 

Analyst Firm: UBS 
Upgraded: Neutral to Buy 
Price Target: $66 
Yesterday's Close: $50.92 

UBS analyst Thomas Wadewitz also upgraded Delta Air Lines from "Neutral" to "Buy," raising the price target to $66 from $46. Delta provides passenger and cargo flights both domestically and globally. Analyst targets range from $46.00 to $88.00. The median is $60.00, and the average is $58.95. 

Happy investing,

Maeve Grace
Editor In Chief
Premium Stock 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.