Investing.com - Yesterday’s prediction that oil would be the market of movement today panned out as crude plummeted 4% on another build in U.S. inventories.
That hamstrung energy stocks, which was the main drag on Wall Street.
For tomorrow, the new-issues market might be a driver for equities. Fiverr is set to debut, and it’ll be interesting to see if it falls into the trap of other money-losing initial public offerings like Uber (NYSE:UBER) and Pinterest (NYSE:PINS), compared with profitable Zoom Video (NASDAQ:ZM).
1. Initial Jobless Claims Expected to Fall
The Labor Department releases its weekly count of the number of individuals who filed for unemployment insurance for the week ended June 8. Economists forecast that initial jobless claims to decline to 215,000 from 218,000 previous
The latest update on the U.S. job markets comes less than a week after the Labor Department reported the U.S. economy created far fewer jobs than expected last month, fueling expectations the Federal Reserve would cut rates at its July meeting.
2. Fiverr IPO Pricing on Watch
Fiverr is set to test investor appetite for yet another gig-economy stock, as it gears up to price its initial public offering.
The company, whose business proposition relies on connecting freelancers with clients, plans to issue 5,300,000 shares at $18.00-$20.00 per share, expecting to raise $101 million in an initial public offering on Thursday. The shares should start trading Friday with the ticker FVRR.
The company's net losses grew from $19.3 million in 2017 to $36.1 million in 2018, while revenue grew by nearly 45%, from $52.1 million to $75.5 million.
Rival Upwork, which went public in October, has lost its grip on investors as it ended the day down 3.7%, falling below its IPO price of $15.
3. Broadcom Guidance to Come Under Scrutiny
Broadcom (NASDAQ:AVGO) is set to report its fiscal second-quarter results after the market closes on Thursday. The chipmaker is expected to report earnings of $5.21 a share on revenue of $5.69 billion, up from $4.88 a share and revenue of $5.02 billion a year ago, according to analysts polled by Investing.com. Shares are up 10% this year.
Following a ramp up in U.S.-China trade tensions, the chipmaker's previous guidance for a rebound in its wireless business in the second half of the year will likely come under scrutiny. The U.S. and China have both imposed tariffs on each other's goods since Broadcom reported its first-quarter earnings and guidance in March.