Iveco Defence unit sees order boost from EU’s SAFE program

Investing.com -- U.S. stock futures edged higher Thursday, as investors eyed upcoming economic data ahead of next week’s Federal Reserve policy-setting meeting.

At 05:35 ET (10:35 GMT), Dow Jones Futures traded 50 points, or 0.1%, higher, S&P 500 Futures gained 5 points, or 0.1%, and Nasdaq 100 Futures climbed 18 points, or 0.1%.

The main averages on Wall Street climbed in the prior session, with lackluster private-sector payrolls adding to expectations that the Fed will lower interest rates at next week’s policy meeting, pricing in roughly a 90% chance of a 25-basis-point cut.

Weekly jobless claims due

There are more labor market numbers to study Thursday, with the U.S. Labor Department set release its weekly reading of first-time applications for unemployment benefits later in the session.

Economists anticipate that the reading will come in at 219,000, up marginally from 216,000 in the prior week.

Last week’s numbers marked a seven-month trough for the metric, indicating that while layoffs and firings remained low, demand for Americans looking for work has stayed muted.

Investors were able to study a weaker-than-expected reading from the private sector labour market earlier this week. ADP said U.S. private payrolls shrank by 32,000 in November — a surprising drop after a revised gain the prior month and far below economists’ consensus for a gain.

Although there has been a relative dearth of more comprehensive official employment data due to a record-long federal government shutdown, the Fed argued at meetings in October and September that there is enough evidence of a slowing in the labor market to warrant an easing in borrowing costs.

Adding to the dovish sentiment is growing speculation over the next Fed leadership. Reports that the Trump administration abruptly cancelled interviews with other Fed chair candidates have strengthened the view that Kevin Hassett -- widely perceived as more dovish than current chair Jerome Powell -- could take the helm in 2026.

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Salesforce lifts 2026 guidance

In the corporate sector, Salesforce (NYSE:CRM) shares rose strongly in premarket trading after the software company lifted its fiscal 2026 revenue and adjusted income guidance.

Underpinning the upbeat outlook were projections for strong growth in demand for the group’s AI-enhanced agent platform, especially among its enterprise clients.

Five Below (NASDAQ:FIVE) stock also climbed after the value retailer reported third-quarter earnings that significantly beat analyst expectations, driven by robust comparable sales growth and successful store expansion.

By contrast, Snowflake (NYSE:SNOW) stock dropped sharply after the cloud-based data storage stock provided a slightly disappointing outlook for its product revenue growth for the January quarter.

Elsewhere, Meta Platforms (NASDAQ:META) will be in the spotlight after Brussels opened a new antitrust investigation into the tech giant over its rollout of artificial intelligence features in WhatsApp, the European Commission said on Thursday, reflecting rising scrutiny of Big Tech’s use of generative AI.

Crude edges higher

Oil prices rose after more strikes on Russian oil infrastructure raised threats to global supply, adding to the lack of progress in diplomatic efforts to end the war in Ukraine.

Brent futures climbed 0.4% to $62.90 a barrel, and U.S. West Texas Intermediate crude futures advanced 0.5% to $59.25 a barrel.

A Reuters report on Wednesday, citing sources, said that Ukrainian forces struck the Druzhba pipeline in Russia’s central Tambov region, reviving concerns over potential disruptions to Russian oil exports.

At the same time, high-level peace talks between U.S. and Russian officials concluded without any breakthrough earlier this week.

Ayushman Ojha contributed to this article

Investing.com – India stocks were higher after the close on Thursday, as gains in the Technology, Real Estate and IT sectors led shares higher.

At the close in NSE, the Nifty 50 added 0.18%, while the BSE Sensex 30 index added 0.19%.

The best performers of the session on the Nifty 50 were Hero MotoCorp Ltd (NSE:HROM), which rose 2.07% or 128.50 points to trade at 6,340.00 at the close. Meanwhile, IndusInd Bank Ltd. (NSE:INBK) added 1.68% or 14.20 points to end at 861.10 and Tata Consultancy Services Ltd. (NSE:TCS) was up 1.51% or 48.00 points to 3,228.00 in late trade.

The worst performers of the session were Reliance Industries Ltd (NSE:RELI), which fell 1.14% or 17.60 points to trade at 1,521.20 at the close. Hindalco Industries Ltd. (NSE:HALC) declined 0.72% or 5.85 points to end at 810.45 and Titan Company Ltd (NSE:TITN) was down 0.68% or 25.80 points to 3,792.00.

The top performers on the BSE Sensex 30 were IndusInd Bank Ltd. (BO:INBK) which rose 1.93% to 862.80, Tata Consultancy Services Ltd. (BO:TCS) which was up 1.48% to settle at 3,227.00 and Tech Mahindra Ltd (BO:TEML) which gained 1.26% to close at 1,561.20.

The worst performers were Reliance Industries Ltd (BO:RELI) which was down 0.91% to 1,525.00 in late trade, Maruti Suzuki India Ltd. (BO:MRTI) which lost 0.71% to settle at 15,970.00 and Kotak Mahindra Bank Ltd. (BO:KTKM) which was down 0.53% to 2,134.00 at the close.

Falling stocks outnumbered advancing ones on the India National Stock Exchange by 1448 to 1033 and 40 ended unchanged; on the Bombay Stock Exchange, 2226 fell and 1697 advanced, while 170 ended unchanged.

Shares in Hero MotoCorp Ltd (NSE:HROM) rose to all time highs; up 2.07% or 128.50 to 6,340.00.

The India VIX, which measures the implied volatility of Nifty 50 options, was down 3.68% to 10.80 a new 1-month low.

Gold Futures for February delivery was down 0.10% or 4.20 to $4,228.30 a troy ounce. Elsewhere in commodities trading, Crude oil for delivery in January rose 0.56% or 0.33 to hit $59.28 a barrel, while the February Brent oil contract rose 0.38% or 0.24 to trade at $62.91 a barrel.

USD/INR was down 0.28% to 89.92, while EUR/INR fell 0.29% to 104.93.

The US Dollar Index Futures was up 0.04% at 98.83.

Investing.com -- UBS shifted its outlook on Europe’s beverage sector, lifting its stance on brewers while turning more cautious on spirits as it reset ratings across major companies. 

The brokerage said beer producers are positioned for a recovery in 2026 as volume trends stabilize, while distillers continue to face pressure from weakening demand in the United States and China.

At the center of the changes, UBS upgraded Carlsberg, the Danish brewer, to “buy” from “neutral.” 

The brokerage set a price target of DKK 1,060, implying 32% upside from its reference level of DKK 802. 

UBS said Carlsberg is positioned to return to sustainable volume growth, supported by its entry into the faster-growing soft-drinks category through Britvic and increased investment in China, where selling expenses rose 14% in the third quarter. 

The brokerage’s free-cash-flow estimates for the company are roughly 15% above consensus as capex moderates and revenue synergies emerge.

For AB InBev, the world’s biggest beer company, the brokerage set a price target of €68 and said volumes could return to growth from the second quarter of 2026 as conditions in Brazil and China improve. 

UBS expects the company can sustain 1-1.5% annual volume growth, supporting about 13% EPS CAGR, and added that AB InBev’s existing $6 billion two-year buyback could rise to $10-11 billion if excess cash were fully returned.

For Heineken, the Dutch brewer, UBS maintained a “buy” rating with a €84 target, saying volume growth could resume in the first quarter of 2026. 

The brokerage cited easier retail comparisons in Europe, improving demand in Mexico and Brazil ahead of the World Cup, strong category growth in Vietnam and India, and share gains in Africa. UBS’s EPS estimates are 5-7% above consensus, helped by consolidation of the FIFCO transaction.

In contrast, the brokerage marked a clear downshift in spirits. UBS downgraded Diageo, the world’s largest distiller, to “neutral” from “buy” and set a price target of £18.5. It said U.S. spirits sell-out trends deteriorated to 9% in September and October, with the company’s Tequila portfolio down 17% as Don Julio loses share in a declining category.

UBS expects Diageo’s North America organic sales to decline to 5% in FY26, below consensus.

The French cognac maker Remy Cointreau was downgraded to “sell,” with a price target of €33.

UBS said U.S. cognac sell-out remains down at 9%, while China faces intensified promotional pressure and potential post-holiday destocking.

The brokerage expects a transition year with muted profit growth and noted the company’s 3x net-debt-to-EBITDA ratio.

UBS kept Pernod Ricard and Campari at “neutral.” For Pernod, the brokerage projected FY26 organic revenue down at 2.6% and noted leverage rising to 3.6x. 

For Campari, UBS highlighted weaker U.S. and European trends and the impact of Jamaica’s recent hurricane, though margins should benefit from lower agave costs. Campari’s price target was set at €6.2, while Pernod’s was €75.

In soft drinks, UBS reaffirmed “buy” on Coca-Cola Europacific Partners, citing strong energy-drink growth and consistent execution. It set a $105 target and pointed to combined dividends and buybacks exceeding 6% of market cap.

UBS said the sector trades at a wide valuation discount, with brewers positioned to benefit first as cyclical pressures ease, while structural challenges continue to weigh on spirits.