【US Pre-Market】US CPI Ahead; Bank of America Falls 4%, BlackRock Gains Over 5%

TradingKey - On Wednesday Eastern Time (October 14), futures on the three major US stock indexes were mixed in pre-market trading as investors remained cautious ahead of the release of US September CPI data. Financial earnings from major institutions showed a clear divergence, with BlackRock (BLK) posting strong results, while Bank of America was dragged down by regulatory fines and earnings missing expectations; meanwhile, shipping risks in the Strait of Hormuz once again pushed international oil prices higher.

As of press time, Dow futures rose 0.36%, S&P 500 futures gained 0.2%, and Nasdaq 100 futures fell 0.09%.

Source: Investing

In commodities, international oil prices continued to rise. WTI (USOIL) crude rose about 1.0%, trading near $95.6; Brent (UKOIL) crude rose about 0.1%, climbing to near $106.3. Two commercial vessels were attacked in the Strait of Hormuz, and with Iranian officials stating that they are adjusting their actions against non-compliant ships, supply disruption risk premiums rose again.

Gold (XAUUSD) fell about 0.5%, trading near $4,140. The US Dollar Index rose slightly to 102.25, while market participants reduced directional bets ahead of the US CPI release, limiting safe-haven demand for gold.

In cryptocurrencies, Bitcoin (BTC) rose about 0.3%, trading near $83,500. Overall volatility in the crypto market remained limited, with investors awaiting inflation data to provide further direction for the US dollar, Treasury yields, and risk assets.

Market Action

Bank of America (BAC) fell about 4% in pre-market trading. The company's third-quarter adjusted earnings per share were $1.08, below market expectations of $1.10; revenue grew 3% year-over-year to $30 billion. Net income fell to $6.9 billion from $8.3 billion in the same period last year due to a $1.2 billion regulatory settlement fee.

BlackRock rose over 5% in pre-market trading. The company's assets under management reached $15.5 trillion at the end of the third quarter, with quarterly net inflows of $205 billion; revenue increased 19% year-over-year, adjusted diluted earnings per share grew 38% year-over-year, and Aladdin technology services and ETF businesses continued to expand.

Chip stocks showed mixed performance in pre-market trading. Nvidia (NVDA) rose about 0.2%, Micron Technology (MU) fell about 1.4%, and Intel (INTC) dropped about 1.6%. ASML raised its full-year guidance, offering support for AI infrastructure demand, but concerns over technical progress by Chinese memory chipmakers and intensifying industry competition continued to weigh on Micron and Intel.

GameStop (GME) rose about 1.8% in pre-market trading. Regulatory filings show that company Chairman and CEO Ryan Cohen purchased 844,130 shares of Class A common stock on October 13, for a transaction value of approximately $22.8 million, at purchase prices ranging between $26.75 and $27 per share.

Market News

ASML (ASML) raised its 2026 performance outlook. The company reported third-quarter net sales of 11.7 billion euros and net profit of 5 billion euros, while narrowing its full-year net sales guidance to 44 billion to 45 billion euros. The company stated that some customers have begun discussing equipment orders for 2029 and 2030.

The International Energy Agency lowered its global oil demand forecast. The IEA expects that, affected by Middle East conflicts, tight fuel supplies, and a weakening economic outlook, global oil demand in 2026 will decrease by about 2.6 million barrels per day year-on-year, with fourth-quarter demand expected to fall by 2.5 million barrels per day year-on-year.

Shipping risks in the Strait of Hormuz have risen further. The Islamic Revolutionary Guard Corps Navy stated that a cargo ship sank after striking a mine in the strait; the United Kingdom Maritime Trade Operations previously reported that a container ship and an oil tanker were attacked by unidentified projectiles.

New York Fed President Williams stated that he expects the Federal Reserve will still need to raise interest rates once more this year, but may not need to continue raising rates in 2027. He also noted that despite pressure from energy prices, factors encouraging underlying inflation to cool remain present in the US economy.

Key Data and Events Preview

At 8:30 a.m. ET on October 14, the U.S. releases September CPI, core CPI, and real earnings data.

At 1:30 p.m. ET on October 14, Richmond Fed President Barkin delivers a speech.

At 2:00 p.m. ET on October 14, the Fed releases its Beige Book on economic conditions.