S&P 500 futures tick higher after Monday's sell-off - CNBC

JPMorgan Chase is preparing for a recession that starts successful 2023 arsenic the astir apt existent way for the U.S. economy, Credit Suisse expert Susan Roth Katzke said Tuesday successful a probe note.

The New York-based bank's absorption considers that its "central case" for the upcoming year, with a alleged brushed landing oregon a terrible situation seen arsenic little likely, Katzke said aft gathering with JPMorgan President and Chief Operating Officer Daniel Pinto past week.

The recession script is apt to either beryllium a mild downturn successful 2023 that sees the Federal Reserve's benchmark lending complaint deed astir 5%, oregon a deeper contraction "occurring somewhat later" that would agelong into 2024 and would spot the Fed raising rates to arsenic precocious arsenic 6%, Katzke said.

JPMorgan's earning power, reserves for indebtedness losses, divers concern lines and moves to little hazard "ought to render JPMorgan good prepared and good positioned to negociate through" the expected downturn, she said.

The bottommost enactment is that the slope wasn't wavering from its people of a 17% instrumentality connected tangible communal equity, said Katzke.

She reaffirmed her "outperform" standing connected JPMorgan shares and her $145 terms people and kept her EPS estimates unchanged.

—Hugh Son

These are the stocks making the biggest moves successful pre-market trading:

• Hibbett: The sporting goods retailer's banal slid 5.7% successful the premarket aft it missed apical and bottommost enactment estimates for its latest quarter.  The institution said it was deed by higher expenses that chopped into its nett margins, though the institution did reaffirm its full-year forecast.
• Silvergate Capital: The integer assets bank's shares fell different 2.4% successful the premarket, extending yesterday's 11.1% loss.  Yesterday's diminution followed the bankruptcy filing by cryptocurrency lender BlockFi, and the further driblet for Silvergate comes contempt a connection that it has minimal vulnerability to BlockFi.
• Chemours: Chemours tumbled 6.1% successful premarket trading aft the chemic shaper said its full-year adjusted net were tracking somewhat beneath the debased extremity of its anterior guidance range. It pointed to a important diminution successful request for titanium dioxide, peculiarly successful Europe and Asia.
• Generac: Generac fell 2.6% successful premarket enactment aft Jefferies downgraded the banal to "underperform" from "hold," citing the imaginable interaction of electrical conveyance bidirectional charging connected income of Generac's backup powerfulness products.

See the afloat database here.

— Peter Schacknow, Alex Harring

Deutsche expert Amit Mehrotra upgraded UPS to bargain from hold, noting that macro concerns surrounding the banal are present priced in.

"In the near-term, we deliberation marketplace participants are overly focused connected measurement maturation and not connected premix and productivity initiatives, which we deliberation tin thrust affirmative gross maturation and coagulated publication margins contempt modestly little home volumes by marketplace participants," helium wrote successful a enactment Monday.

UPS shares roseate much than 1% successful the premarket.

CNBC Pro subscribers tin work the afloat communicative here.

— Sam Subin

U.S.-listed shares of Chinese exertion companies roseate successful pre-market commercialized aft Chinese wellness authorities reported a caller uptick in senior vaccination rates.

Alibaba roseate 5.6%, JD.com roseate 7.43% successful pre-market trading, portion Pinduoduo roseate 5.08% and Baidu roseate 5.39%. Bilibili roseate much than 10%.

Hong-Kong listed tech companies besides surged aft the property briefing by wellness authorities — the wider Hang Seng Tech scale ended its league much than 7.6% higher.

– Jihye Lee

European markets were somewhat higher connected Tuesday arsenic investors continued to show quality from China implicit Covid restrictions.

The pan-European Stoxx 600 was up 0.3% successful aboriginal trade, with basal resources adding 1.6% to pb gains portion chemicals fell 0.7%.

Stocks successful Hong Kong jumped much than 5% by day trade, starring gains successful the Asia-Pacific portion alongside Chinese indexes, arsenic Chinese wellness authorities encouraged the country's aged to get vaccinated.

Indexes successful China jumped much than 2% arsenic investors intimately watched for developments successful the nation's zero-Covid argumentation aft seeing losses successful the erstwhile session.

China's CSI 300 scale roseate 2.97% successful the greeting session, portion the Shanghai Composite climbed 2.2%. The Shenzhen Component Index gained 2.172%.

Local media reported that the Chinese State Council volition clasp a property league connected Covid measures astatine 3 p.m. section time, oregon 2 a.m. ET.

The federation saw a drop successful the fig of regular infections for the archetypal clip successful much than a week.

– Evelyn Cheng, Jihye Lee

It's "critical" for investors to beryllium looking astatine valuations close present arsenic a recession is looming and ostentation looks apt to continue, said Steven Glass, managing manager of Pella Funds Management.

In this environment, Glass selected a database of 9 stocks that helium said, "look peculiarly inexpensive fixed their maturation outlook."

CNBC Pro subscribers tin work much here.

— Weizhen Tan

Many planetary companies are heavy exposed to China, including immoderate of the world's biggest automakers, which make betwixt 20% and 40% of their worldwide income successful the country, according to Goldman Sachs.

In a enactment to clients connected Nov. 22 — earlier the latest protests — the concern slope mapped retired the planetary car industry's vulnerability to Chinese consumers.

CNBC Pro subscribers tin work much here.

— Ganesh Rao

Investors shouldn't expect a dovish code retired of Federal Reserve Chair Jerome Powell this Wednesday, according to Trivariate Research's Adam Parker. Powell is scheduled to talk astatine the Hutchins Center connected Fiscal and Monetary Policy astatine Brookings.

"There's nary mode he's going to get dovish connection successful the adjacent term, successful my view. So we had a fake dovish rally, but we're not going to get, 'we're pivoting present and we're slowing,'" Parker said Monday connected CNBC's "Closing Bell: Overtime."

"There's excessively galore places wherever they've got to effort to power inflation," helium added. "I would beryllium amazed if they got dovish."

— Sarah Min

Investors raised their bets against stocks connected to crypto during the archetypal fractional of November, according to FactSet data.

As of Nov. 15, abbreviated involvement successful concern quality institution MicroStrategy, which has bought bitcoin, spiked 15% to 3.8 cardinal shares, which is astir 40% of their full float. Short involvement arsenic a percent of interval refers to the magnitude of shares disposable for trading that are being stake against the company.

Meanwhile, abbreviated involvement successful Marathon Digital, which mines cryptocurrencies, roseate much than 18% to 38.5 cardinal shares, oregon astir 35% of its full float.

Other companies that experienced a surge successful abbreviated involvement see Beauty Health Company, which saw abbreviated involvement leap 26% to 32.8 cardinal shares arsenic of mid-November oregon 32% of float. Meanwhile, abbreviated involvement successful Groupon rebounded 10% to 5.3 cardinal shares oregon 28% of float. Short involvement successful the e-commerce sanction had declined successful the second fractional of October.

— Sarah Min, Nicholas Wells

U.S. banal futures were level connected Monday nighttime aft the large averages came nether unit from Covid protests successful China, and arsenic investors anticipated much economical information and commentary from Federal Reserve leaders this week.

Dow Jones Industrial Average futures fell by 11 points, oregon 0.03%. S&P 500 and Nasdaq 100 futures climbed 0.03% and 0.04%, respectively.

— Sarah Min