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Exchange-Traded Funds, Equity Futures Lower Pre-Bell Tuesday as Traders Assess AI Momentum

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The broad market exchange-traded fund SPDR S&P 500 ETF Trust (SPY) was down 0.2% and the actively traded Invesco QQQ Trust (QQQ) retreated by 0.1% in Tuesday's premarket activity, as investors assessed whether recent AI-driven gains can be sustained.

US stock futures were also lower, with S&P 500 Index futures down 0.2%, Dow Jones Industrial Average futures slipping 0.5%, and Nasdaq futures losing 0.1% before the start of regular trading.

The Job Openings and Labor Turnover Survey, or JOLTS, for April will be released at 10:00 am ET.

In premarket action, bitcoin was down by 2.9%. Among cryptocurrency ETFs, the cryptocurrency fund ProShares Bitcoin Strategy ETF (BITO) was 2.9% lower, Ether ETF (EETH) retreated by 1.2%, and Bitcoin & Ether Market Cap Weight ETF (BETH) fell by 3%.

Power Play:

Industrial

The State Street Industrial Select Sector SPDR ETF (XLI) was flat, while the Vanguard Industrials Index Fund (VIS) was down 0.1% and the iShares US Industrials ETF (IYJ) was inactive.

Generac (GNRC) stock was up more than 9% before the opening bell after the company signed a global supply agreement with an unnamed hyperscale data center operator to supply backup power generators.

Winners and Losers:

Financial

The State Street Financial Select Sector SPDR ETF (XLF) was little changed. Direxion Daily Financial Bull 3X Shares (FAS) was down 0.4%, while its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), was 0.7% higher.

UP Fintech (TIGR) shares were down more than 2% pre-bell after the company swung to a Q1 non-GAAP net loss.

Energy

The iShares US Energy ETF (IYE) was down 2%, while the State Street Energy Select Sector SPDR ETF (XLE) was 0.3% lower.

BW LPG (BWLP) stock was up 0.7% before market open after the company reported higher Q1 earnings.

Healthcare

The State Street Health Care Select Sector SPDR ETF (XLV), Vanguard Health Care Index Fund (VHT) and iShares US Healthcare ETF (IYH) were little changed. The iShares Biotechnology ETF (IBB) was inactive.

Hims & Hers Health (HIMS) stock was up 3% premarket after the company said it had completed its acquisition of Eucalyptus, expanding its consumer health platform across Australia, Canada, Germany, and other international markets.

Technology

The State Street Technology Select Sector SPDR ETF (XLK) gained slightly, and the iShares US Technology ETF (IYW) was marginally down, while the iShares Expanded Tech Sector ETF (IGM) was up 0.4%. Among semiconductor ETFs, the State Street SPDR S&P Semiconductor ETF (XSD) increased 3%, while the iShares Semiconductor ETF (SOXX) rose by 2.5%.

Nvidia (NVDA) shares were up more than 1% in premarket activity after Reuters reported, citing CEO Jensen Huang at the Computex event in Taipei, that the company has enough supply to support strong growth in its central processing units and graphics processing units.

Consumer

The State Street Consumer Staples Select Sector SPDR ETF (XLP) was up 0.2%, and the Vanguard Consumer Staples Index Fund ETF Shares (VDC) was 0.4% lower. The iShares US Consumer Staples ETF (IYK) was flat. The State Street Consumer Discretionary Select Sector SPDR ETF (XLY) lost 0.5%. The VanEck Retail ETF (RTH) was inactive, while the State Street SPDR S&P Retail ETF (XRT) was 0.5% higher.

Amazon.com (AMZN) shares were down more than 1% pre-bell, extending a 3.5% fall at Monday's close. The company said Tuesday its Prime Day shopping event will take place from June 23 through June 26.

Commodities

Front-month US West Texas Intermediate crude oil retreated by 0.8% to $91.41 per barrel on the New York Mercantile Exchange. Natural gas was down 1.8% to $3.12 per 1 million British Thermal Units. The United States Oil Fund (USO) was down by 1.1%, and the United States Natural Gas Fund (UNG) was 2% lower.

Gold futures for July retreated by 1.2% to $4,558.30 an ounce on the Comex. Silver futures rose by 2% to $76.73 an ounce. SPDR Gold Shares (GLD) was up by 1%, and the iShares Silver Trust (SLV) increased by 1.9%.

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Softer Demand for US Plastics Feedstocks Lowers Petrochemicals Prices, Bloomberg Analysis Shows

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Commodities

Hallador Energy to Buy 460 MW Siemens Turbines for Merom Gas-Fired Power

Hallador Energy Company (HNRG) said on Monday it has agreed to purchase 460 megawatts of Siemens gas turbines, generators, a steam turbine, and ancillary equipment from Energy World Corporation for its Merom simple cycle natural gas-fired combustion turbine project.The total purchase price of the acquisition is about $350 million or about $760/kilowatt, the company, an Indiana-based coal mining and power generation company, said in a statement.Including the incremental costs for transportation, refurbishment, insurance, and logistics, the delivered price for the acquisition is around $450 million, which is over 50% of the Merom project's estimated total cost, the statement said.The project is currently advancing the Midcontinent Independent System Operator's expedited resource addition study interconnection process, with revenue generation targeted for late 2028 to mid-2029, the statement said.The company will continue to seek long-term power purchase agreements and a final investment decision is expected after the completion of the study in September.Hallador retains the option to either fully develop the project, sell it with the equipment, or sell the equipment separately, with the decision subject to receipt and evaluation of MISO approvals, offtake agreements, financing, and other project development milestones, it added.

$HNRG
Commodities

Market Chatter: Analysts Warn OPEC of Prolonged Shipping Disruptions Despite Hormuz Reopening

Oil industry experts warned the Organization of the Petroleum Exporting Countries and its allies that flows through the Strait of Hormuz will remain disrupted through year-end even if the chokepoint reopens immediately, Bloomberg reported Tuesday, citing sources.It will take "many" months for shipments to return to pre-war levels, consultants and analysts reportedly said during a technical meeting at OPEC's Vienna headquarters on Monday.OPEC did not immediately respond to' request for comment.S&P Global, FGE NexantECA, Vortexa, Kpler, and Energy Aspects were among the scheduled presenters at the meeting, according to the news agency. The sources did not specify which firms made the comments about the resumption of oil flows.Last month, Abu Dhabi National Oil chief executive Sultan Al Jaber reportedly said that, even if the conflict ends promptly, it will take four months for flows to reach 80% of pre-war levels, while shipments may fully return in H1 2027.OPEC's Economic Commission Board will meet on Tuesday, prior to a ministerial meeting on June 7.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)