Netflix Earnings, Oil Price, and China Exports: 3 Things

Tesla reports Q3 earnings after the bell, along with IBM, SAP, Alcoa and others. Netflix shares fall sharply after the company missed sales and profit forecasts. Oil prices rise as Mint reports that India and the U.S. inch closer to a deal on Russian oil. Chinese exports to the U.S. grow to $1 billion per day in September, despite Trump's efforts to reduce America's reliance on the world's second largest economy.

For more live coverage of markets watch the full episode of Market Sunrise and head to Yahoo Finance.

Video Transcript

00:09 Speaker A

Well, let's kick off the things you need to know before the opening bell.

00:13 Speaker A

Number one, the earnings parade continues and there are two blockbuster stocks in the spotlight.

00:19 Speaker A

Netflix stock is down dramatically in pre-market, around 7% in the red as investors digest a disappointing earnings report last night.

00:29 Speaker A

Netflix missed analyst expectations on both revenue and profit

00:33 Speaker A

with earnings per share at $5.87, lower than the company's own forecast of $6.87.

00:43 Speaker A

Tesla on the other hand is reporting today after the bell. While sales in Q3 have been boosted by the end of a generous tax credit, the company is facing growing questions around its revenue forecast and the performance of Robo taxis, Optimus, and artificial intelligence businesses.

00:59 Speaker A

Other names reporting today after the closing bell include IBM, SAP and Alcoa.

01:03 Speaker A

Number two, oil prices rose more than 1 and a half% with Brent above $62 and crude above $58.

01:13 Speaker A

And this comes amid reports that the United States is close to reaching a deal with India.

01:21 Speaker A

As part of the agreement, Delhi would wind down its imports of Russian oil. In exchange, Washington could slash tariffs on Indian exports to around 15% from the current 50%.

01:34 Speaker A

For our third thing to know, we stay on global trade and this one is bad news for President Trump.

01:40 Speaker A

Well, despite the tariffs and ongoing negotiations, China's exports to the US are up in September from the previous month, hitting about $1 billion a day.

01:50 Speaker A

It's a reminder of Beijing's bargaining power as America continues to buy its goods.

01:54 Speaker A

Negotiations continue between the world's largest economies, even though the President said that his highly anticipated meeting with Xi Jinping could be off.

02:07 Speaker A

Well, it might not happen and that's adding a bit of a chill to Asian markets this morning.

View Comments