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10 things you need to know before the opening bell

Nov 7, 2018, 17:21 IST

John Baker arrives for a Republican election night party in Indianapolis.AP/Darron Cummings

Here is what you need to know.

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The Democrats take the House and the Republicans hold the Senate. As of 4:50 a.m. ET, the Democrats held 219 House seats (218 needed for majority) and the Republicans held 51 Senate seats (51 needed for a majority) with several seats in both chambers still up for grabs, according to the Associated Press.

Nancy Pelosi signals Democrats won't move to impeach Trump. "I get criticized in my own party for not being in support of it," the House minority leader told PBS' Judy Woodruff. "But I'm not. If that happens, it would have to be bipartisan, and the evidence would have to be so conclusive."

Stocks are rallying. The S&P 500 is on track to open higher by about 1% after a mixed overnight session saw China's Shanghai Composite (-0.68%) slide and Britain's FTSE (+1.22%) gain.

Oil is surging after report says OPEC+ countries are considering output cuts for 2109. West Texas Intermediate crude oil, the US benchmark, was up $1, or 1.62%, at $62.77 a barrel after Bloomberg reported delegates will consider boosting production for 2019 at a meeting in Abu Dhabi this weekend. WTI touched its lowest level in seven months on Tuesday.

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Hank Paulson warns of an 'economic iron curtain' if the US and China can't find a way to get along. The former Treasury Secretary told the Bloomberg New Economy Forum in Singapore that the US risks triggering a "full-blown" cold war and isolating itself from the region if it cannot mend its differences with China.

One expert says Elon Musk and other short-selling opponents are thinking about the situation completely wrong. "Just because someone borrowed the stock doesn't mean it finds its way into the marketplace as a transacted short sale," Bob Sloan, the managing partner at financial technology and analytics firm S3 Partners told Business Insider. "Those two things are very different from one another. And yet, because of how data has been contributed to the marketplace, those two things - the borrow and the executed short sale - have become conflated as the same thing. And they're not."

AMD spikes after Amazon makes a big bet on its new processors. Shares gained as much as 8.8% Tuesaday, and finished up 3.92%, after Amazon said it would use AMD's new processors to give some customers lower prices for cloud services.

Boeing is said to be warning its 737 Max customers about erroneous cockpit readings that could make the passenger jet 'aggressively dive.' The bulletin is being prepared after preliminary findings from the recent Lion Air flight that crashed off the coast of Indonesia, Bloomberg reports, citing an annonymous source.

Earnings season rolls on. Dish, Michael Kors, and 21st Century Fox report ahead of the opening bell while Qualcomm, Roku, and Square release their quarterly results after markets close.

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US economic data trickles out. Consumer credit will cross the wires at 3 p.m. ET.

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