Benzinga·2025-12-12 10:19Market Overview - U.S. stock futures showed mixed performance following a mixed close on Thursday, with major indices experiencing fluctuations [1][3] - The Dow Jones increased by over 600 points, indicating a rotation out of expensive tech stocks, while overall risk appetite remained strong after the Federal Reserve's third consecutive interest-rate cut [1][2] Economic Indicators - The 10-year Treasury bond yielded 4.17%, while the two-year bond was at 3.53%, with a 73.4% likelihood of the Federal Reserve maintaining current interest rates [2] Company Performance - Costco Wholesale Corp. (NASDAQ:COST): Experienced a 0.52% decline in premarket trading despite better-than-expected financial results for Q1 fiscal 2026, maintaining a weaker price trend [7] - Broadcom Inc. (NASDAQ:AVGO): Dropped 5.18% due to disappointing guidance regarding shrinking gross margins and a higher tax rate for fiscal 2026, but maintains a stronger price trend overall [7] - Lululemon Athletica Inc. (NASDAQ:LULU): Jumped 9.49% after exceeding Q3 expectations and raising full-year guidance, despite a weaker long-term price trend [16] - RH (NYSE:RH): Increased by 4.26% despite mixed Q3 results, reporting earnings of $1.71 per share, missing estimates, but revenue of $883.81 million beat expectations [16] - Tilray Brands Inc. (NASDAQ:TLRY): Surged 28.11% following the announcement of a new product line, maintaining a stronger long-term price trend [16] Sector Insights - Analysts suggest a rotation from Communication Services and Information Technology into sectors with more upside potential, specifically highlighting Financials, Industrials, and Utilities as favored sectors [12][14] - The anticipated GDP growth and moderating inflation are expected to create a favorable environment for risk assets, particularly equities [12]