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] - 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] 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] Futures Performance - Dow Jones futures increased by 0.17%, while S&P 500 and Nasdaq 100 futures decreased by 0.19% and 0.54%, respectively [3] Stocks in Focus - Costco Wholesale Corp. reported better-than-expected financial results for Q1 of fiscal 2026 but saw a premarket decline of 0.52% [7] - Broadcom Inc. dropped 5.18% due to disappointing guidance regarding gross margins and a higher tax rate for fiscal 2026 [7] - Lululemon Athletica Inc. surged 9.49% after exceeding Q3 expectations and raising full-year guidance [16] - RH experienced a 4.26% increase despite mixed Q3 results, reporting earnings of $1.71 per share, missing estimates [16] - Tilray Brands Inc. rose 28.11% following the announcement of its new product line [16] Analyst Insights - Scott Wren from Wells Fargo anticipates moderate growth and easing price pressures in the U.S. economy, projecting S&P 500 earnings growth of slightly over 11% [12] - Wren recommends active management and suggests reallocating funds from Communication Services and Information Technology to sectors like Financials, Industrials, and Utilities, which are expected to benefit from AI capital expenditures [13][14]