Stocks (^DJI, ^IXIC, ^GSPC) seek to recover after hotter-than-expected CPI inflation data spurred a market sell-off on Tuesday.
Lyft (LYFT) shares continue to soar in pre-market trading after reporting fourth-quarter earnings results and first-quarter guidance yesterday, a report that included a "clerical error" on its full-year outlook.
Lastly, Airbnb (ABNB) stock slips on its mixed earnings results citing demand moderation.
For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Editor's note: This article was written by Luke Carberry Mogan.
Video Transcript
BRAD SMITH: So let's get right to it with the three things you need to know, your roadmap for the trading day. "Yahoo Finance's" Josh Schafer, Dan Howley, and Jared Blikre have more.
JOSH SCHAFER: Hey, Brad. Futures edging higher. Rebounding slightly from Tuesday's sell off following a hotter than expected inflation report, which showed January prices rising more than forecast anticipated.
The Dow closing down more than 500 points. The index's worst day since March of 2023. The S&P 500 and NASDAQ each ending the session off more than 1%. The sticky inflation report indicating the Federal Reserve may start cutting interest rates later than expected this year, and further fueling that debate on when those cuts will come.
DAN HOWLEY: We're also watching shares of Lyft this morning. A typo in the rideshare company's fourth quarter earnings release sending Lyft up more than 60% in extended trading. Initially, Lyft forecasted a 500-basis point expansion of its adjusted earnings margin for the full year. The company later clarifying the numbers should have read 50 basis points reversing the stock's course. Shares now up around 21%.
JARED BLIKRE: And Airbnb shares, they are slipping in pre-market trading. The online rental marketplace reporting an adjusted loss per share of $0.55. That's narrower than Street expectations of $0.68 a share. The company also beat Street's revenue expectations, while suggesting there could be more moderation in demand going forward.
On Airbnb earnings call, Chief Executive Officer Brian Chesky said, he remains optimistic about the company's growth and expansion into international markets.
