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5 things to know before the stock market opens on Tuesday 22 February


Here are the most important news, trends and analysis that investors need to start their trading day:

1. Stocks set to open lower on Wall Street, but well off overnight lows

Traders work on the floor of the New York Stock Exchange (NYSE) in New York, United States, February 18, 2022.

Brendan McDermid | Reuters

U.S. stock futures erased much of the steep overnight losses on Tuesday as investors weighed in on whether Russia would invade Ukraine. The day after Moscow recognized the independence of the breakaway regions of Luhansk and Donetsk, the Ukrainian president said on Tuesday that his country wanted peace but would not give up its territory. The United Kingdom on Tuesday announced targeted economic sanctions against five Russian banks and three wealthy individuals. US sanctions are also expected.

2. UK hits Russia with sanctions ahead of expected US punitive measures

View of the pipeline systems and shut-off devices at the gas receiving station of the Nord Stream 2 Baltic Sea pipeline. Originally, the pipeline for natural gas from Russia was to enter service at the end of 2019.

Stephane Sauer | photo alliance | Getty Images

Germany announced on Tuesday that it would suspend certification of the Nord Stream 2 gas pipeline designed to deliver natural gas from Russia directly to Europe. The German chancellor has said her country will not accept recognition of the two self-proclaimed pro-Russian breakaway regions of Ukraine.

  • Addressing lawmakers on Tuesday, British Prime Minister Boris Johnson said the first tranche of sanctions would target Rossiya, IS Bank, General Bank, Promsvyazbank and Black Sea Bank.
  • The United Nations Security Council held a rare emergency meeting Monday evening in New York to deal with the escalating Russia-Ukraine crisis.
  • The US ambassador to the UN said the US would unveil new sanctions against Russia on Tuesday, urging member states to impose severe consequences on Moscow as well.

3. Russia recognizes the independence of two pro-Moscow regions in Ukraine

Russian President Vladimir Putin addresses the nation on recognizing the independence of the Donetsk and Luhansk people’s republics on February 21, 2022.

Alexei Nikolsky | Mug | Getty Images

Russia announced on Tuesday that its recognition of the independence of Ukraine’s eastern regions extends to territory currently held by Ukrainian forces, raising further concerns about a full-blown invasion. Russian President Vladimir Putin has long sought to restore his influence over former Soviet republics, with Ukraine at the center of his ambitions. Pro-Moscow Luhansk and Donetsk have been in conflict with Ukraine since 2014, when Russia annexed Crimea. Ukraine said 14,000 people were killed during the eight-year struggle.

4. Macy’s surged, Home Depot slumped after quarterly earnings release

Macy’s flagship store in Herald Square in New York on December 23, 2021.

Scott Mlyn | CNBC

Macy’s shares jumped about 6% in premarket after the department store chain on Tuesday reported fiscal fourth-quarter earnings and sales that beat estimates. Macy’s also said a strategic review prompted the retailer to accelerate its turnaround plans, rejecting calls from activist Jana Partners for it to split its e-commerce operations.

A customer leaves a Home Depot with merchandise she purchased on August 17, 2021 in Alexandria, Virginia.

Alex Wang | Getty Images

Dow stock Home Depot fell 2% in premarket trading despite the home improvement retailer reporting better-than-expected earnings and revenue for its fiscal fourth quarter on Tuesday. The Home Depot expects earnings per share growth to be single digits and sales growth to be “mildly positive” in the next fiscal year.

5. Tesla CEO Elon Musk accuses the SEC of leaking information from a federal investigation

Entrepreneur and business tycoon Elon Musk gestures during a visit to the under construction Tesla Gigafactory on August 13, 2021 in Gruenheide near Berlin, eastern Germany.

Patrick Pleul | AFP | Getty Images

Tesla CEO Elon Musk, through his attorney, has accused the Securities and Exchange Commission of leaking information about a federal investigation in order to get revenge on him for publicly criticizing the federal financial regulator. Monday’s letter to a federal judge comes four days after Musk initially alleged the SEC was engaging in harassment by continually investigating him. Musk’s row with the SEC began in September 2018 when the commission accused Musk of making “false and misleading” statements to investors over a tweet saying the company had secured funding for a privatization deal.

— The Associated Press and Reuters contributed to this report. Register now for the CNBC Investing Club Follow all of Jim Cramer’s stock moves. Follow the evolution of the market like a pro on CNBC Pro.


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