Stock market live updates: Waiting on G-7 statement, Tesla jumps

Traders work on the floor at the New York Stock Exchange, March 2, 2020.

Brendan McDermid | Reuters

This is a live blog. Check back for updates.

8:13 am: Airline stocks moving higher

Shares of airline stocks are in the green, with Delta gaining more than 3% and United and American each up more than 1% in premarket trading. As the coronavirus has spread, airline companies have been hit especially hard, and all three stocks are currently trading in bear market territory. – Stevens

8:12 am: Qorvo cuts guidance due to coronavirus

Chipmaker Qorvo lowered its revenue guidance for the March quarter to $770 million from a range of $800 million to $840 million previously. The chipmaker said the coronavirus has impacted “the smartphone supply chain and customer demand more than anticipated.” Shares of Qorvo rose 1.6% in premarket trading, however, as the negative impact from the outbreak might have been priced in. Qorvo has already tumbled nearly 14% this year. “The full impact of COVID-19 remains difficult to forecast given the uncertainty of the magnitude, duration and geographic reach of the outbreak,” the company added. – Li

8:03 am: Kohl’s jumps as earnings top estimates

Shares of Kohl’s gained more than 4% during Tuesday’s premarket trading after the retailer beat top and bottom line estimates in the fourth quarter. The company earned $1.99 per share on $6.537 billion in revenue, while analysts polled by Refinitiv had been expecting EPS of $1.88 and $6.523 billion in revenue. CEO Michelle Gass said the chain saw an “acceleration of traffic,” and new customers both in stores and online. Same-store sales were flat, but that was better than the 0.1% drop analysts had been expecting. – Stevens

7:42 am: G-7 statement mentions no specific action

Here’s what the statement said:

“Given the potential impacts of COVID-19 on global growth, we reaffirm our commitment to use all appropriate policy tools to achieve strong, sustainable growth and safeguard against downside risks.  Alongside strengthening efforts to expand health services, G7 finance ministers are ready to take actions, including fiscal measures where appropriate, to aid in the response to the virus and support the economy during this phase.  G7 central banks will continue to fulfill their mandates, thus supporting price stability and economic growth while maintaining the resilience of the financial system.

We welcome that the International Monetary Fund, the World Bank, and other international financial institutions stand ready to help member countries address the human tragedy and economic challenge posed by COVID-19 through the use of their available instruments to the fullest extent possible.”

7:39 am: Stock futures imply losses at the open after G-7 statement

Stock futures reversed course and are now pointing to losses at the open after the G-7 statement mentioned no specific actions to combat coronavirus. – Stevens

7:33 am: G-7 statement ahead

Global investors awaited a statement from the G-7 on how the top world economies plan on counteracting the coronavirus’ impact on economic activity. However, Reuters cited a G-7 official with direct knowledge of the deliberations saying that the statement does not include any specific call for new government expenditure or coordinated interest rate cuts by central banks. —Imbert

7:31 am: Investors await action from global central banks

Expectations are rising on Wall Street that global central banks will soon provide stimulus in a bid to offset the potential economic fallout from the coronavirus. On Tuesday, the Reserve Bank of Australia announced a cut in its cash rate by 25 basis points to 0.5%, a new record low. The central bank’s governor acknowledged that the outbreak is having a “significant effect” on the country’s economy. Meanwhile, the market has already priced in a 50 basis point rate cut at the Federal Reserve’s policy meeting this month. Many also see the possibility of the Fed pulling the trigger before its March 18 meeting. Investors are awaiting a statement from the G-7 major economies on plans to mitigate the virus impact following a conference call Tuesday morning led by Treasury Secretary Steven Mnuchin and Fed Chair Jerome Powell. – Li

7:29 am: Tesla shares jump on upgrade

JMP Securities upgraded shares of Tesla to market outperform from market perform and established a Street high price target of $1,060 per share, sending shares of the electric automaker up more than 6% to $793 per share in premarket trading Tuesday. “The recent market-driven pullback provides investors with a good opportunity to enter the stock in our opinion, and a perusal of offerings from competitors suggests that TSLA’s market position should continue to be dominant,” JMP Securities analyst Joseph Osha said in a note to clients. Shares of Telsa are up nearly 80% this year. – Fitzgerald

7:16 am: U.S. stock futures point to muted gains at the open

U.S. stock futures pointed to muted gains at the open, as the market awaits a statement from the G-7 call and as the number of coronavirus cases worldwide tops 90,000. Quiet futures trading is a departure from the market’s recent volatility. Stocks roared back to life on Monday with the Dow gaining 5.09% for its best day in nearly 11 years, and all the major averages posted their largest point gains on record. Monday’s surge followed the worst week since the financial crisis, however, so stocks still have a ways to go to make up for the recent declines. – Stevens

With reporting from CNBC’s Fred Imbert.

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