Delta Air Lines ended a seven-quarter streak of earnings beats, reporting Q3 earnings of $1.72 per share that missed the Zacks consensus by 8 cents, or 4.44%, while revenues of $17.59 billion came in 0.89% short of estimates. The company's press release pointed to fuel costs as the problem, up 62% year over year and a cool $500 million more than the company guided back in July, with those costs now expected to continue into next quarter's numbers. Ahead of the open, pre-market futures were higher, with the Nasdaq up 210 points, the Dow up 59 points, the S&P 500 up 25 points and the small-cap Russell 2000 up 6 points, while bond yields sat at 5.26% on the 10-year, 4.79% on the 2-year and 5.265% on the 30-year. Oil prices moderated despite escalating Middle East hostilities, with Iran-backed Houthi rebels in Yemen attacking Saudi Arabia's Riyadh airport and killing three, as WTI traded around $91 per barrel and Brent crude at $103 per barrel, off recent highs but plateauing at four-year highs. At 10am ET, the preliminary University of Michigan Consumer Survey for October is expected to tick up slightly to 48 from 47.8, still below the 50 threshold that indicates negative sentiment, and next week brings September CPI and PPI data along with the start of Q3 bank earnings from JPMorgan, Citigroup and Wells Fargo on Tuesday morning.
Citigroup Inc.
JPMorgan Chase & CoDelta Air Lines IncDelta posted its first earnings miss in two years, with Q3 EPS of $1.72 missing consensus by 8 cents.
Wells Fargo & Company
