Nike shares surged 10% in premarket trading on Friday as an encouraging forecast and plans to reduce China production for U.S.-bound goods bolstered confidence in an ongoing turnaround effort at the sportswear giant.

Nike said its fiscal fourth quarter will see the worst of its turnaround efforts but investors are wondering if sales and profits still have more room to fall.

BEAVERTON: Nike shares surged 13.3% today as an encouraging forecast on the back of its turnaround effort and plans to reduce China production for US-bound goods bolstered investor confidence. Major brands have spent years shifting away from Chinese factories for the US market as political tensions between Washington and Beijing escalated,