Upbeat Tech Earnings May Lead To Continued Strength On Wall Street

[ADVFN]( [[Global Email] World Daily Markets Bulletin]( Wednesday, 02 February 2022 08:54:40 [ADVFN Twitter]( [Monitor]( [Quote]( [Charts]( [News]( [Toplists]( [Boards]( [How Pro Traders Actually Pick Their Stocks]( When a stock skyrockets, we're eager to see if it will continue to push higher or reverse course. And there is one way to know what's coming next, but it isn't what you think. It's the only guaranteed way to get answers. [Check out this must-see tool for predictive analysis.]( --------------------------------------------------------------- US Market Bitcoin [Bitcoin]( DAX [DAX]( Dow Jones [Dow Jones]( Nasdaq [Nasdaq]( The major U.S. index futures are currently pointing to a higher open on Wednesday, with stocks likely to extend the strong upward move seen over the past few sessions. Technology stocks are likely to lead an early advance on Wall Street, as reflected by the 1.4 percent jump by the Nasdaq 100 futures. The upward momentum for the tech sector comes following upbeat earnings from some big-name companies like Google parent Alphabet (GOOGL). Shares of Alphabet are soaring by 10 percent in pre-market trading after the tech giant reported fourth quarter result that exceeded analyst estimates on both the top and bottom lines. Alphabet also announced a 20-for-1 stock split, which has led to speculation the stock could be headed for inclusion in the Dow. Chipmaker Advanced Micro Devices (AMD) is also seeing substantial pre-market strength after reporting better than expected fourth quarter results and providing upbeat guidance. Shares of General Motors (GM) may also move to the upside after the auto giant reported fourth quarter earnings that beat expectations and raised its 2022 forecast. On the other hand, shares of Starbucks (SBUX) may come under pressure after the coffee giant reported weaker than expected fiscal first quarter earnings. The futures did not show much reaction to a report from payroll processor ADP unexpectedly showing a sharp pullback in U.S. private sector employment in the month of January. Stocks showed a lack of direction throughout much of the trading session on Tuesday but managed to end the day mostly higher. With the upward move, the major averages added to the strong gains posted in the two previous sessions. The major averages moved to the upside going into the close, ending the session near their best levels of the day. The Dow advanced 273.38 points or 0.8 percent to 35,405.24, the Nasdaq climbed 106.12 points or 0.8 percent to 14,346.00 and the S&P 500 rose 30.99 points or 0.7 percent at 4,546.54. The strength that emerged on Wall Street came as traders continue to pick up stocks at relatively reduced levels following a disappointing January. Despite the strong upward move seen over the last two sessions of January, the major averages posted steep losses for the first month of the year. The Nasdaq and the S&P 500 plunged by 8.9 percent and 5.2 percent, respectively, recording their worst months since March of 2020. A positive reaction to the latest earnings news also contributed to the continued advance, with shares of UPS (UPS) soaring after the delivery giant reported better than expected fourth quarter results, provided upbeat guidance and raised its dividend. Energy giant ExxonMobil (XOM) also showed a strong move to the upside after reporting fourth quarter earnings that beat analyst estimates and announcing a new $10 billion share repurchase program. In U.S. economic news, the Institute for Supply Management released a report showing growth in U.S. manufacturing activity continued to slow in the month of January. The ISM said its manufacturing PMI fell to 57.6 in January from a revised 58.8 in December, although a reading above 50 still indicates growth in the sector. The index decreased for the third straight month, slipping to its lowest level in over a year. Economists had expected the manufacturing PMI to drop to 57.5 from the 58.7 originally reported for the previous month. Steel stocks moved sharply higher over the course of the session, resulting in a 4.7 percent spike by the NYSE Arca Steel Index. Significant strength also emerged among energy stocks, which soared even as by the price of crude oil ended the day only modestly higher. Reflecting the strength in the energy sector, the Philadelphia Oil Service Index shot up by 4.2 percent and the NYSE Arca Oil Index jumped by 3 percent. Banking stocks also turned in a strong performance on the day, with the KBW Bank Index surging by 2.4 percent. Transportation, brokerage and biotechnology stocks also moved notably higher, while interest rate-sensitive utilities stocks bucked the uptrend. --------------------------------------------------------------- [MUST SEE 'Set and Forget' Dividend Portfolio]( The easiest way to self-manage your dividend income portfolio without losing a ton of money is following my advice below. Dividend stocks I personally recommend and buy myself are meant to held for a long time. One of my current dividend payers to 'set and forget' for now is paying over 25% yields. There?s a process I follow to build this dividend portfolio that grows and ends up paying your bills for life. See how easy it is to follow. [Click here to see how this 'set and forget' dividend portfolio works.]( --------------------------------------------------------------- U.S. Economic Reports CADUSD [CADUSD]( Oil [Oil]( Gold [Gold]( EURUSD [EURUSD]( Reflecting the impact of the Omicron variant of the coronavirus, payroll processor ADP released a report on Wednesday unexpectedly showing a sharp pullback in U.S. private sector employment in the month of January. ADP said private sector employment plunged by 301,000 jobs in January after jumping by a downwardly revised 776,000 jobs in December. The steep drop surprised economists, who had expected private sector employment to increase by 207,000 jobs compared to the spike of 807,000 jobs originally reported for the previous month. At 10:30 am ET, the Energy Information Administration is due to release its report on oil inventories in the week ended January 28. Crude oil inventories are expected to rise by 1.8 million barrels after climbing by 2.4 million barrels in the previous week. --------------------------------------------------------------- Stocks in Focus Shares of Capri Holdings (CPRI) are moving sharply higher in pre-market trading after the fashion holding company reported better than expected fiscal third quarter earnings and raised its guidance. Oil refiner Marathon Petroleum (MPC) is also likely to see initial strength after reporting fourth quarter results that far exceeded analyst estimates and added $5 billion to its stock buyback program. Meanwhile, shares of PayPal (PYPL) are seeing substantial pre-market weakness after the payment service reported weaker than expected fourth quarter earnings and provided disappointing guidance. Online dating giant Match Group (MTCH) may also come under pressure after reporting a fourth quarter net loss and forecasting full-year revenue below analyst estimates. --------------------------------------------------------------- --------------------------------------------------------------- Europe European stocks are moving higher on Wednesday after top U.S. companies like Alphabet, Advanced Micro Devices and General Motors reported encouraging earning. It's a relatively quiet day on the economic calendar ahead of the European Central Bank and Bank of England policy meetings on Thursday. The ECB is unlikely to announce policy tightening anytime soon, while investors await a second consecutive rate hike from the Bank of England. While the German DAX Index has risen by 0.4 percent, the French CAC 40 Index and the U.K.?s FTSE 100 Index are up by 0.7 percent and 0.8 percent, respectively. Danish drug developer Novo Nordisk has jumped after saying it is eyeing sales growth of between 6 percent and 10 percent in local currencies in 2022. Swedish industrial technology group Hexagon has also shown a strong move to the upside after posting record quarterly earnings. British online supermarket group Ocado has also moved sharply higher after Credit Suisse upgraded its rating on the stock. Airline Wizz Air Holdings is also seeing notable strength after unveiling strong passenger traffic figures for January. Telecommunications firm Vodafone has also surged after reporting a rise in third quarter revenue and reaffirming its full-year outlook. TeamViewer has soared. The software company said its fourth quarter billings were up 20 percent from prior year, or up 17 percent in constant currency. Chip supplier Siltronic has also shown a strong move to the upside after reporting a 17 percent increase in quarterly earnings. On the other hand, Swedbank has moved sharply lower after reporting slightly worse than expected quarterly earnings. Swiss drug maker Novartis has also dropped after its fourth quarter operating income declined 3 percent despite higher sales. Lender Julius Baer has also come under pressure despite posting a 55 percent jump in 2021 net profit and raising its dividend. --------------------------------------------------------------- Do you have a full view of the market? Level 2 lets you see all of the orders to buy and sell shares, allowing you to see what is really going on in the market. If you don?t have this in your trading toolkit, you?re at a serious disadvantage. [Learn More / Upgrade]( --------------------------------------------------------------- Asia USDCAD [USDCAD]( USDEUR [USDEUR]( USDGBP [USDGBP]( USDJPY [USDJPY]( Asian stocks advanced in thin trading on Wednesday as investors continue to pick up beaten-down shares following a disappointing January. Markets in China, Hong Kong and South Korea remained closed for the Lunar New year holidays. Japanese shares advanced as investors sought to buy oversold stocks with robust earnings. The Nikkei 225 Index jumped 455.12 points, or 1.7 percent, to 27,533.60, while the broader Topix closed 2.1 percent higher at 1,936.56. Electronic application equipment maker Keyence soared 6.2 percent after releasing upbeat earnings for the nine months through December. Sony Group surged 4.9 percent ahead of its earnings release. ANA Holdings spiked 6.2 percent after the airline surprised with a small third quarter operating profit. Aisin, Isetan Mitsukoshi Holdings and ANA Holdings also climbed 4-6 percent on encouraging earnings news. Australian markets rose for the second straight session after the Reserve Bank ended QE but urged patience on policy tightening. The benchmark S&P/ASX 200 Index jumped 81.70 points, or 1.2 percent, to 7,087.70, while the broader All Ordinaries Index ended up 86.80 points, or 1.2 percent, at 7,399.60. A jump in oil prices lifted energy stocks, with Woodside Petroleum and Santos rising around 3 percent each. Miners BHP, Rio Tinto, South32 and Fortescue Metals Group rallied 2-4 percent as copper and nickel prices rose on a weaker dollar. New Zealand shares extended gains from the previous session as investors took advantage of January's weakness to buy stocks at bargain prices. The benchmark S&P/NZX 50 Index surged 230.70 points, or 1.9 percent, to 12,289.64 after having gained 1.4 percent the previous day. The index lost nearly 9 percent in January. Investor sentiment was boosted after data showed the country's jobless rate fell to a record low of 3.2 percent in the fourth quarter. Transport and logistics company Mainfreight topped the gainers list, soaring 6.1 percent after issuing a positive trading update. --------------------------------------------------------------- Do you day trade? Trader Alerts streams stocks reaching new highs and lows as well as stocks breaking out of previous volume highs as they happen. It?s a powerful tool for day trading ideas. [Learn More / Upgrade]( --------------------------------------------------------------- Commodities Crude oil futures are jumping $1.18 to $89.38 a barrel after inching up $0.05 to $88.20 a barrel a barrel on Tuesday. Meanwhile, an ounce of gold is trading at $1,805.10, up $3.60 compared to the previous session?s close of $1,801.50. On Tuesday, gold rose $5.10. On the currency front, the U.S. dollar is trading at 114.32 yen compared to the 114.71 yen it fetched at the close of New York trading on Tuesday. Against the euro, the dollar is trading at $1.1323 compared to yesterday?s $1.1272. --------------------------------------------------------------- To unsubscribe from this news bulletin or edit your mailing list settings click [here](. Registered Office/Accounts Dept: Suite 27, Essex Technology Centre, The Gable, Fyfield Road, Ongar, CM5 0GA. Customer Support +1 888-992-3836. Company registered in England and Wales: Number 2374988 VAT No. GB 549 2130 49