Upbeat Earnings News May Contribute To Continued Strength On Wall Street

[ADVFN]( [[Global Email] World Daily Markets Bulletin]( Wednesday, 09 February 2022 09:21:49 [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 rally seen over the course of the previous session. The markets may continue to benefit from the upward momentum that emerged during yesterday?s session, which helped stocks more than offset the weakness seen on Monday. Upbeat earnings news from some well-known companies may also contribute to continued strength in early trading on Wall Street. Shares of Chipotle Mexican Grill (CMG) are seeing significant pre-market strength after the restaurant chain reported better than expected fourth quarter earnings. Cannabis producer Canopy Growth (CGC) is also likely to move to the upside after reporting a narrow than expected fiscal third quarter loss on revenues that exceeded analyst estimates. On the other hand, shares of CVS Health (CVS) may see initial weakness after the healthcare company reported fourth quarter results that beat expectations but seemed to disappoint investors by reiterating its 2022 guidance. Overall trading activity may be somewhat subdued, however, as traders continue to look ahead to the release of highly anticipated consumer price inflation data on Thursday. The Labor Department report is expected to show consumer prices and core consumer prices, which exclude food and energy, both increased by 0.5 percent in January. The annual rate of growth in consumer prices is expected to accelerate to 7.3 percent in January from 7.0 percent in December, while the annual growth in core prices is expected to accelerate to 5.9 percent from 5.5 percent. The data may impact expectations regarding how aggressively the Federal Reserve plans to raise interest rates in an effort to fight inflation. Stocks moved mostly higher over the course of the trading day on Tuesday, more than offsetting the weakness seen on Monday. The major averages climbed firmly into positive territory after showing a lack of direction early in the session. The major averages saw further upside going into the close, reaching new highs for the session. The Dow jumped 371.65 points or 1.1 percent to 35,462.78, the Nasdaq surged 178.79 points or 1.3 percent to 14,194.46 and the S&P 500 advanced 37.67 points or 0.8 percent to 4,521.54. The strength that emerged on Wall Street came as the major averages have rebounded from the multi-month lows set in late January but remain well off their record highs. Traders may have continued to pick up stocks at relatively reduced levels as they digest the latest batch of quarterly earnings news. Shares of Harley-Davidson (HOG) moved sharply higher after the motorcycle maker reported an unexpected fourth quarter profit on revenues that exceeded analyst estimates. Education technology company Chegg (CHGG) also saw significant strength after reporting better than expected fourth quarter results and providing upbeat guidance. Meanwhile, shares of Pfizer (PFE) moved to the downside after the drug giant reported fourth quarter earnings that beat expectations but weaker than expected revenues. On the U.S. economic front, the Commerce Department released a report showing the U.S. trade deficit widened modestly in the month of December. The Commerce Department said the trade deficit widened to $80.7 billion in December from a revised $79.3 billion in November. Economists had expected the trade deficit to expand to $83.0 billion from the $80.2 billion originally reported for the previous month. The wider deficit came as the value of imports surged 1.6 percent to $308.9 billion, while the value of exports jumped 1.5 percent to $228.1 billion. Extending the rally seen during trading on Monday, airline stocks moved sharply higher over the course of the day, driving the NYSE Arca Airline Index up by 3.7 percent. Steel stocks also showed a substantial move to the upside, resulting in a 2.5 percent spike by the NYSE Arca Steel Index. Significant strength also emerged among semiconductor stocks, as reflected by the 2.4 percent jump the Philadelphia Semiconductor Index. Financial, retail and housing stocks also saw considerable strength on the day, while energy stocks bucked the uptrend amid another sharp drop by the price of crude oil. Reflecting the weakness in the energy sector, the Philadelphia Oil Service Index and the NYSE Arca Oil Index plunged by 2.5 percent and 2.1 percent, respectively. --------------------------------------------------------------- [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]( The Commerce Department is scheduled to release its report on wholesale inventories in the month of December at 10 am ET. Wholesale inventories are expected to jump by 2.1 percent. At 10:30 am ET, the Energy Information Administration is due to release its report on oil inventories in the week ended February 4. Crude oil inventories are expected to inch up by 0.4 million barrels after falling by 1.0 million barrels in the previous week. Federal Reserve Governor Michelle Bowman is also due to participate in a discussion on Innovation and Community Banking before a virtual Independent Community Bankers of America ThinkTECH Accelerator event at 10:30 am ET. At 12 pm ET, Cleveland Federal Reserve President Loretta Mester is scheduled to speak on the economic outlook and monetary policy before a virtual Distinguished Speakers Seminar hosted by the European Economics and Financial Centre in London. The Treasury Department is due to announce the results of this month?s auction of $37 billion worth of ten-year notes at 1 pm ET. --------------------------------------------------------------- Stocks in Focus Shares of Paycom Software (PAYC) are moving sharply higher in pre-market trading after the online payroll and human resource technology provider reported fourth quarter results that exceeded analyst estimates on both the top and bottom lines. Financial technology and services company NCR Corp. (NCR) is also seeing significant pre-market strength after reporting better than expected fourth quarter earnings and launching a comprehensive strategic review to enhance value for shareholders. Shares of Enphase Energy (ENPH) are also likely to show a strong move to the upside after the solar energy company reported fourth quarter results that beat expectations and provided upbeat guidance. On the other hand, shares of The Container Store (TCS) are plummeting in pre-market trading after the specialty retailer reported fiscal third quarter earnings and sales that fell year-over-year and forecast a continued decline in sales in its fiscal fourth quarter. --------------------------------------------------------------- --------------------------------------------------------------- Europe European stocks have advanced on Wednesday, with a strong session on Wall Street overnight, encouraging earnings reports and upbeat exports data from Germany helping underpin investor sentiment. German exports unexpectedly increased in December, data released by Destatis revealed earlier in the day. Exports were up 0.9 percent month-on-month in December. Although this was weaker than the 1.8 percent increase seen in November, the monthly growth confounded the expected fall of 0.2 percent. On a yearly basis, exports advanced 15.6 percent. As inflation concerns mount, investors await the release of U.S. inflation data for clues on the pace of Federal Reserve policy tightening. While the U.K.?s FTSE 100 Index has climbed by 0.7 percent, the French CAC 40 Index and the German DAX Index are jumping by 1.5 percent and 1.7 percent, respectively. Danish jewelry maker Pandora has soared after it reported full-year earnings in line with preliminary results and proposed a new 3.3 billion Danish kroner ($506.2 million) share buyback. Smurfit Kappa Group, an Irish corrugated packaging company, has also rallied after delivering record earnings despite "significant and unprecedented cost inflation" in 2021. Barratt Developments has also moved to the upside after the homeebuilder reported a slight rise in pretax profit for the first half of fiscal 2022. Grainger has also jumped. The provider of private rental housing reported a strong performance for the start of financial year. German optical products company Jenoptik has also risen after its preliminary total revenue for fiscal year 2021 rose to 895 million euros from prior year's 767.2 million euros. Siemens Energy has also moved notably higher. After posting a 240 million euro ($274 million) first-quarter net loss, the company said it expects sharp improvement in net profit in 2022. On the other hand, Dutch Insurer Aegon NV has moved sharply lower after posting a decline in fourth quarter earnings. ABN Amro has also shown a notable move to the downside despite reporting stronger than expected fourth quarter earnings. --------------------------------------------------------------- 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 gained ground on Wednesday after a strong session on Wall Street overnight. Investors waited for U.S. inflation data due Thursday that might influence the pace of the Federal Reserve?s interest rate lift-off. Chinese shares ended notably higher as worries about sanctions and possible U.S. rate hikes prompted investors to rotate out of growth shares into more traditional sectors. The benchmark Shanghai Composite Index rose 27.32 points, or 0.8 percent, to 3,479.95, while Hong Kong's Hang Seng Index surged 2.1 percent to finish at 24,829.99. Japanese stocks closed sharply higher, led by gains in the paper & pulp, railway & bus and real estate sectors. The Nikkei 225 Index jumped 295.35 points, or 1.1 percent, to 27,579.87, while the broader Topix settled 0.9 percent higher at 1,952.22. SoftBank Group shares soared 5.9 percent after the conglomerate announced plans to take Arm public following the collapse of a planned sale of the unit to Nvidia. AGC Inc., IHI Corp. and JFE Holdings surged 9-10 percent. On the losing side, Taiheiyo Cement and DeNA Co lost 6-7 percent. Australian markets rallied as tech stocks followed their U.S. peers higher and Commonwealth Bank of Australia's first-half profit topped estimates. The benchmark S&P/ASX 200 Index jumped 81.60 points, or 1.1 percent, to 7,268.30, while the broader All Ordinaries Index climbed 83.80 points, or 1.1 percent, to 7,572.80. Investor services provider Computershare led a rally in tech stocks to close 11.2 percent higher after reporting strong half-year earnings. Lender Commonwealth Bank of Australia surged 5.6 percent to close at a three-week high, while the other three big banks rose between 1.7 percent and 2.4 percent. Investors shrugged off data released earlier in the day showing a deterioration in Australian consumer sentiment in February amid prospects of higher interest rates. Seoul stocks ended higher for the second straight day amid hopes of strong corporate earnings in the fourth quarter. Stabilizing oil prices after the recent surge also boosted sentiment. The Kospi advanced 22.38 points, or 0.8 percent, to close at 2,768.85. Market bellwether Samsung Electronics added 1.6 percent and internet portal operator Naver rose 1.2 percent. Top car battery maker LG Energy Solution slumped 5.7 percent. --------------------------------------------------------------- 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 falling $0.38 to $88.98 a barrel after plunging $1.96 to $89.36 a barrel a barrel on Tuesday. Meanwhile, an ounce of gold is trading at $1,831.10, up $3.20 compared to the previous session?s close of $1,827.90. On Tuesday, gold rose $6.10. On the currency front, the U.S. dollar is trading at 115.44 yen compared to the 115.55 yen it fetched at the close of New York trading on Tuesday. Against the euro, the dollar is trading at $1.1442 compared to yesterday?s $1.1415. --------------------------------------------------------------- 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. 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