Stocks End Higher, More Earnings On Tap

Market Moves You Need to See Stocks End Higher, More Earnings On Tap [Kevin Matras - EVP - Photo] Profit from the Pros By Kevin Matras Executive Vice President Stocks End Higher, More Earnings On Tap [Stocks End Higher, More Earnings On Tap]Image: Shutterstock Stocks closed modestly higher yesterday, erasing most of Monday's loss. Earnings continue to roll in. And once again, this earnings season is coming in better than expected. There's still lots of earnings season left. But what we've seen so far, the market has clearly liked. After the close yesterday, Amgen reported a positive EPS surprise of 1.07%, and a positive sales surprise of 1.00%. Toyota reported a positive EPS surprise of 86.1%, and a positive sales surprise 10.6%. And Ford posted a positive EPS surprise of more than 141%, and a positive sales surprise of 14.1%. Ford was up 4.14% in the regular session before earnings. And more than 6% following earnings in after-hours trade. Today we'll get another 155 companies on deck to report, including marquee names like Uber, Alibaba, and Yum Brands before the open. And Disney, ARM Holdings, and PayPal after the close. There was not much in the way of economic reports out yesterday. But we've got a few today with MBA Mortgage Applications, the International Trade in Goods and Services report, and Consumer Credit. And like yesterday, we'll hear from several Fed policymakers as they give speeches and interviews today. After last week's widely expected pause on rates, but somewhat unexpected language that rate cuts will likely start later rather than sooner (read that as May or even June, instead of March), the focus is now on when the rate cutting begins. The Fed seemed to have kept their stance on three, 25 basis point rate hikes this year. But beyond that general thinking, they have been mum on when. While it appears we know when it won't be (not March), the jury is still out on the timing after that. Although, the market will soon have to wrestle with the disconnect on how big the cuts will be. While the Fed continues to suggest 3 hikes (or 75 basis points), plenty in the market are still expecting 4-5 rate cuts (100 to 125 basis points). That question is probably more important than the when quite frankly. But once the cuts start, the focus on how many will naturally take its place. Stocks, in general, are doing well this year. The Dow is up by 2.21%, the S&P is up 3.87%, and the Nasdaq Composite is up 3.98%. But the small-cap Russell 2000, and the mid-cap S&P 400 are still underwater by -3.62% and -1.15% respectively. Large-caps, especially large tech names, have dominated once again. But I expect to see the mid and small-caps play catch up soon enough. So don't forget about those. And there have been plenty of mid-cap and small-cap stocks crushing it this year. So if you're looking for bargains, or at least just some new names to add to your portfolio, be sure to look beyond just large-cap stocks. Nevertheless, the big three indexes are all trading near their all-time highs. And it looks like there's plenty more upside to go. See you tomorrow, [Kevin Matras - Signature] Kevin Matras Executive Vice President, Zacks Investment Research [The Gold Dilemma Nobody Told You About]( [image]( Investors flock to gold during times of uncertainty, instability, and geopolitical crisis. We saw this with the COVID-19 pandemic, the Russia-Ukraine war, and now the Israel-Hamas conflict. While analysts are increasingly bullish on the yellow metal, new gold discoveries are urgently needed to meet the projected future demand. [Read about this potential new American gold hotspot.]( Today's Top Research [3 Buy-Rated Stocks Outperforming the Magnificent 7]( All three stocks have outperformed the Magnificent 7 as a group over the last year. [Read More »]( [3 Stocks to Buy Following Guidance Lifts]( Having raised their outlooks, these stocks are moving higher following the announcements. [Read More »]( [Earnings Season Scorecard and Analyst Reports for Thermo Fisher, Philip Morris & General Dynamics]( Director of Equity Research Sheraz Mian covers Q4 earnings season and these select stock reports. [Read More »]( [4 Industrial Stocks to Beat Estimates This Earnings Season]( These industry players look poised to deliver better-than-expected earnings in their upcoming releases. [Read More »]( [Find Great Under-the-Radar Stocks to Buy Using New Analyst Coverage]( An efficient way to find winning stocks is to search for companies gaining more attention from Wall Street analysts. [Read More »]( [Best Tech Market in Decades]( Will you be left behind? Zacks Technology Innovators portfolio has recently closed a flurry of winners such as +1,007.1%, +121.0%, +118.8% and even +45.3% in just 6 days. But, in our view, the best is yet to come. Artificial Intelligence (AI) is just starting to skyrocket toward multi-trillions in revenue, igniting many tech stocks along the way. You can be in the first wave of Zacks members to take full advantage of this trend that is fast becoming a sensation. [See Zacks Tech Stocks Now »]( [Bull of the Day: MSA Safety Incorporated (MSA)]( As one of the leaders in the safety equipment and solutions industry, MSA has crushed the S&P 500 the last 25 years. [Read More »]( [New Zacks Strong Buys for February 7th]( Here are 5 stocks added to the Zacks Rank #1 (Strong Buy) List today. [Read More »]( More Zacks Resources Mobile App Download our app for convenient on-the-go access to even more—daily and weekly newsletters published by Zacks experts, proprietary research and tools, and Portfolio Tracker on Zacks.com. [Download our Zacks App for Apple iOS]( [Download our Zacks App for Android]( Zacks Members' Success Stories Visit [Success Stories]( to hear how Zacks research, tools and portfolios help our members outperform the market. Get all of our market insights and much more when you connect with us. [Visit Zacks on Facebook]( [Follow Zacks on Twitter]( [See Zacks videos on YouTube]( [Join Zacks on LinkedIn]( [Read Zacks Commentary on StockTwits]( This free resource is being sent by [Zacks.com](. We look for investment resources and inform you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms of Service". [www.zacks.com/terms_of_service]( Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research is not a licensed securities dealer, broker or US investment adviser or investment bank. The Zacks #1 Rank Performance covers the period beginning on January 1, 1988 through January 1, 2024. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank #1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit [( for information about the performance numbers displayed above. Zacks Emails If you would prefer to not receive future profit-producing emails from [Zacks.com]( the primary purpose of which is the commercial advertisement or promotion of a commercial product or service, then please [click here]( and confirm your request. If you have trouble with the unsubscribe link, please email support@zacks.com. Zacks Investment Research 10 S. Riverside Plaza, Suite 1600 Chicago, IL 60606