Revenue optimism contributes to Wall Street’s continued strength

Stock prices almost rose during trading on Monday, expanding the significant progress seen last week. The Dow and S & P 500 continued to rise, hitting record highs.

All major averages closed in the positive territory, but tech-heavy Nasdaq outperformed the corresponding ones. The Nasdaq rose 136.51 points (0.9%) to 15,226.71, while the S & P 500 rose 21.58 points (0.5%) to 4,566.48 and the Dow rose 64.13 points (0.2%) to 35,741.15. ..

Wall Street’s strength partially reflects optimism about brighter earnings news, with a number of leading companies planning to report quarterly results this week.

Facebook (FB), General Electric (GE), UPS (UPS), Alphabet (GOOGL), Coca-Cola (KO), General Motors (GM), McDonald’s (MCD), Ford (F), Amazon (AMZN), Apple (APPL) and Exxon Mobil (XOM) are just a few of the companies that will report their results in the coming days.

Bright earnings news is contributing to Wall Street’s recent uptrend, as most companies are reporting better than expected results.

However, due to the lack of key US economic data, some traders were on the sidelines and trade activity was somewhat curtailed.

Some traders may also be reluctant to make more important moves ahead of the Federal Reserve Board’s monetary policy meeting next week.

The Fed is likely to keep interest rates unchanged, but may announce plans to begin shrinking its asset purchase program.

Tesla’s share surged the day after a major car rental company ordered 100,000 electric vehicle manufacturers’ vehicles.

PayPal (PYPL) also showed great power after finance technology The company said it wasn’t pursuing an acquisition of Pinterest (PINS). Meanwhile, Pinterest’s share plummeted in the news.

Consumer goods company Kimberly-Clark (KMB) also turned down after reporting lower-than-expected third-quarter earnings.

Steel stocks rose sharply on the day, with the NYSE Arca Steel Index up 3.5%.

Gold stocks also showed considerable strength, as reflected in the 1.6% rise posted by the NYSE Arca Gold Bugs Index.

The strength of the gold sector came as the prices of precious metals rose, with gold delivered in December rising from $ 10.50 to $ 1,806.80 per ounce.

Oil and retail stocks also showed remarkable power on the day, rising along with most other major sectors.

Other markets

In overseas transactions, stocks market During the trading on Monday, various performances were seen throughout the Asia Pacific region. Japan’s Nikkei 225 Index fell 0.7%, while China’s Shanghai Composite Index rose 0.8%.

The major European markets also ended the day mixed. France’s CAC 40 index fell 0.3%, the UK’s FTSE 100 index rose 0.3%, and Germany’s DAX index rose 0.4%.

In the bond market, government bonds rose slightly, expanding the rebound seen in the previous session. Since then, yields on benchmark 10-year bonds, which move in the opposite direction of price, have fallen by 2 basis points to 1.635%.

Future outlook

Responses to the latest earnings news could drive trading on Tuesday, with Facebook, Logitech (LOGI) and Universal Health (UHS) releasing quarterly results after today’s closing.

3M (MMM), Eli Lilly (LLY), General Electric, Hasbro (HAS), JetBlue (JBLU), UPS and Xerox (XRX) will also report their results before the start of trading on Tuesday.

Trading on Tuesday could also be affected by response to reports on home prices, new home sales, and consumer confidence.

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Revenue optimism contributes to Wall Street’s continued strength

Source link Revenue optimism contributes to Wall Street’s continued strength

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