London, Friday, 14 January 2022 -
US Markets summary
After conflicting earnings reports weighed on big banks, disappointing economic data, and investors' concerns about more aggressive Fed tightening, US markets fell on Friday.
The Dow Jones dropped over 400 points, driven by bank stocks, the S&P 500 shed 0.7 percent, and the Nasdaq Composite dropped as much as 0.5 percent.
On the corporate front, JPMorgan Chase and Wells Fargo's results topped expectations, but only due to reserve releases and Citigroup's profits fell substantially. Meanwhile, retail sales and industrial production also declined unexpectedly, adding to worries about the omicron spread, supply interruptions, and soaring inflation.
The Dow and S&P 500 are likely to lose for the second week in a row, while the Nasdaq is set to fall for the third week in a row.
European Markets summary
Following hawkish statements from many Federal Reserve officials and as the country's inflation rate touched a 40-year high of 7%, European stock markets closed lower on Friday, with Frankfurt's DAX and the pan-European Stoxx 600 each losing 1%.
Retailers led the way down, sliding 2.3 percent, while EDF, the French state-owned utility behemoth, fell 14% after lowering its earnings guidance in response to a government demand to sell more of its nuclear power to smaller rivals in order to decrease electricity prices.
SAP, on the other hand, finished flat after reporting a 28 percent increase in Q4 revenue from its cloud computing arm. Growing tensions along the Ukraine-Russia border further harmed sentiment, with the US apparently urging European partners to agree to possible penalties against Russia.
In terms of economic data, Germany's GDP is predicted to increase by 2.7 percent in 2021. The DAX closed the week 0.3 percent lower, while the Stoxx 600 dropped 0.7 percent.
U.S. Stock Market Indexes
S&P 500: +3.79 (0.08%) to 4662.82
Nasdaq: 86.94 (0.59%) to 14,893.75
Dow Jones: -202.34 (-0.56%) to 35,911.28
European Stock Market Indexes
STOXX Europe 600: −4.93 (1.01%) at 481.12 as at 14 Jan, 17:30 CET
FTSE 100 in London: −20.90 (0.28%) at 7,542.95 as at 14 Jan, 16:35 GMT
DAX 30 in Germany: −148.35 (0.93%) at 15,883.24 as at 14 Jan, 17:55 CET
CAC 40 in France: −58.14 (0.81%) at 7,143.00 as at 14 Jan, 18:05 CET
FTSE MIB 30 in Italy: −300.49 (1.08%) at 27,543.96 as at 14 Jan, 17:35 CET
IBEX 35 in Spain: −10.30 (0.12%) at 8,806.60 as at 14 Jan, 17:38 CET
Ten-year U.S. Treasury note: +0.091, 1.794% as at Jan 14, 2022 at 4:37 p.m. EST
Dollar index: +0.38 or 0.40% at 95.17 as at Jan 14, 2022 at 4:29 p.m. EST
VIX volatility index: −1.12 (5.51%) at 19.19 as at 14 Jan, 15:15 GMT-6
Brent crude: +0.37or 0.43% at $ 86.42 per barrel as at Jan 14, 2022 at 9:31 p.m. GMT
West Texas Intermediate: +2.17 or 2.64% at $ 84.31 per barrel as at Jan 14, 2022 at 4:32 p.m. EST
Gold: -4.16 or -0.23% at $ 1,817.00 an ounce
Silver: -0.10 or -0.44% at $ 22.96 an ounce
Bitcoin: +704.30 (1.65%) at $ 43,285.90 as at 14 Jan, 21:40 UTC
Ethereum: +74.90 (2.31%) at $ 3,316.78 as at 14 Jan, 21:44 UTC
(Written and edited by: The Decision Maker)