London, Wednesday, 9 February 2022 -
US Markets summary
Three main US stock indexes gained further ground on Wednesday as investors absorbed another round of company earnings reports and looked ahead to Thursday's inflation data for hints on the Federal Reserve's tightening timing and magnitude.
As the bond sell-off calmed, tech stocks led the gains, with Meta and Shopify jumping more than 4%.
Despite concerns about food price inflation and labour expenses, Chipotle Mexican Grill's (CMG) stock climbed after the fast-casual restaurant operator reported a quarterly profits beat and expanded margins. Lyft (LYFT) stock recovered some of its earlier losses after the business anticipated first-quarter revenue that fell short of forecasts, owing to the Omicron wave's impact on ridership at the start of the year.
However, a good set of earnings results has helped to support stocks in recent weeks, with the S&P 500 on track for its third weekly rise. According to Bank of America's update Tuesday, aggregate S&;P 500 earnings per share (EPS) are now beating consensus estimates by 6% for the latest quarter. On a year-over-year basis, S& P 500 earnings are expected to climb at a rate of well over 20%.
European Markets summary
On Wednesday, European stock markets closed in the green, with the DAX in Germany increasing 1.5 percent and the Stoxx 600 rising 1.7 percent, the largest daily increase in two months.
Volkswagen rose 6.1 percent on the possibility of listing its luxury brand Porsche AG, leading advances of 4 percent.
In addition, technology stocks rose 2.9 percent as government bond prices fell and bank shares rose 0.8 percent to their highest level since 2018, boosted by expectations of increased interest rates.
Among single stocks, Amundi, a French investment manager, stated it had already met its strategic goals for 2022; Equinor, a Norwegian oil company, committed to pay out $10 billion to shareholders this year and reported record fourth-quarter pretax profits;
Adyen NV, a Dutch payments company, reported a 51% increase in core earnings; Pandora, a Danish jewelry company, said sales will improve this year and raised its revenue target for 2023; and Rockwool International, a Danish stone wool company, reported strong quarterly results and forecasted positive future earnings.
U.S. Stock Market Indexes as at 4:01 p.m. ET
S&P 500: +65.67 (+1.45%) to 4,587.21
Nasdaq: +295.92 (+2.08%) to 14,490.37
Dow Jones: +305.68 (+0.86%) to 35,768.46
European Stock Market Indexes
STOXX Europe 600: +7.94 (1.71%) at 473.28 as on Feb 9, 5:30 PM GMT+1
FTSE 100 in London: +76.35 (1.01%) at 7,643.42 as on Feb 9, 4:35 PM GMT
DAX 30 in Germany: +239.63 (1.57%) at 15,482.01 as on Feb 9, 5:55 PM GMT+1
CAC 40 in France: +102.47 (1.46%) at 7,130.88 as on Feb 9, 6:05 PM GMT+1
FTSE MIB 30 in Italy: +717.26 (2.72%) at 27,128.99 as on Feb 9, 5:35 PM GMT+1
IBEX 35 in Spain: +171.80 (1.98%) at 8,846.40 as on Feb 9, 5:38 PM GMT+1
Ten-year U.S. Treasury note: -2.5 bps to yield 1.9290% at 4:01 p.m. ET
Dollar index: -0.09 or -0.09% at 95.56 as on Feb 9, 2022 at 4:15 p.m. EST
VIX volatility index: −1.46 (6.81%) at 19.98 as on Feb 9, 3:10 PM CST
Brent crude: +0.72 or + 0.81% at $ 90.08 per barrel as on Feb 9, 2022 at 4:17 p.m. EST
West Texas Intermediate: +0.29 or + 0.32% at $ 91.76 per barrel as on Feb 9, 2022 at 9:18 p.m. GMT
Gold: +24.75 or +1.37% at $ 1,832.73 an ounce as on Feb 9, 16:28 NY Time
Silver +0.78 or +3.46% at $ 23.30 an ounce as on Feb 4, 16:29 NY Time
Bitcoin: +559.50 (1.27%) at $ 44,654.50 as on Feb 9, 9:25 PM UTC
Ethereum: +136.10 (4.36%) at $ 3,256.04 as on Feb 9, 9:30 PM UTC
(Written and edited by: The Decision Maker)