14 minutes ago
Ford suffers worst week since March 2020
Ford shares were up slightly in morning trading and are on track for their worst weekly performance in four years.
The stock has fallen about 20% this week, and if it closes at that level on Friday it will be its worst performance since the week ended March 20, when shares plunged more than 22%.
See the chart…
Ford’s moves this week
1 hour ago
More than 40% of the S&P 500 have reported profits this season.
Most of the companies that have reported earnings so far this season have beaten Wall Street expectations.
As of Friday morning, more than 40% of companies listed on the S&P 500 had reported quarterly results, and of those, more than 78% beat analysts’ consensus estimates, according to FactSet data.
As earnings season continues next week, several major stocks are scheduled to report their results. The list includes several mega-cap tech stocks, including Microsoft, Meta, Amazon, and Apple. McDonald’s and Boeing are also scheduled to report earnings this week.
— Alex Harring, Robert Hamm
1 hour ago
Russell 2000 aims for third consecutive win
The rotation from big tech companies to smaller companies continued this week.
The Russell 2000 small-cap index is expected to rise 3.3% this week, while the Dow Jones Industrial Average is expected to rise just 0.4%, and the S&P 500 and Nasdaq Composite could end the week down 1.2% and 2.6%, respectively.
If the Russell 2000 Index does indeed close higher, it would mark the index’s first three-week winning streak since its four-week streak ended in May.
— Lisa Kailai Han
2 hours ago
University of Michigan survey sees inflation outlook fall
Consumer optimism weakened slightly in July, while inflation expectations fell to their lowest level in three and a half years, according to the University of Michigan’s final survey of consumers released on Friday.
The composite sentiment index edged down to 66.4, beating the Dow Jones forecast of 66 but below June’s reading of 68.2.
As for inflation, the revised one-year outlook now projects it will be at 2.9%, in line with its lowest level in months since December 2020. The five-year outlook is at 3%, having remained at that level for the past four months.
Jeff Cox
2 hours ago
3M leads Dow Jones Industrial Average up more than 500 points
3M plastic sheeting is displayed at a Home Depot store in San Rafael, California on April 30, 2024.
Justin Sullivan | Getty Images
The Dow Jones Industrial Average rose 500 points, or 1.2%, led by a gain in 3M.
The industrial giant rose 14% after reporting better-than-expected second-quarter profit. UnitedHealth, Visa, Merck and Home Depot each rose about 2%.
Five stocks were down in early morning trading, with the Dow the biggest loser, shedding a modest 0.6%.
Samantha Sabin
2 hours ago
Stocks rose on Friday
Stocks started higher on Friday, capping off a volatile trading week.
The Dow Jones Industrial Average rose 280 points, or 0.7%, the S&P 500 rose 0.6% and the Nasdaq Composite rose 0.8%.
Samantha Sabin
3 hours ago
Thursday’s ‘big loss’ was a momentum factor, Wolf Research says
Thursday’s declines in the S&P 500 and Nasdaq Composite Indexes signal a weakening of momentum — the belief that stocks that have performed well so far will continue to do well in the near future — according to Wolfe Research.
“Small caps continued to perform well, but momentum was the big loser for the day,” Rob Ginsberg of Wolfe Research wrote Thursday. “After a short-lived and lackluster bounce due to being oversold, momentum reversed significantly today, closing below support levels as the cap we’ve been discussing continues to slide.”
Sarah Min
3 hours ago
The Fed’s preferred inflation metric is as expected
The personal consumption expenditures price index rose 0.1% month-on-month and 2.5% year-on-year in June, in line with expectations of economists surveyed by Dow Jones. Core inflation, which excludes food and energy, rose 0.2% month-on-month and 2.6% year-on-year, also in line with expectations.
Fred Imbert
4 hours ago
Biggest movers before the bell: Coursera, WW International and more
Weight Watchers International Foods.
Michael Nagel | Bloomberg | Getty Images
The most volatile stocks in premarket trading are:
Coursera — Shares of the online course provider jumped 26% after Coursera reported second-quarter revenue of $170 million, beating analyst expectations of $164 million, according to LSEG. WW International — The parent company of Weight Watchers fell 5.3% after Morgan Stanley downgraded it to equal weight from overweight. Dexcom — Medical device shares plunged more than 36% after the company reported second-quarter revenue that missed expectations.
See the full list of stocks moving here.
— Lisa Kailai Han
17 hours ago
The historic rally in small-cap stocks has staying power, according to Principal Asset Management.
The current strength of the small-cap sector represents “a major shift we haven’t seen in decades,” according to George Maris, chief investment officer and global head of equities at Principal Asset Management.
According to Maris, small caps have only outperformed large caps twice in the past 30 years, during the coronavirus pandemic and the dot-com bubble of 1999-2000.
“These are historic levels and that’s the situation we’re in right now. Everybody’s offside so this rotation has staying power,” Maris said.
He added that rising earnings will lead to increased optimism for the small-cap sector. Going forward, earnings growth from lower interest rates should help smaller companies, Maris noted.
“The market outside of magnitude 7 looks relatively normal over the long term and small caps are actually looking pretty interesting. … I have a very optimistic outlook for taking a long position in small caps,” Maris said.
The Russell 2000 is up 1.8% so far this week and is up roughly 8.6% in July.
— Kim Hagyeong
17 hours ago
Communications services sector faces worst week since October 2023
The communications services sector is on track to have its worst week since October 2023 as investors flee Big Tech.
The sector’s weekly decline totaled 4.63% as of Thursday’s close, with Alphabet shares leading the way, down 5.8% so far this week, and Meta Platforms down 4.9%.
The information technology sector also struggled on Friday, dropping 3.5% for the week. CrowdStrike Inc. is down 16.7% for the week, while Nvidia Inc. is down 4.8%, contributing to the sector’s decline.
Healthcare and utilities, traditionally considered defensive stocks, were the only two sectors in the S&P 500 to post positive results this week, rising 0.77% and 0.48%, respectively.
— Darla Mercado and Chris Hayes
17 hours ago
Steve Eisman calls the recent pullback a psychological rotation
Steve Iceman.
Olivia Michael | CNBC
Steve Eisman of “The Big Short” fame believes the recent tech-driven market sell-off is driven by emotion, not an underlying downturn.
“The rotation is always intense. It always catches everybody off guard. And it’s not a fundamental correction. It’s more of a psychological rotation,” Eisman told CNBC’s “Fast Money.”
A senior portfolio manager at Neuberger Berman said there was nothing alarming about the overall economy.
“I don’t think the fundamentals have changed all that much,” he said. “The only negative data I would point to is consumer spending has slowed a little bit and delinquencies have increased a little bit.”
Yun Lee
18 hours ago
Dexcom, Coursera among biggest movers in after-hours trading
Let’s take a look at some companies that are garnering attention in after-hours trading.
Dexcom — Shares of the medical device maker fell more than 35%. Dexcom’s full-year sales guidance of $4 billion to $4.05 billion was revised down from guidance it provided earlier this year. Second-quarter sales of $1 billion were below LSEG’s consensus estimate of $1.04 billion. Insulet shares slid 9.1% in tandem. Boston Beer Company — Boston Beer, maker of Twisted Tea and Samuel Adams, fell 5% after second-quarter results fell short of market expectations. Boston Beer posted earnings of $4.39 per share on sales of $579 million, while LSEG analysts were expecting earnings of $5.02 per share and sales of $597 million. Coursera — Shares of the online course provider surged 16%. LSEG said second-quarter revenue of $170 million beat analysts’ estimates of $164 million. Coursera reported a loss of 15 cents per share, compared with expectations of a profit of 1 cent per share.
For a complete list, see here.
Pia Singh
18 hours ago
Stock futures opened higher on Thursday
Stock futures were up just after 6pm ET.
Futures tracking the Dow Jones Industrial Average rose 64 points, or 0.16%, while S&P and Nasdaq 100 futures each rose 0.1%.
Pia Singh
