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Dow Jones Futures: Market Rising On Fed Rate Hike; AMD, Snap are the two main drivers of late

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Dow futures fell slightly after hours, along with S&P 500 futures and Nasdaq futures, as attention turned to the Federal Reserve’s meeting announcement on Wednesday. advanced micro devices (AMD) and overnight earnings at SNAP.




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The stock market rebounded on Tuesday, recovering much of Monday’s slump. The Nasdaq Composite Index is now in a trend of strength.

Before the announcement of the Fed meeting on Wednesday afternoon, many key economic reports and the OPEC+ meeting will come in the morning.

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A parent of AMD and Snapchat pop (pop) reported after closing.

AMD’s earnings and revenue slightly outperformed Views. The chipmaker expects first-quarter revenue to decline 10%, worse than the consensus but better than feared. AMD stock rose slightly after hours. Shares rose 3.7 percent to 75.15 on Tuesday. AMD stock is bottoming at 79.33 buy points. It is well below the 200 day line, but a real breakout would involve clearing this key level.

AMD competitor nvidia (NVDA) fell in late trading. NVDA stock rose nearly 2% to 195.37 on Tuesday, in a buying range from a short cup base.

Snap’s earnings outpaced Views, but revenue just missed it. The social network sees first quarter revenue tracking as a 2%-10% decline. SNAP stock fell 15% overnight. Shares rose 4.2 percent to 11.56 on Tuesday.

Snap earnings and guidance Meta platforms (meta) And pinterest (pins). Facebook parent Meta platforms (meta) Wednesday Night Reports, with pinterest (pins) next Monday. META stock fell of late, after closing just below its 200-day line. PINS stock is down modestly. Pinterest has a narrowing three-week entry modestly above the major moving averages.

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The video embedded in this article discussed Tuesday’s market rally and the Federal Reserve’s upcoming rate hike decision, analyzed Nvidia stock, Arista Networks (Anita) And etsy (ETSY).

China EV sales

As early as Wednesday, Tesla’s competitors China New (nio), Lee Otto (L.I) And Xpeng (XPEV) will report deliveries in January. The Lunar New Year holiday, as well as severe Covid infections, drove sales last month. So it’s hard to draw conclusions about February and beyond, especially in the aftermath Tesla (TSLA) price cuts to which competitors are still reacting.

Nio and Xpeng stocks are in bottom bases, but well below the 200-day lines. Li Auto is close to 200 days. Electric vehicle and battery giant BYD (I will) flashes a strong entry from the 200-day line, with January sales due later this week. Tesla stock jumped nearly 41% in January, crossing the 50-day line, but has no clear buying point.

Fed rate hike expectations

The Federal Reserve is set to slow rate hikes for the second consecutive meeting, increasing the federal funds rate by a quarter point at 2PM ET, to a range of 4.5%-4.75%. This follows a half-point rise in December following four consecutive increases of 75 basis points in November.

Markets overwhelmingly expect another quarter-point rate hike in late March, to 4.75%-5%. But then investors tend towards no more increases.

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So the central bank is hinting at the expectations of a rate hike, inflation and the economy will be key factors. Will the Fed’s policy statement keep the language that it expects “continued increases?”

Fed Chair Jerome Powell, speaking at 2:30 PM ET, will certainly reiterate the Fed’s commitment to keeping interest rates high to bring down inflation. But with rate hikes slowing and near a pause, Fed Chair Powell may be more cautious, keeping central bank options open.

Before the Fed meeting announcement, investors will get another batch of economic data. The ADP employment report for January will be released at 8:15 a.m. ET, with employment opportunities for December and the ISM manufacturing index for January at 10 a.m. ET.

The January jobs report is due on Friday. Before the March meeting, the Fed will have the February jobs report, as well as inflation reports for January and February.

Early Tuesday, the labor cost index came in slightly softer than expected. The ECI, a broad measure of workers’ compensation, rose 1% in the fourth quarter, the third consecutive quarter of slowing growth.

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Dow jones futures today

Dow futures fell 0.2% against fair value. S&P 500 futures fell 0.3%. Nasdaq 100 futures fell 0.5%.

The 10-year Treasury yield fell 2 basis points, to 3.51%.

Remember that overnight action in Dow futures and elsewhere does not necessarily translate into actual trading in the next regular stock market session.


Join IBD experts as they analyze actionable shares in the bullish stock market on IBD Live


Stock market rise

The stock market rally had a strong session, as it rebounded from Monday’s slump.

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The Dow Jones Industrial Average rose 1.1% in stock market trading Tuesday. The S&P 500 jumped 1.5%. The Nasdaq Composite Index jumped 1.7%. Small cap Russell 2000 jumped 2.4%.

US crude oil prices rose 1.25% to $78.87 a barrel. OPEC+, which includes the oil cartel and key allies like Russia, meets on Wednesday morning. Markets do not expect any change in OPEC+ production quotas.

The 10-year Treasury yield fell 2 basis points to 3.53%, supported by the relatively weak ECI report.

Exchange Traded Funds

Among the ETFs, the Innovator IBD 50 ETF (fifty) rose by just over 2%. iShares Expanded Technology and Software ETF (IGV) an advance of 1.4%. VanEck Vectors Semiconductor Corporation (SMH) rose 1.5%, with major holdings of AMD and NVDA stocks.

SPDR S&P Metals & Mining ETFs (XME(gained 1.15% and Global X US Infrastructure Development ETF)cradle) increased by 2.3%. US Global Gates Foundation ETF (Planes) climbed just over 1%. SPDR S&P Homebuilders ETF (XHB) rose 4.8% amid strong earnings. Energy Defined Fund SPDR ETF (xle(by 0.9% and the Financial Select SPDR ETF)45) 1.4%. SPDR Health Care Sector Selection Fund (XLV) rose 1.3%

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Reflecting more speculative stories, the ARK Innovation ETF (ARK)ark(jumped 3.7% and the ARK Genomics ETF)ARKG) figured 3.1%. Tesla stock is a major holding across Ark Invest ETFs. Cathie Wood’s Ark also owns a small stake in shares of Tesla rival BYD.


Top five Chinese stocks to watch now


Market rally analysis

The stock market rally picked up on Tuesday, making Monday’s decline look like a normal halt around key levels amid a solid advance.

The Nasdaq Composite Index has regained its 200-day line, near the December highs. The S&P 500 and Dow Jones rose strongly, with blue chips finding support near their 50-day lines.

The Russell 2000 index has recovered all of Monday’s losses, and then some, now clearly above its late 2022 highs.

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Major indices decisively clearing their highs in late 2022 could be a very bullish sign.

The Nasdaq Composite and Russell 2000 are now in a trend of strength, as it satisfies all four conditions. No S&P 500 and Dow Jones. A strength trend is a positive sign, but in the past year the market has stalled several times shortly after strength trends took effect.

Wednesday’s Federal Reserve meeting looms. The market bullish expects the end of the rate hike in March or possibly May. Wednesday’s economic data and Friday’s jobs report will help markets interpret Fed Chair Powell’s comments.

Don’t forget about profits. AMD reported late Tuesday. Meta pads are scheduled to be delivered Wednesday night and an Apple (AAPL), Amazon.com (AMZN) and the parent of Google the alphabet (The Google) on tap Thursday night, along with hundreds of others.

These earnings reports can muddy up major indices as well as sectors and, of course, individual names.

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Just as AMD’s earnings will affect Nvidia stock and Snap’s Meta moves, Meta’s spending plans will affect the likes of Arista Networks and pure storage (PSTG). Amazon’s earnings are likely to be a catalyst for Etsy stock. Apple’s profits will affect the iPhone ecosystem while Google’s profits will affect a variety of companies.

ANET stock and Pure Storage are close to early entry, while Etsy, a SwingTrader stock, is just below a buy point.


It’s time to market with IBD’s ETF Market Strategy


What are you doing now

The stock market rally is doing well, with a strong uptrend and only minor pullbacks. Leading stocks flashing buy signals that generally work. It was a good time to add exposure.

The announcement of the Federal Reserve meeting and Fed Chair Powell could be a catalyst for large market moves. But it can also be the case for earnings and economic data. Investors should not be too aggressive about taking new positions over the next couple of days, even if the technical picture for the market and certain stocks looks promising.

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Remember, if you are going to be aggressive getting into a stock, you have to be ready to get out just as quickly.

Work on your watchlists. Dozens of stocks are setting up or flashing buy signals. You want to keep your eyes on it, and analyze potential targets before you pull the trigger.

Read the big picture every day to stay in sync with the market trend, leading stocks and sectors.

Please follow Ed Carson on Twitter at @tweet For stock market updates and more.

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Tesla vs. BYD: EV Giants Vy for the Crown, But Which One is a Better Buy?

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Rast’s accusations against Alec Baldwin were formally dismissed by Reuters

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© Reuters. FILE PHOTO: A view of the movie “Rust” playing at Bonanza Creek Ranch near Santa Fe, New Mexico, US January 20, 2023. REUTERS/Drone Base/File Photo

Written by Andrew Hay

TAOOS, New Mexico (Reuters) – Special prosecutors in New Mexico on Friday dropped charges against actor Alec Baldwin in the 2021 shooting of “Rust” cinematographer Halina Hutchins, referring to what many legal analysts described as a rationale for a prosecution. flawed jurisprudence.

A person close to prosecutors said the move followed new evidence of the gun Baldwin was carrying when he fired the shot that killed Hutchins while shooting the movie in Santa Fe, New Mexico.

This information undermined the prosecution’s case after a series of legal flops, leading them to dismiss the charges before a May hearing when a judge was to decide whether there was enough evidence to prosecute Baldwin and gunsmith “Rust” Hannah Gutierrez Reid.

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“The case was dismissed without bias and the investigation is active and ongoing,” prosecutors Carey Morrissey and Jason Lewis said in a memo.

Prosecutors went on to charge Gutierrez Reed, 25, with manslaughter. She has said she held the live round in the gun thinking it was a dummy round. The preliminary hearing in her case has been postponed to August 9.

The dismissal of the same charge against Baldwin came after his attorney presented evidence last week that the copy of the .45 Colt Baldwin has used has been modified with new parts since being manufactured by Italian gunsmith FLL Pietta.

The information compromised the prosecution’s argument that the gun was in fully working condition and could only fire if Baldwin recklessly pulled the trigger, according to the person familiar with the case.

Special prosecutors have said they may re-file charges against Baldwin once new evidence is examined, though legal experts are skeptical.

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“This very weak case against Baldwin should never have been brought in the first place,” said Ambrosio Rodriguez, a former district attorney with the District Attorney’s Office in Riverside County, California.

Filming for “Rust” resumed in Montana this week with many of the same lead actors, including Baldwin, and was expected to wrap up in May.

Rust Movie Productions (RMP) said in February that it would not resume filming in New Mexico, without giving a reason. A Santa Fe prosecutor charged Baldwin and others in January.

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Leading news reporter Jill Christian dies at 83

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Gail Christian, who broke barriers as a black on-air reporter and came to national prominence at NBC News and PBS, died April 12 in Los Angeles. She was 83 years old.

Her wife, Lucy Debardelapine, said it was a complication from a recent bowel surgery.

Christian overcame a troubled youth—including a prison term for armed robbery—to end a career as a prominent television journalist and news executive in the 1970s and 1980s, an era when the industry was dominated by white men.

It became a visible presence in American living rooms with it coverage to NBC News on the trial of Patricia Hearst, the newspaper heiress who was kidnapped in 1974 by a gang of left-wing revolutionaries called the Symbionese Liberation Army, and who was convicted two years later for participating in a bank robbery with the group.

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But for Ms. Christian, it wasn’t enough just to appear as a rare black face on the evening news.

She said in Interview with the Chicago Tribune In 1986. I felt that was the reason I was there. I didn’t resent it in the least. I felt then, as I feel now, that it is very dangerous for a group of people to live in a society in which they are not allowed to explain themselves.”

It has succeeded in this task with features like “A Country Called Watts”, An hour-long 1977 NBC News special that explored the efforts of residents of this Los Angeles neighborhood to come together and re-evaluate the bloody civil unrest that occurred in response to police brutality in 1965, rebuilding burned-out blocks in the face of perceived government indifference and continued police harassment.

Gary Gilson, former faculty director of a summer program for minority students at Columbia University’s Graduate School of Journalism, in a phone interview. “And her pioneering role as a black news reporter allowed black kids to see, many for the first time, an impressive person on television who looked like them. It gave them recognition and hope.”

After two years at NBC News, Ms. Christian became news director for public station KCET in her hometown of Los Angeles, where she created a “60 Minutes”-style investigative series called “28 Tonight” (the station was on channel 28).

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The program featured several award-winning segments, including a segment on a banking scandal that harmed low-income communities and another on a chemical spill in Orange County that caused illnesses in the area, each of which won a Peabody Award.

In 1981 she moved to Washington, where she began nearly a decade as the news director for the Public Broadcasting Service.

“Since I’ve been in the business, I’ve always wanted to be one of the officers who goes out in that little room and decides what’s going to be covered and who’s going to cover it,” she said in a 1976 interview with the Los Angeles Times. “But at NBC, I never saw any women walk into that little room. Nor any minorities. I thought this was my chance.”

She added, “As Bobby Seale said,” referring to one of the founders of the Black Panther Party, “take the time.”

Jill Christian Jill Patricia Wells was born on February 20, 1940, in Los Angeles, one of four children of Edwin Wells, who worked on an assembly line for the Hughes Aircraft Company, and Lucille (Scruggs) Wells, who owned a cosmetology college. In the Leimert Park neighborhood of South Central Los Angeles. (She later adopted Christian, a name from her mother’s family, as her professional surname.)

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Ms. Christian grew up in Venice, California, and spent three years studying world history at California State University, Los Angeles, before dropping out to join the Air Force in 1962. She was caught in a raging crowd after being discharged, and in 1965, was found guilty of Armed robbery after eroticism in a hotel.

The theft, which resulted in less than $100, led to her admission to the California Institute for Women in Chino for 18 months. Christian said in a 1976 interview with TV Guide. “I really didn’t need to do that. I had a loving family, unlike a lot of the others in prison. I was just kind of pushed out at the time.”

After she had served her time, a paroled colleague who was working as a switchboard operator at The San Francisco Examiner gave her a tip that the paper was planning to hire two black reporters to diversify its staff. Without any experience, Ms. Christian considered the opportunity far-reaching, but talked her way into the role of an apprentice by stretching the truth.

“I gave them this song and they danced around working on this little black paper that the Klan burned,” she told the Tribune.

In 1970, she participated in an 11-week summer program for minority students in broadcast journalism at Columbia. (Geraldo Rivera was a classmate.) Two years later, she was hired by local NBC affiliate KNBC. She worked there for six years before NBC News hired her.

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Her tenure at PBS ended in 1989, shortly after the network found itself embroiled in controversy over the airing of a pro-Palestinian documentary, Days of Rage, which Ms. Christian had acquired and was responsible for vetting. A news report confirmed that the film was partially supported by undisclosed Arab funding, which was denied by the film’s producer.

In an interview with The New York Times, Ms. Christian said she quit PBS for other reasons. She said, “You’re burning because this is a no-win situation.” “You are silent when things are going well and angry when there are questions.”

She eventually settled in Palm Springs, California, with Mrs. DeBardelaben, whom she married in 2016. In 2003, the couple started the Palm Springs Women’s Jazz Festival.

In addition to Mrs. DeBardelaben, Mrs. Christian is survived by her grandson. Her daughter, Sunday Barrett, died in 2019.

While Ms. Christian kept quiet about her prison term early in her career, she finally decided to divulge it to a sympathetic NBC executive. “The guy just looked at me,” she recalls. He says: I don’t have enough problems. Do I have to listen to you? Get outta here.’ I didn’t hear another word.”

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Economic mood and other investment stories you may have missed this week

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This week has been a tough bullish one. Here’s what investors saw:

  • Oil prices have given up most of the gains from the OPEC+ production cut.

  • The Philadelphia Fed Manufacturing Index hit a new low for this economic cycle and missed expectations. Other indicators from the Conference Board The leading economic indicator I also fell.

  • Initial jobless claims were a surprise to the upside for the fourth consecutive week.

  • Weak earnings and more caution emerged from freight operators JB Hunt and Union Pacific as well as auto retailer AutoNation. Netflix and Taiwan Semiconductor, a major supplier to Apple, also issued guidance warnings.

  • There have been more layoffs in Meta’s Cloroxwith reports of planned job cuts at Disney.

  • Tesla reported a quarterly gross margin loss recently price cuts.

The bottom line is that there is an ongoing negative shift in economic data, most likely as interest rates continue to rise in the economy. This is a red flag.

Oddly enough, however, investors can’t seem to jump into it judging by the resilience of the S&P 500, Nasdaq Composite, and Dow Jones Industrial Average.

“The latest data is further evidence that there will be a recession in the US soon, which fits with our own view at DB Research that it is expected to happen later in the year,” Jim Reed, Deutsche Bank strategist wrote in the client note.

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Good words of wisdom now.

Tesla CEO Elon Musk speaks to a visitor as he arrives to look at the Tesla Gigafactory construction on September 3, 2020, near Gruenheide, Germany. (Photo by Maja Hitij/Getty Images)

3 things you might have missed

1. The mood among AmEx cardholders: I met with American Express CEO Stephen Squarey, and he struck an optimistic tone about order trends.

“The economy is definitely divided, and I think at the lower end of the economy, we’re seeing some pressure, but we don’t have that,” Squirey said, adding that he sees strong demand for travel in the spring and summer. The call to travel lines up with what we’ve heard about this earnings season from Delta and United Airlines.

2. Elon Musk is following the storm. An interesting highlight from Tesla’s earnings call was when Elon Musk said he didn’t see the economy improving until 2024. The CEO predicted another year of “stormy economic weather” before “things start to get sunny in the spring of next year.”

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Musk joins the likes of JPMorgan CEO Jamie Dimon in using weather to describe the economic outlook.

3. About this credit cost: In an exclusive on Yahoo Finance Live, Loretta Mester, President of the Federal Reserve Bank of Cleveland, tells Jane Schoneberger that there is only one direction for interest rates in the near term: higher.

“I think that, given the complexity of inflation, and given the still-strong job market, I think rates should go above the 5% level,” Mester said.

Loretta J.  Jim Urquhart

Loretta J. Jim Urquhart

C-Suite, quote of the week

“We are not seeing a significant drop in trade [among consumers]John Mueller, CEO of Procter & Gamble (PG) told Yahoo Finance Live. We are witnessing, if anything, more careful use of the product they purchased. So they might use half a sheet of a Bounty paper towel instead of a full sheet. But overall, again, just looking at the numbers, the consumer holds up very well.”

planner of the week

For those investors who are ignoring the dangers of the impending debt ceiling, here’s a helpful reminder from the macroeconomics team at Goldman Sachs on how markets will price in the 2011 debt ceiling debate:

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Remember the debt ceiling debacle of 2011?

Remember the debt ceiling debacle of 2011?

Brian Suzy He is the Executive Editor of Yahoo Finance. Follow Suzy on Twitter @tweet and on linkedin. Deal tips, mergers, activist positions, or anything else? Email brian.sozzi@yahoofinance.com

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