US Open: Indices attempt to recover from Year-End losses. US Steel's sale blocked by the president

• Bullish Friday on Wall Street
• December’s ISM Manufacturing higher than expected
• Joe Biden blocks US Steel’s sale

Following promising futures trading, the U.S. stock market opened bullish on the first Friday of 2025. All major indices are currently in the green, with the Nasdaq Composite rebounding the most (+0.95%), followed by the S&P 500 (+0.56%), small-cap Russell 2000 (+0.38%), and the DJIA (+0.3%).

The ISM Manufacturing report came in higher than expected (actual 49.3; forecast 48.2; previous 48.4), reinforcing the optimistic outlook for the sector after yesterday's S&P Global report. The index is now at its highest since March 2024, renewing hopes for an expansion in U.S. manufacturing. After the data release, EURUSD unsuccessfully attempted to break above the 1.03 level and is currently trading around 1.0281-1.0283.

Volatility currently observed on Wall Street. Source: xStation5

US100 (D1)

The Nasdaq 100, represented by the US100 contract, rebounded 0.8% after testing support around the 21,200 mark. The price is still struggling to break above the 30-period EMA (light purple) at around 21,400, which is crucial for a bullish reversal after the Year-End sell-off. The RSI remains neutral, allowing room for stronger upward momentum, although we may still see another test of the lower 21,100 support if the bears push the price back down from the EMA30.

Source: xStation5

Corporate news:

• Apple (AAPL.US) shares are down for the 4th consecutive day (-0.5%) amid concerns over the weak Chinese smartphone market. Recent data showed a slowdown in iPhone shipments, with muted performance between September and November, raising doubts about the iPhone 16 cycle. Additionally, the company is facing lower-than-expected sales and is offering discounts in China to boost demand. On the upper note, Apple’s strong services business provides confidence in its long-term prospects, despite current headwinds.
• Stellantis (STLA.US) shares entered the Friday with a 2.4% loss after some of its EV models, previously qualified for U.S. tax credits, were excluded from the new list under stricter rules. This follows a similar fate for certain models from Stellantis and the VW Group, which are no longer eligible for up to $3,750 in credits. The updated list of eligible models now includes Tesla’s Cybertruck and vehicles from nine other brands, but the overall number of eligible models dropped from 22 to 18.
• US Steel (X.US) is down 7% after President Joe Biden has blocked the $14.1 billion sale to Nippon Steel Corp., effectively killing a high-profile deal that had sparked political controversy and tensions between the U.S. and Japan. In a statement, Biden emphasized that the company would remain an American-owned and operated company, employing American union steelworkers.
• Block (SQ.US) trades 2.8% higher after Raymond James upgraded the stock to "outperform," citing confidence in the company’s seller gross payments volume (GPV). Analyst John Davis expects GPV growth to accelerate, driven by easing comparisons and product innovation. While Cash App’s flat net new actives are a concern, Davis believes the focus on customer engagement will support gross profit growth.
• Cerence (CRNC.US) shares are 60% after the voice-AI company announced an expanded collaboration with Nvidia to enhance its CaLLM family of language models. Cerence stated that the partnership provides it with scalable, reliable tools and resources to develop next-generation user experiences in collaboration with its automaker customers.
• Nu Skin Enterprises' private unit, Rhyz Inc., has sold its Mavely affiliate marketing technology platform to Later for approximately $250 million in cash and a minority equity stake in the combined Later/Mavely business. Mavely will continue to support Nu Skin’s affiliate marketing business by providing certain technology and social commerce capabilities. The proceeds from the transaction are expected to be used to reduce debt and fund innovation. Following the announcement, Nu Skin Enterprises’ adds 20% at the opening.