US OPEN: Hawkish Bullard spooks the markets

• Hawkish comments from FED James Bullard
• Adobe (ADBE.US) stock moves higher after earnings
• Smith & Wesson (SWBI.US) stock rose sharply on upbeat quarterly figures

US indices launched today's session sharply lower and the S&P 500 and the Dow Jones are on pace to post a losing week after the Federal Reserve’s latest policy update. Indexes extended recent losses after St. Louis Fed President James Bullard  said on CNBC that he sees an initial interest rate increase happening in late-2022 and that it would take the Fed several meetings to figure out how to pare back stimulus. Meanwhile Treasury yields fell from recent weekly highs to 1.50%.

US2000 fell sharply during today’s session and is approaching major support at 2248 pts which coincides with 200 SMA (red line) and 38.2 Fibonacci retracement of the entire upward wave which started in mid-May. Should break lower occur, then downward may be extended to the support at 2200 pts. On the other hand, if buyers will manage to halt declines, then another upward move towards resistance at 2305 pts may be launched. Source: xStation5

Smith & Wesson (SWBI.US) stock jumped more than 4% after the gun maker reported strong quarterly figures. Compared to last year sales surged 67%. The company's shipments increased70% compared to overall industry growth of 42%. 

Smith & Wesson (SWBI.US) stock yesterday  bounced off the major support zone at $19.60 which coincides with the 50 SMA (green line) and upward trendline. Stock launched today’s session higher following strong quarterly figures and upbeat guidance. Next target for bulls is located at $22.51. Source: xStation5

Adobe (ADBE.US) stock rose more than 3% in premarket after the software company posted upbeat quarterly figures. Company earned $3.03 per share, well above market expectations of $2.82 cents per share. Revenue also beat market estimates and the company provided better-than-expected current-quarter guidance. 

Delta Air Lines (DAL.US) stock rose over 1.0% in the premarket after Wolfe Research upgraded stock to “outperform” from “underperform.” Wolfe said it sees business travel benefiting from pent-up demand later this summer, although it doesn’t think it will return to pre-pandemic levels.

Hasbro (HAS.US), Mattel (MAT.US) -according to the New York Post toy makers may face a potential toy shortage this coming holiday season because the lack of sufficient shipping containers may make it difficult to transport products that have already been made in China.