CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

US Open: UoM reading and AI drive optimism on Wall Street. US100 gains 0.6%

16:40 19 January 2024
  • Wall Street opens higher, but some of the upside was erased rather quickly
  • US30 records 0.3% rally and performs better than US500
  • Chip manufacturers continue to 'trump' after the opening. AMD (AMD.US) stands out.
  • Financial results and AI fuel euphoria on SuperMicro (SMCI.US) shares, which are trading up 22%
  • More dovish comments from Goolsbee's Chicago Fed 
  • Optimistic news from US-China meeting 

On the geopolitical side, on the one hand we have a tense situation in the Middle East, but on the other hand optimistic news came from Beijing. U.S. officials have indicated that Yellen is looking forward to visiting China again in due course, according to information provided by the U.S. Treasury Department. Meetings between U.S. and Chinese financial officials are to take place regularly from now on, and China was said to be pushing for deeper mutual financial relations.

BlackRock's analysts expect the first rate cuts in June and estimate 75 to 100 bps cuts in 2024, a forecast that coincided with Fitch Ratings estimates. We are seeing today a continuation of yesterday's rebound in technology stocks, and it seems that comments by Goolsbee of the Fed may have calmed the market somewhat. Goolsbee suggested that a further decline in inflation would make it necessary for U.S. monetary policy to adjust to it, and that rates would fall. The market is now waiting for the University of Michigan data (consumer sentiment, inflation expectations), which will be released at 4:00 pm and could bring higher volatility.

Start investing today or test a free demo

Open account Try demo Download mobile app Download mobile app

Shares of chipmakers continue to rise. Nvidia (NVDA.US) and AMD (AMD.US) are breaking out the strongest Source: xStation5

Strong UoM data

Univeristy Michigan Sentiments prelim: 78,7 vs 70,1 exp. and 60.9 previously

  • Expectations prelim: 75.9 vs 67 exp. and 67.4 previously
  • Condition prelim: 83.3 vs 73 exp, and 73.3 previously

UoM 5-yr inflation expectations: 2.8% vs 3% exp. and 2.9% previously

UoM 1-yr inflation expectations: 2.9% vs 3.1% exp and 3.1% previously

Existing home sales: -1% vs 0.26% exp and 0.8% previously

After firstly 'bullish' reaction on UoM data, we can see a higher sellers' activity on US100. Despite that, the reading was very good for US economy momentum, indicating strong consumers and sentiments and what's more important - unexpected fall in inflation expectations in both - long term and short term.

US30 and US100 charts (H1 and M30)

Looking at futures, on the Dow Jones (US30), we see that the index continues the rebound initiated yesterday, although so far the volume of these increases is not significant, which puts a question mark over the potential extent of the rebound. The key resistance level is, of course, the 38,000-point level.


Source: xStation5

After 'profit taking' event of today UoM publications, bulls are re-taking control on US100 after beating 17,200 points again.

Source: xStation5

News from US companies

Growth on the Nasdaq is led by Super Micro Computer (SMCI.US), which gains nearly 22% after the computer hardware and datacenter server rack maker's preliminary financial results beat analysts' expectations.

Source: xStation5

  • AT&T (T.US) is gaining after Oppenheimer raised its rating to better, citing trends that include
  • improving network capacity and coverage.
  • Coherus BioSciences (CHRS.US) shares are up nearly 10% after the company released positive data from the introductory portion of a Phase 2 clinical trial for a liver cancer treatment.
  • International Business Machines (IBM.US) gain more than 3% as Evercore ISI upgraded its rating, calling the company an 'undervalued AI beneficiary'
  • iRobot (IRBT.US) loses more than 30% after news that the European Union's antitrust authority plans to block Amazon's planned takeover of vacuum cleaner maker Roomba. 
  • Spirit Airlines (SAVE.US) rebounds more than 20% as the company indicated it still believes in a merger with JetBlue Airways Corp. despite opposition from U.S. regulators and a court decision blocking the deal.
  • State Street (STT.US) gains more than 6% after reporting higher-than-forecast profit for Q4 2023. 

This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.

Back
Xtb logo

Join over 1 Million investors from around the world

We use cookies

By clicking “Accept All”, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts.

This group contains cookies that are necessary for our websites to work. They take part in functionalities like language preferences, traffic distribution or keeping user session. They cannot be disabled.

Cookie name
Description
SERVERID
userBranchSymbol cc 2 March 2024
adobe_unique_id cc 1 March 2025
test_cookie cc 1 March 2024
SESSID cc 9 September 2022
__hssc cc 1 March 2024
__cf_bm cc 1 March 2024
intercom-id-iojaybix cc 26 November 2024
intercom-session-iojaybix cc 8 March 2024

We use tools that let us analyze the usage of our page. Such data lets us improve the user experience of our web service.

Cookie name
Description
_gid cc 9 September 2022
_gat_UA-22576382-1 cc 8 September 2022
_gat_UA-121192761-1 cc 8 September 2022
_ga_CBPL72L2EC cc 1 March 2026
_ga cc 1 March 2026
AnalyticsSyncHistory cc 8 October 2022
af_id cc 31 March 2025
afUserId cc 1 March 2026
af_id cc 1 March 2026
AF_SYNC cc 8 March 2024
__hstc cc 28 August 2024
__hssrc

This group of cookies is used to show you ads of topics that you are interested in. It also lets us monitor our marketing activities, it helps to measure the performance of our ads.

Cookie name
Description
MUID cc 26 March 2025
_omappvp cc 11 February 2035
_omappvs cc 1 March 2024
_uetsid cc 2 March 2024
_uetvid cc 26 March 2025
_fbp cc 30 May 2024
fr cc 7 December 2022
muc_ads cc 7 September 2024
lang
_ttp cc 26 March 2025
_tt_enable_cookie cc 26 March 2025
_ttp cc 26 March 2025
hubspotutk cc 28 August 2024

Cookies from this group store your preferences you gave while using the site, so that they will already be here when you visit the page after some time.

Cookie name
Description
personalization_id cc 7 September 2024
UserMatchHistory cc 8 October 2022
bcookie cc 8 September 2023
lidc cc 9 September 2022
lang
bscookie cc 8 September 2023
li_gc cc 7 March 2023

This page uses cookies. Cookies are files stored in your browser and are used by most websites to help personalise your web experience. For more information see our Privacy Policy You can manage cookies by clicking "Settings". If you agree to our use of cookies, click "Accept all".

Change region and language
Country of residence
Language