US OPEN: US Indices Muted After Economic Data and Powell Comments

• Walmart shares rose after the retail giant reported better-than-expected Q1 earnings

• UnitedHealth Group announced a surprise CEO change with Stephen Hemsley

• CoreWeave shares fell 3% after the Nvidia-backed AI company revealed substantial capital expenditure plans

• Coinbase forecast a financial hit between $180 million and $400 million from a cyber attack that breached account data of a "small subset" of customers

American indices are showing mostly negative performance today with the S&P 500 down 0.18% to 5894.7, Dow Jones falling 0.25% to 42003, and Nasdaq 100 declining 0.41% to 21311.44. The Russell 2000 is down 0.10% to 2085.3. The VIX "fear index" is up 0.69% to 18.88, still below the key 20 level.

In Latin America, Mexico's MEXComp is flat at 57814, while Brazil's BRAComp shows a slight gain of 0.08% to 140098.

European markets are mixed with several indices in the red. Polish W20 is down 0.60% to 2821.6 and Austria's AUT20 has fallen 0.48% to 4311. Italy's FTSE MIB and France's CAC 40 show smaller losses at -0.09% and -0.06% respectively.

Positive performers include Spain's IBEX 35 and Germany's DAX (both +0.33%), UK's FTSE 100 (+0.43%), and Switzerland's SMI (+0.45%). The VSTOXX has surged 10.45% to 19.03, suggesting increased uncertainty despite some positive performances.

Current volatility observed on Wall Street. Source: xStation

The Nasdaq 100, represented by the US100, is currently trading above the 23.6% Fibonacci retracement level — a key zone that may act as resistance. Bulls will look to retest previous highs, while bears may aim for a pullback toward the 200- and 100-day SMAs, with the 38.2% retracement level as the next potential downside target.

The RSI is in bullish divergence and nearing overbought territory, suggesting momentum remains supportive of the uptrend but warrants caution. Meanwhile, the MACD continues to widen after a bullish crossover, indicating sustained bullish momentum. Source: xStation

Market News

• Walmart shares rose after the retail giant reported better-than-expected Q1 earnings. The world's largest retailer posted adjusted EPS of $0.61 on revenue of $165.61 billion, compared to analyst expectations of $0.58 and $165.99 billion. CEO Doug McMillon noted, "We delivered a solid first quarter in a dynamic operating environment." While maintaining its full-year guidance, Walmart joined other companies in withholding Q2 profit forecasts due to tariff uncertainties. "We will do our best to keep our prices as low as possible but given the magnitude of the tariffs, even at the reduced levels announced this week, we aren't able to absorb all the pressure given the reality of narrow retail margins," McMillon added. Walmart U.S. comparable sales rose 4.5%, beating analyst estimates of 3.94%.

• UnitedHealth Group announced a surprise CEO change with Stephen Hemsley, 72, returning to replace Andrew Witty who stepped down for "personal reasons." The leadership change coincides with the company withdrawing its 2025 financial guidance, citing higher-than-expected Medicare Advantage costs. UnitedHealth indicated growth won't return until 2026. The company has faced multiple challenges including a major cyberattack, an executive's death, and public backlash against healthcare industry practices. UnitedHealth shares have plummeted nearly 40% year-to-date. The CEO change comes amid increased government scrutiny, including Trump's recent executive order targeting prescription drug prices, which sent shares of UnitedHealth, CVS, and Cigna lower.

• CoreWeave shares fell 3% after the Nvidia-backed AI company revealed substantial capital expenditure plans. The data center operator forecast Q2 capital expenditure of $3 billion to $3.5 billion with revenue expectations of $1.06 billion to $1.1 billion. While management expressed optimism about demand, brokerage MoffettNathanson cautioned that "the cost of preparing to meet this demand may spook investors." CoreWeave, which leases computing capacity to companies building AI models, reported a more than five-fold increase in Q1 revenue to $981.6 million. CEO Michael Intrator noted, "We have also added new enterprise customers and a new hyperscaler and signed expansion agreements with several large customers, including a recent $4 billion expansion with a large AI enterprise." Despite concerns, at least five brokerages have raised their price targets on the stock following the results.

• Coinbase forecast a financial hit between $180 million and $400 million from a cyber attack that breached account data of a "small subset" of customers, sending shares down 4%. The disclosure comes days before the company is set to join the S&P 500 index. Coinbase said attackers stole data including names, addresses, and emails but did not access login credentials or passwords. The hackers had paid multiple contractors and employees working in support roles outside the U.S. to collect information from internal systems. Coinbase refused to pay the $20 million ransom demand and instead established a $20 million reward for information on the attackers. Security remains a challenge for the crypto industry, with funds stolen by hacking crypto platforms totaling $2.2 billion in 2024 according to blockchain analysis firm Chainalysis.