- US indices under pressure
- Flash Markit PMIs above expectations
- IBM (IBM.US) stock fell more than 8% after the company reported Q4 sales
US indices launched today's session sharply lower, with Dow Jones plunged 0.70% and both the S&P 500 and the Nasdaq fell around 0.5%, retreating from records as investors reassessed the outlook for President Joe Biden's ambitious stimulus plan. Some Republicans have expressed doubts over the need for another stimulus bill, especially one with a price tag of $1.9 trillion proposed by Biden. Meanwhile, Democratic Sen. Joe Manchin has criticized the size of the latest round of proposed stimulus checks. On the data front, flash Markit PMIs showed factory activity grew at a record pace in January and the services reading also came higher-than-expected.
US500 – yesterday index pulled back after reaching new all-time high at 3860 pts. Today sellers managed to push the price below the upward trendline signaling that the downward correction may be on the cards. However bears must overcome support at 3819 pts to pave the way for further declines towards 3775 pts level. On the other hand, if buyers will manage to halt declines here, then another upward impulse could be launched. Source: xStation5
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Open real account TRY DEMO Download mobile app Download mobile appIBM (IBM.US) posted quarterly earnings of $2.07 per share well above analysts’ expectations of $1.79. however revenue missed market estimates as software sales posted a decline as pandemic-induced uncertainty kept some customers from striking long-term deals.
IBM (IBM.US) stock plunged more than 8% in pre-market. Currently price is trading below major support at $ 121.73 which is additionally strengthened by 50 SMA (green line) and 200 SMA (red line). If the current sentiment prevails, then the downward move could be extended to the $113.76 level. Source: xStation5
Intel (INTC.US) reported quarterly earnings of $1.52 per share , compared to a consensus estimate of $1.10. Revenue came in above expectations, thanks to strong pandemic-induced demand for personal computers and laptops. The chip maker also lifted its quarterly dividend by 5%. The shares did come under pressure after incoming CEO Pat Gelsinger said the majority of Intel’s 2023 products will be made in-house rather than outsourced.
Ford (F.US) is recalling 3 million cars due to the airbag-related, including 2.7 million in the US. The recall involves airbag inflators that could potentially rupture. The recall will cost the car manufacturer approx. $610 million.
Schlumberger (SLB.US) earned 22 cents a share in the latest quarter, beating expectations by 5 cents a share. Revenue also surprised on the upside. Schlumberger’s bottom line was helped by a rebound in demand as oil prices rose, as well as cost cuts.
