Apertura Americana: Wall Street abre a la baja antes de las declaraciones de Powell

• Fed Chair Powell's testimony to Senate Banking Committee
• Tech stocks under pressure
• Home Depot (HD.US) stock fell despite upbeat Q4 figures

US indices launched Tuesday's session lower. Dow Jones trades slightly below the flatline while the S&P 500 and the Nasdaq extended losses. Investors continue to worry that tech stocks are particularly at risk from any sign that borrowing costs could rise sooner than expected.  Fed Chair Powell will testify before the Senate Banking Committee later in the day and traders will be looking for any hints on the inflation outlook. On the political front, the House of Representatives Budget Committee approved on Monday the $1.9 trillion coronavirus package and a full House vote is expected later in the week.

US2000 failed to break above the 50 SMA (green line) yesterday and price pulled back to the major support at 2220 pts. If sellers will manage to break below it, then another downward impulse could be launched. The next  support  lies at the long-term upward trendline. Breaking below may open the way towards a bigger downward correction towards 2062 pts. Source: xStation5

Home Depot (HD.US) stock fell nearly 3% in premarket despite the fact that company posted upbeat quarterly figures. Earnings of $2.65 per share beat quarterly estimates by 3 cents. Revenue also came in above expectations. Comparable store sales rose 24.5% well above analysts’ projections of 19.2% rise. However the home improvement retailer did not provide guidance due to pandemic-related uncertainty.

Home Depot (HD.US) stock launched todays session lower, below lower limit of the triangle formation. Price broke below 200 SMA (red line). Should  current sentiment prevails, downward move may accelerate towards support at $258.85. Source: xStation5

Macy’s (M.US) stock rose more than 2% in premarket after the retailer posted  quarterly earnings of 80 cents per share, well above analysts' expectations of 12 cent per share. Revenue also beat market estimates. Comparable store sales declined 17.1% while Wall Street expected 21.3% decline. 

Shopify (SHOP.US) priced a 1.18 million share offering at $1,315 per share, with  expecting to raise about $1.55 billion from the sale. The e-commerce platform provider plans to use new funds to strengthen its balance sheet. 

AMC Entertainment (AMC.US) stock rose 3.4% premarket following news that New York City movie theaters will reopen with limited capacity on March 5.

Johnson & Johnson (JNJ.US) will set aside $3.9 billion due to the talc-related litigation, according to an SEC filing. In November, the company said it would set aside $2.1 billion for talc cases, as it faces thousands of lawsuits claiming its talc products caused cancer.