US Open: Wall Street struggles for direction 🔔

• Wall Street is set to open slightly lower
• Dollar remains weak as US treasury yields stay low
• Micron (MU.US) Q1 adjusted revenue forecast beats estimates
• Zscaler (ZS.US) reported 131% higher earnings year-on-year.

Wall Street opens slightly below its local maximum, despite a poorer sentiment on the stock exchanges in the Old Continent. Investors are waiting for further comments from FOMC members today. At the beginning of the session, both the US500 and the US100 are losing about 0.20%.

The dollar remains one of the weakest currencies today, which could provide another upward impulse. However, it is possible that FOMC members will want to cool the mood again, which could trigger greater volatility on the dollar. The yields on U.S. 10-year bonds remain low below 4.40%.

US500

The US500 index quotations remain above the 4500 point level, but after a period of recent rises, consolidation or correction is not excluded. Bulls of a next impulse to growth will probably be looking for it in the upcoming November labor market data only next week. The key level to watch, of course, remains the support zone around 4500 points. If bulls manage to maintain this level, we can expect an attempt to test this year's highs at 4630 points, which is just 1.90% higher. Otherwise, levels of 4430 and 4400 points should be kept in mind. Source: xStation 5

List of the most active securities on the SP500 at the beginning of the session. Source: Bloomberg Finance L.P.

Company News

Micron Technology (MU.US), a memory chipmaker, has updated its first-quarter forecasts, indicating an improvement in its financial performance. The company now expects its adjusted gross margin to be near breakeven, a better outcome than previously anticipated, due to an improved supply and demand balance. Micron revised its expected adjusted loss per share to around $1, slightly less than the previously forecasted $1.07 per share. Additionally, the company estimates its revenue for the quarter ending November 30 to be around $4.7 billion, up from the earlier estimate of $4.4 billion. However, Micron anticipates higher operating expenses of $990 million for the period, exceeding its prior estimate of $900 million.

Source: xStation 5

Zscaler (ZS.US), a cybersecurity firm, reported fiscal first-quarter earnings that exceeded Wall Street expectations, primarily driven by robust federal government sales. The company's earnings surged 131% to 67 cents per share on an adjusted basis, with revenue growing 40% to $496.7 million, surpassing analysts' estimates. Billings also rose by 34% to $456.6 million, though the company maintained its full fiscal year 2024 billings guidance at 25% growth. For the current quarter ending in January, Zscaler forecasts earnings per share between 57 and 58 cents, higher than the expected 52 cents, and anticipates revenue around $506 million. The company is boosting its sales and marketing efforts, having appointed Mike Rich as the new Chief Revenue Officer and Joyce Kim as the Chief Marketing Officer.

Source: xStation 5