Here are the top news, trends, and analysis that investors need to get their trading day started:
1. Stocks are likely to burst on strong earnings reports
Traders on the floor of the New York Stock Exchange.
US stock futures rose on Thursday after better-than-expected earnings results.
- Bank of America stocks rose as first-quarter earnings exceeded expectations for booming commercial and investment banking.
- Pepsi stock gained ground after the snacks and beverage maker said sales rose nearly 7% in the most recent quarter, beating estimates.
- Shares in UnitedHealth, a Dow component, rose after results beat estimates, and the health insurer raised guidelines for 2021.
On Wednesday, the S&P 500 slid from record highs in volatile trading as technology stocks fell. The Nasdaq lost 1%. The Dow Jones Industrial Average bucked the trend and posted a modest gain.
2. Covid Stimulus Checks Could Really Boost Retail Sales
People shop on 5th Avenue in New York during the coronavirus disease (COVID-19) pandemic on February 17, 2021.
Brendan McDermid | Reuters
Retail sales in March are expected to grow 6.1%. The numbers will be reported by the trading department at 8:30 am CET. Some economists are expecting much higher sales of 10% or more based on the reopening of the economy, Covid stimulus checks sent to individuals for $ 1,400 and more vaccinations. Sales in February were 3% lower. The Department of Labor’s weekly unemployment claims review, also released at 8:30 a.m. ET, is expected to include 710,000 new registrations last week. In the previous week, the increase rose faster than expected to 744,000.
3. The BofA exceeds estimates for strong investment banking
Signage outside a Bank of America branch in San Francisco, California, the United States, on Thursday, Jan. 14, 2021.
David Paul Morris | Bloomberg | Getty Images
Bank of America’s profits exceeded estimates on strong investment banking and trading results, as well as the release of provisions for loan losses as fewer consumers were expected to default on loans. Like other banking competitors, BofA has benefited greatly from the improving US economic outlook in recent months.
Citigroup released results Thursday that exceeded analysts’ estimates for first quarter earnings with strong investment banking revenues and an above-expected loan loss provision release. The company also said it is closing retail banking operations in 13 countries in Asia and parts of Europe to focus more on wealth management outside of the US
4. Coinbase is set to jump after a strong but volatile debut
Monitors display Coinbase signage during the company’s IPO on April 14, 2021 on the Nasdaq marketplace in New York City.
Robert Nickelsberg | Getty Images
Coinbase Global shares rose another 8% on the Thursday before going public, a day after the cryptocurrency exchange debuted with a market value of nearly $ 86 billion. Nasdaq announced a reference price of $ 250 per share for Coinbase’s direct listing late Tuesday. In one volatile session, the stock opened at $ 381 and quickly rose to $ 429, for a market cap of $ 100 billion. It fell back below its debut price at one point, hitting a low of around $ 310. It closed at $ 328. Coinbase hit the public market when a record amount of cash was flowing into bitcoin and cryptocurrencies.
5. The CDC Panel is delaying the decision on J&J Covid’s vaccination break
Johnson & Johnson’s Janssen COVID-19 vaccine will be stored in Chicago, Illinois for use with United Airlines employees at the United Clinic at O’Hare International Airport on March 9, 2021.
Scott Olson | Getty Images
The CDC Advisory Committee on Immunization Practices has decided to postpone a decision on Johnson & Johnson’s Covid-19 vaccine while investigating cases of six women developing a rare but serious bleeding disorder, one person dead and one other is in critical condition. The panel met Wednesday, the day after the FDA called on states to temporarily stop using J & J’s vaccine “out of caution”. Moving the panel means the pause for J & J’s vaccine will continue to apply. The CDC committee unanimously voted for a reunion in a week.
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