US labor market

(SeaPRwire) –   Giao dịch sớm hôm nay thấy S&P 500 tăng 0,5%, với chỉ số Dow Jones Industrial Average tăng 0,5% hoặc 178 điểm vào lúc 9 giờ 40 phút sáng giờ Đông. Đồng thời, chỉ số Nasdaq tăng 0,6%.

experienced a 2.1% climb after rejecting a buyout offer, citing an absence of “compelling value.” SolarEdge Technologies rose by 3.7% following its announcement of a 16% workforce reduction, while NuStar Energy surged by 12.6% after Sunoco revealed its intention to acquire the pipeline and storage company in a $7.3 billion deal, including debt.

However, Archer Daniels Midland faced a setback with a 16.6% drop, prompting the leave of its chief financial officer. The company is under investigation for accounting practices after receiving a document request from U.S. regulators. Archer Daniels Midland anticipates reporting full-year 2023 profits below analysts’ forecasts.

This week is set to witness a flurry of companies reporting their Q4 2023 results, with around 70 S&P 500 companies on the agenda, including American Airlines, Intel, Procter & Gamble, and Tesla.

Analysts expect an overall 2% dip in S&P 500 earnings for Q4, marking the fourth quarter in the last five with declining profits.

Post the initial week of earnings reporting, companies exceeding analysts’ forecasts have seen smaller stock price boosts, while those falling short have experienced more significant declines, indicating a “higher bar after a big rally,” according to Bank of America strategists Savita Subramanian and Ohsung Kwon.

The recent rally, propelling the S&P 500 to a two-year high, was driven by expectations of a Federal Reserve interest rate cut due to a projected inflation cooldown. However, stronger-than-expected economic reports have led traders to revise their rate cut forecasts, with a 43% probability for a March cut, down from over 80% a week ago, according to CME Group data.

Economic reports later this week, including the government’s GDP estimate and the latest inflation reading, could further influence rate cut expectations.

While stocks on continue their ascent, global markets, particularly in China, are facing concerns about the economic recovery. Hong Kong’s stocks fell 2.3%, contributing to a 12.2% loss year-to-date, while Shanghai’s stocks tumbled 2.7%. China’s decision to keep its loan prime rate unchanged disappointed investors hoping for more significant economic stimulus.

In contrast, Japan’s Nikkei 225 rose 1.6%, anticipating the Bank of Japan’s maintenance of ultra-low interest rates following its two-day meeting starting Monday. Treasury yields have eased since October, alleviating pressure on the stock market, and on Monday, the 10-year Treasury yield fell to 4.09%.

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