Mega-cap stocks were helped by weakness in the dollar.
But investors did seem to favor growth stocks over value when you compare the S&P 500 Pure Growth Index climbing 0.97% to the S&P 500 Pure Value Index falling 0.35%. It wasn’t a particularly broad rally advancers barely outpaced decliners. It was followed by the S&P 500® index (SPX) at 0.99% and the Dow Jones Industrials ($DJI) at 0.51%. The Nasdaq ($COMP) led the other major indexes higher yesterday by rising 1.36%. However, natural gas futures continued their climb, rising more than 2% and regaining nearly all of yesterday’s losses. WTI crude oil futures were down 0.87% before the opening bell and is testing support once again. European investors appeared to shrug off the news as the Stoxx Europe 600 index was 0.56% higher overnight.Ī weakening global economy has been blamed on weaker commodity performance. The news appears to have pushed the euro lower against the dollar, but it has trimmed some of its losses ahead of the opening bell. The index tracks manufacturing orders, and it fell below 50, which suggests a contraction in manufacturing. One economic report of note came out of the European Union: a lower-than-expected manufacturing PMI number. The oil field services giant also increased its forward earnings guidance. They saw spending growth in travel and leisure as well as high-end products.Īnother stock that is rising is Schlumberger (SLB) it also beat on earnings, prompting the stock to trade 3.75% higher in the premarket. AXP was up 3.77% in premarket action.Īmerican Express also offered insights into where consumers are spending their money. Moving over to financials, American Express (AXP) offered some positive news as it reported a beat on earnings and revenues due to record cardmember spending. The computer hardware company pointed to weaker sales and a weaker economic environment as causes for the misses. Seagate Technology (STX) fell 12% in the premarket as investors reacted to the company missing on top and bottom line numbers. VZ also cut its fiscal year forecast, which led to the stock falling 5% in premarket action. Moving over to the communications sector, Verizon (VZ) reported a miss on earnings despite higher than expected revenues. The news from Twitter and Snap pulled other companies that rely heavily on digital ads lower as Alphabet (GOOGL), Meta (META), and Pinterest (PINS) respectively fell 2.31%, 4.45%, and 7.4% before the opening bell. Snap (SNAP), the parent company of Snapchat, plunged more than 30% in the premarket after missing on earnings due to year-over-year sales nosediving from a 38% increase a year ago to just 13% this quarter. It also fell short on revenues, citing currency headwinds and uncertainty around its acquisition by Elon Musk. Twitter (TWTR) reported a loss of eight cents per share, well below the expected 14 cent per share profit.
Shawn Cruz, Head Trading Strategist, TD Ameritrade (Friday Market Open) Investors seem to have a day to focus on earnings because there’s little economic news to digest, but social media stocks are certainly giving them something to chew on. Growth Stocks Appear to be Gaining on Value Stocks Which Could Signal a Market Change.The ECB Raised Its Key Rate Causing the U.S. Social Media Stocks Fall as Twitter and Snap Miss Big on Earnings