The US stock earnings season kicked off. The four major banks, including JPMorgan Chase and Bank of America, reported better-than-expected earnings, but were pessimistic about the outlook for the US economy. US stocks fell in early trading on Friday (13th) and recovered their losses during the session. Consumer discretionary stocks led the gains , the four major indexes collectively closed in red.
Dow Jones IndexRising more than 100 points, the S&P 500 index rose slightly by 0.4%, rising above the 200-day moving average,Philadelphia SemiconductorThe index closed 0.39% in the red,NasdaqThe index rose more than 0.7%, its sixth straight session of gains and its longest stretch of gains since 2021.
U.S. stocks had a win this week,Dow JonesUp 2% for the week, the S&P rose 2.7% for the week,That fingerWeekly rose 4.82%, S&P andThat fingerIt had its best week since November, extending a second weekly gain.
In terms of economic data, the University of Michigan’s survey of consumer confidence showed that one-year inflation expectations fell to 4%, the third consecutive month of decline, the lowest since April 2021, and the consumer confidence index rose to 64.6 from 59.7, a record high. 9-month high.
On the political and economic front, U.S. Treasury Secretary Yellen notified Congress that the U.S. is expected to reach the statutory debt ceiling next Thursday, and the U.S. Treasury Department will begin to take certain “extraordinary measures” to prevent the U.S. from defaulting. Senate Democratic Leader Chuck Schumer and Minority Leader Hakeem Jeffries issued a joint statement saying Congress needed to act to prevent a catastrophic debt default.
U.S. President Joe Biden and Japanese Prime Minister Fumio Kishida issued a joint statement on Friday, calling for a peaceful resolution of cross-strait issues and reaffirming the importance of stability in the Taiwan Strait. military and economic influence.
International Monetary Fund (IMF) Managing Director Kristalina Georgieva said the IMF may not cut its forecast for global economic growth of 2.7% this year, amid growing evidence that the U.S. can avoid a recession this year and achieve a “soft economy”. Landing”, even if the U.S. economy enters a technical recession, it will only be mild.
The global new crown pneumonia (COVID-19) epidemic continues to spread. Before the deadline, the Johns Hopkins University (Johns Hopkins University) data pointed out that the number of confirmed cases worldwide has exceeded 666 million, and the number of deaths has exceeded 6.72 million. More than 12.7 billion doses of vaccines have been administered in 184 countries around the world.
The performance of the four major US stock indexes on Friday (13th):
Focus stocks
The five kings of science and technology rise together. apple (AAPL-US) rose 1.01%; Alphabet (GOOGL-US) rose 1.09%; Microsoft (MSFT-US) up 0.30%; Meta (META-US) rose 0.20%; Amazon (AMZN-US) up 2.99%.
Dow JonesConstituent stocks closed higher. JPMorgan (JPM-US) rose 2.52%; Kintor Heavy Industry (CAT-US) rose 1.33%; Goldman Sachs (GS-US) rose 1.1%; Traveler (TRV-US) rose 1.01%; UnitedHealth (UNH-US) down 1.23%.
fee halfComponent stocks were mixed. NVIDIA (NVDA-US) rose 2.35%; AMD (AMD-US) rose 0.28%; Applied Materials (AMAT-US) down 0.21%; Texas Instruments (TXN-US) rose 0.49%; Intel (INTC-US) down 0.59%; Qualcomm (QCOM-US) down 1.11%; Micron (MU-US) down 0.59%.
Taiwan stock ADR received more black. TSMC ADR (TSM-US) down 0.23%; ASE ADR (ASX-US) down 0.14%; UMC ADR (UMC-US) down 0.92%; Chunghwa Telecom ADR (CHT US) rose 0.64%.
Corporate News
After Tesla’s “big price cuts” in China, Japan, South Korea, Australia, Singapore and other places last week, it announced on Friday that all Tesla’s U.S. models will be cut in price. The price reduction is estimated to be between 6% and 20%. Tesla (TSLA-US) fell 0.94% to $122.40 per share, with Ford, General Motors and other automakers under pressure.
JPMorgan (JPM-US) rose 2.50% to $143.01 per share. JPMorgan Chase announced its financial report for the fourth quarter of the 2022 fiscal year. Benefited from the rise in U.S. interest rates and the strong performance of the trading department, the revenue and profit were better than expected. However, the bank expects a mild recession in the U.S. economy and has set aside $1.4 billion in loans loss reserves, warning that net interest income may fall short of expectations this year.
Citigroup (C-US) rose 1.67% to $49.92 per share. Citigroup’s fourth-quarter profit fell 21 percent as the bank raised reserves in response to a worsening economy and investment banking revenue fell due to a sharp drop in trading activity.
Bank of America (BAC-US) received a dividend of 2.23% to $35.23 per share. Bank of America’s fourth-quarter revenue reached US$24.5 billion, net profit reached US$7.1 billion, and adjusted net profit per share was US$0.85, better than analysts expected. Bank of America expects a mild recession in the U.S., raising loan loss provisions.
FuGuo bank (WFC-US) rose 3.28 percent to $44.22 a share. Wells Fargo’s fourth-quarter profit fell 50% as the bank took more than $3 billion in costs from a fake-accounts scandal and boosted loan-loss provisions for a potential economic slowdown.
Allied Health (UNH-US) shares opened higher and lower on Friday, closing down 1.31% to $489.57 per share. UnitedHealth’s fourth-quarter adjusted earnings per share were $5.34, beating Zacks estimates, and profits improved from the same period a year earlier, mainly driven by continued member growth in the UnitedHealthcare business.
Economic data
- The monthly rate of the US export price index in December last year was -2.6%, expected -0.5%, and the previous value was -0.4%
- The monthly rate of the U.S. import price index in December last year was 0.4%, expected – 0.9%, and the previous value was – 0.7%
- The initial value of the U.S. consumer confidence index in January was 64.6, expected 60.5, and the previous value was 59.7
Wall Street Analysis
“It’s shifted the focus back to the earnings season,” said Peter Tuz, president of Chase Investment Counsel. “While the earnings are okay, people are just sort of backing off, and as investors hear the top executives talking, you’re going to see people talking The stock market is on the sidelines.”
Anthony Saglimbene, chief market strategist at Ameriprise Financial, commented: “Earnings season will continue to be the focus of this month. Analysts have slashed their earnings forecasts for the fourth quarter of last year. For companies, the threshold is very low. Let’s see if they can overcome this. obstacle.”
“Bank earnings started to weigh on stocks early on Friday, but sentiment reversed as investors seemed to shrug off the negative news, which was somewhat expected,” said Ross Mayfield, investment strategist at Baird.
“People weren’t really expecting a blockbuster quarter in financials, it just provided a little bit of a sentiment swing, and frankly, the market has bounced back pretty well over the past few weeks, there’s been no catalyst, so after the earnings season is over,” Mayfield said. There might be some profit-taking.”
Gentle reminder from Juheng: The US stock and bond markets will be closed next Monday (January 16) due to the Martin Luther King Day (Martin Luther King Day).
The numbers are all updated before the deadline, please refer to the actual quotation
