NEW YORK (dpa-AFX) – The record rally on the US stock exchanges should continue on Wednesday with a positive start. The broker IG valued the leading index Dow Jones Industrial one hour before the starting bell 0.4 percent higher to 31 499 points. The day before it had risen above 31,400 points for the first time before lethargy spread. Now the mark of 31,500 points comes into focus.
The other major US indices could also push their highs further up in the middle of the week. In terms of futures, the market-wide S&P 500 and the technology-heavy Nasdaq 100 are also expected to be positive and thus at least on par with their previous highs.
Stock marketers continue to see the hope of a new US economic stimulus package as a pillar on the world’s stock exchanges along with the prospect of long-term low interest rates. According to a market watcher, stocks are currently being accessed again out of fear of missing out. Without real disruptive factors, the optimism could not be stopped for the time being.
On the corporate side, quarterly figures made the headlines again, mostly positively. For the shares of Coca-Cola it went up 2.2 percent before the market. On an adjusted basis, the brewing group, which is part of the Dow, exceeded expectations with its earnings per share.
At Under Armor, too, investors reacted to the interim report with delight in the pre-market session, with the shares advancing by 6.8 percent. At General Motors, on the other hand, the numbers arrived cautiously, as shown by a minus of 1.4 percent in pre-market trading. However, the automaker’s shares had recently hit a high since they returned to the stock market in 2010.
In the tech sector, the network specialist Cisco was the topic of conversation. After reaching a price high for a year the day before, the rally threatens to end here for the time being. Despite solid figures, it went down by 4.5 percent before the market. According to experts, the results and outlook are largely as expected.
Things fared better for the papers from Twitter, which rose by 8.5 percent before the market. The short message service expanded its business significantly in the past quarter, even if the development of user numbers remained subdued. Jefferies analyst Brent Thill was impressed by the significantly exceeded expectations for sales and operating profit.
Meanwhile, the transport service broker Lyft is raising the mood of its investors with a cost development praised by analysts that enabled quarterly figures to exceed expectations. The shares rose by almost eleven percent before the IPO and those of competitor Uber followed this up by 6.3 percent./tih/fba
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