The Dow Jones Industrial dropped 0.26 percent at the close. and amounted to 37,806.39 points. The S&P 500 increased by 0.08% at the end of the day. and amounted to 4,868.55 points. The Nasdaq Composite rose 0.36%. and closed the session at 15,481.92 points. The Russell 2000 small-cap index fell 0.76 percent to 1,961.20 points. The VIX volatility index increased by 4.62%, to 13.13 points.
Netflix’s good results had a positive impact on the main American indices
The European Central Bank will issue its decision on interest rates. on Thursday and is expected to leave interest rates unchanged given recent hawkish comments from top officials. Markets are pricing in 100bps this year. ECB interest rate cuts this year, with 96 percent a chance for the first reduction in June.
“There is great optimism in the markets, which was visible after the end of the US session last evening. But it’s hard to escape the fact that when it comes to UK and European markets, the situation is divergent from the US,” said Michael Hewson, chief markets analyst at CMC Markets, adding that US stocks are outperforming as the economy there recovers. stronger recovery.
The PMI composite index in the USA, prepared by S&P Global, amounted to 52.3 points in January. vs. 50.9 points in the previous month – given in the first calculation. Analysts expected 51 points. The PMI index, determining the economic situation in the American industrial sector, prepared by S&P Global, amounted to 50.3 points in January. compared to 47.9 points in the previous month – given in the first calculation. Analysts expected 47.6 points. The PMI index, determining the economic situation in the American service sector, prepared by S&P Global, amounted to 52.9 points in January. compared to 51.4 points in the previous month – given in the first calculation. Analysts expected 51.5 points.
Netflix shares rose almost 11%. and they are the most expensive in a year. The company announced that it had acquired 13.1 million new subscribers in the last three months. The company currently has 260.8 million paid subscribers, which is a new record for the company. Analysts expected Netflix to report 256 million subscribers at the end of the fourth quarter.
According to analysts, Netflix’s good results had a positive impact on the main American indices. “Solid U.S. economic growth, good earnings and the prospect of lower Fed interest rates continue to support stock valuations,” said Ipek Ozkardeskaya, senior analyst at Swissquote. “Exclusive content has a higher retention rate, making it a strong contender for streaming platforms ” said Sophie Lund-Yates, chief equity analyst at Hargreaves Lansdown, in the report.
Tesla announced Redwood
Large-cap companies such as Microsoft, Amazon and Meta Platforms gained about 1 percent each. due to the decline in the yield of US treasury bonds.
Shares of U.S. chipmakers including Nvidia, Intel and Marvell Technology rose 1%. to 2.5%, following better fourth-quarter results from European chipmaker ASML Holding. Advanced Micro Devices increased in price by approximately 6 percent. AT&T dropped 3%. The company said it expects earnings per share in the range of $2.15 to $2.25 in 2024, compared to the expected $2.44.
Shares of the Chinese company Alibaba Group listed on the US stock exchange increased by 1.5%. following reports from The New York Times that the company’s co-founder Jack Ma and the chairman of the supervisory board Joe Tsai bought shares of this company worth millions of dollars in the fourth quarter of 2023. Component manufacturer Texas Instruments lost 2.5 percent. after forecasting first-quarter revenues and profits below market estimates.
Tesla shares fell less than 1%. Reuters reported that the company has informed suppliers that it wants to start production of a new mass-market electric vehicle called “Redwood” in mid-2025. Dupont de Nemours shares fell 14%. after the chemical company provided financial forecasts for the fourth and first quarters that fell short of analysts’ expectations.
On the oil market, February WTI futures are priced at USD 75.34 per barrel, up 1.30%, and March Brent futures are up 0.94%. up to USD 80.30/b.
