(Wednesday Market Open) Despite glowing results from Netflix (NFLX), it looks like the market might pull back early Wednesday after Tuesday’s huge advance. Profit taking could be a factor, and investors also might have their eyes on a slight uptick in Treasury yields.
The big story today is arguably NFLX earnings, which we’ll get to in a moment. There are items on Wednesday’s calendar, including the release of Fed minutes this afternoon and earnings from Abbott Labs (ABT) and U.S. Bancorp (USB). Earnings season is in its infancy, but so far nearly 90% of reporting companies have topped Wall Street analysts’ expectations.
Still, the bias appears to be mostly lower for now, in part due to slightly higher Treasury yields and the dollar advancing vs. the euro and pound. A sharper than expected drop in United Kingdom inflation reported Wednesday might be helping prop the dollar, leading to some commodity market weakness. Cr
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Robust earnings results from some of the big banks, along with a rally in Europe, might help come to the aid of a sagging stock market early Tuesday. Netflix earnings loom after the close.
It’s the first major week of earnings season, and Wall Street appears to still be under pressure after recent sharp losses. Retail sales came in under expectations, but Bank of America beat estimates.
The market finished the week 4% lower, but might have left investors with some positive vibes after rallying most of the day Friday and making better than 1% gains. Next week brings more bank earnings.
There seems to be a more positive tone on Wall Street to start the day after the six-day losing streak and sharp weekly losses. Bank earnings this morning kicked off reporting season.
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