Indexes Ease Ahead Of Fed Meeting, Busy Week Of FANG Earnings | Stock News & Stock Market Analysis

The Dow, S&P 500 and Nasdaq composite showed losses of around 0.3% to 0.4% in afternoon trading Monday on a busy day of headline flow. Volume on the NYSE was on pace to be slightly higher than Friday’s level. Nasdaq volume was tracking close to Friday.

XGoldman Sachs (GS) was a nice gainer in the Dow, up nearly 2%, as money flowed out of bonds again. The 10-year Treasury yield was up 4 basis points to 2.70%.

In related news, the Federal Reserve meets Wednesday and a decision on interest rates is due at 2 p.m. ET. According to the CME Group FedWatch tool, the market sees little chance of a quarter-point hike to a range of 1.50% to 1.75%. It’s a different story for the March 21 meeting, however, as the market currently sees a 75% chance of a quarter-point hike.

Apple (AAPL) lagged in the Dow, falling nearly 2%, after another report raised questions about weak iPhone X sales. Quarterly results are due Thursday after the close. On a weekly chart, Apple is toiling below the 10-week moving average after falling nearly 4% last week in higher volume.

Top-rated growth stocks were pressured as nearly half the names in the IBD 50 dropped 1% or more.

In deal news, shares of Dr. Pepper Snapple (DPS) surged 25% on news it’s merging with privately held Keurig Green Mountain. The new beverage company will have combined sales of around $11 billion.

Meanwhile, shares of Sanofi (SNY) gave back 1% after the company announced plans to acquire Belgium biotech Ablynx (ABLX) for around $4.8 billion. Shares of Ablynx juped 12%.

Sanofi outbid Novo Nordisk (NVO) for the rights to a potential blockbuster drug to treat a rare blood-clotting disease. The news comes after Sanofi just recently struck a deal to acquire Biogen (BIIB) spinoff Bioverativ (BIVV) for $11.6 billion.

On the downside, shares of Weibo (WB) slumped 3% after the Chinese government ordered the company to move several of its portals offline temporarily due to obscene content. It’s still holding above a 122.31 buy point after a breakout from a late-stage base.

IBD Sector Leader Sina (SINA), which still owns a chunk of Weibo, fell 2% in afternoon trading.

Alibaba (BABA) eased 0.3% ahead of its earnings report Thursday before the open. It’s one of several high-profile names scheduled to report earnings this week. Alibaba has made decent progress after a breakout over a 191.85 buy point.

Results from Facebook (FB) are due Wednesday after the close.  Alphabet (GOOGL) and (AMZN) report Thursday after the close.

Wynn Resorts (WYNN) extended losses after Friday’s 10% drop in heavy volume.  Friday’s weakness was fueled by a Wall Street Journal report that detailed allegations of sexual misconduct by Chief Executive Steve Wynn. Shares were down another 9% today after Wynn said he would resign from his post as finance chief of the Republican National Committee.

You Might Also Be Interested In:

Special Section: 2018 Best Online Brokers

Homebuilder Stocks Continue To Slide On NVR Miss Ahead Of Key Earnings Reports

Why Trump’s State Of The Union Might Move Markets Up — Or Down

What To Expect When Facebook Reports First-Quarter Results

The Latest In Investor’s Corner

Source link

Originally posted 2018-01-29 21:18:28.


No comments.

Leave a Reply

error: Content is protected !!