Stocks Creep Their Way Into the Green
Today's financial recap and tomorrow's financial outlook.
Stocks dropped initially following the release of the January University of Michigan Consumer Sentiment Index, which came in at 71.3, missing the consensus forecast of 75.
The Nasdaq (INDEXNASDAQ:.IXIC) was notably weak as Intel (Nasdaq:INTC) fell sharply following Thursday afternoon's fourth-quarter earnings report, which included what appeared to be an overly aggressive capital spending plan. Though this was a company-specific issue, semiconductor stocks fell in sympathy with Intel.
Credit card giant Capital One (NYSE:COF) also took a big hit after missing consensus estimates by an enormous margin.
On the upside, investment bank Morgan Stanley (NYSE:MS) had a very strong rally after reporting much better-than-expected fourth-quarter earnings before the open this morning. This followed competitor Goldman Sachs' (NYSE:GS) impressive earnings report from Wednesday. Additionally, economic bellwether General Electric (NYSE:GE) was a standout following improved earnings and solid growth in industrial order activity.
We also saw solid performance in Chinese stocks following China's announcement of a better-than-expected fourth-quarter GDP of 7.9%.
In Washington, House Republican leaders announced a vote next week for a three-month extension of the debt ceiling limit, with a stipulation that both chambers must pass a budget or not be paid their salaries.
Tuesday's Financial Outlook
Note: The markets will be closed on Monday in observance of Martin Luther King, Jr. Day.
On Tuesday, we will see a large volume of earnings reports. Notable names include Johnson & Johnson (NYSE:JNJ), Delta Airlines (NYSE:DAL), and Freeport McMoRan (NYSE:FCX) before the open, and Google (Nasdaq:GOOG) and IBM (NYSE:IBM) after the close.
There are no US economic releases on the calendar.
Follow the markets all day every day with a FREE 14 day trial to Buzz & Banter. Over 30 professional traders share their ideas in real-time. Learn more.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.
Copyright 2011 Minyanville Media, Inc. All Rights Reserved.