The main US stock indexes have moderately grown, having updated the record highs. The catalyst for this was the strong quarterly results of JPMorgan and reliable data on retail sales and consumer prices.
The Commerce Ministry said retail sales increased by 0.4% in seasonally adjusted terms in December compared with November. Economists had expected an increase of 0.4%. Retail sales increased by 0.9% in November, and sales growth in October was also revised upward. Sales in the fourth quarter as a whole increased by 5.5% compared to the same period a year earlier. With the exception of cars, often unstable, sales increased by 0.4%; economists were expecting a 0.3% increase. With the exception of cars and gasoline, sales rose 0.4% in December.
A separate report from the Ministry of Labor showed that the consumer price index increased by 0.1% in December, compared to the previous month. This increase was less than the expectations of economists (+ 0.2%). In December, except for the volatile categories of food and energy, prices rose 0.3%, which is the biggest increase in so-called base prices since January 2017. Economists had expected base prices to grow more modestly, by 0.2% compared to November.
Most components of the DOW index finished trading in positive territory (24 out of 30). The leader of growth was the shares of The Boeing Company (BA, + 2.49%). Outsider were shares of General Electric Company (GE, -1.55%).
Most sectors of S & P showed an increase. The services sector grew most (+ 0.9%). The utilities sector showed the greatest decrease (-0.5%).
At closing:
Dow + 0.80% 25.778.80 +204.07
Nasdaq + 0.59% 7,254.01 +42.23
S & P + 0.59% 2.783.83 +16.27
Manufacturers' and trade inventories, adjusted for seasonal variations but not for price changes, were estimated at an end-of-month level of $1,895.4 billion, up 0.4 percent (±0.1 percent) from October 2017 and were up 3.2 percent (±0.3 percent) from November 2016.
The total business inventories/sales ratio based on seasonally adjusted data at the end of November was 1.33. The November 2016 ratio was 1.40.
U.S. stock-index futures were mixed on Friday, as investors digested fourth-quarter earnings from financial heavyweights JPMorgan Chase (JPM) and Wells Fargo (WFC), while Facebook (FB) saw selling pressure amid concerns that recent updates to its news feed will cause users to spend less time on the site.
Global Stocks:
Nikkei 23,653.82 -56.61 -0.24%
Hang Seng 31,412.54 +292.15 +0.94%
Shanghai 3,429.32 +3.97 +0.12%
S&P/ASX 6,070.10 +2.50 +0.04%
FTSE 7,773.23 +10.29 +0.13%
CAC 5,503.06 +14.51 +0.26%
DAX 13,185.87 -17.03 -0.13%
Crude $63.26 (-0.85%)
Gold $1,326.90 (+0.33%)
(company / ticker / price / change ($/%) / volume)
AA | ALCOA INC. | 57.35 | 0.44(0.77%) | 5101 |
AAPL | Apple Inc. | 175.83 | 0.55(0.31%) | 250101 |
ABX | Barrick Gold Corporation, NYSE | 14.77 | 0.12(0.82%) | 33825 |
AIG | AMERICAN INTERNATIONAL GROUP | 61 | -0.15(-0.25%) | 1000 |
AMZN | Amazon.com Inc., NASDAQ | 1,275.00 | -1.68(-0.13%) | 92223 |
AXP | American Express Co | 100.23 | -0.50(-0.50%) | 4050 |
BA | Boeing Co | 329.75 | 1.63(0.50%) | 38824 |
C | Citigroup Inc., NYSE | 75.45 | -0.11(-0.15%) | 52248 |
CAT | Caterpillar Inc | 170.02 | 0.82(0.48%) | 18620 |
CSCO | Cisco Systems Inc | 40.13 | 0.03(0.07%) | 16989 |
CVX | Chevron Corp | 132.48 | -0.09(-0.07%) | 6043 |
DE | Deere & Company, NYSE | 168.34 | 0.88(0.53%) | 2316 |
DIS | Walt Disney Co | 111.3 | 0.31(0.28%) | 2748 |
F | Ford Motor Co. | 13.06 | -0.10(-0.76%) | 53602 |
FB | Facebook, Inc. | 178.8 | -8.97(-4.78%) | 3789493 |
FCX | Freeport-McMoRan Copper & Gold Inc., NYSE | 19.82 | -0.06(-0.30%) | 16604 |
FDX | FedEx Corporation, NYSE | 272.28 | 1.09(0.40%) | 649 |
GE | General Electric Co | 19.12 | 0.10(0.53%) | 528093 |
GM | General Motors Company, NYSE | 44.3 | 0.11(0.25%) | 19240 |
GOOG | Google Inc. | 1,105.00 | -0.52(-0.05%) | 20731 |
GS | Goldman Sachs | 254.14 | -0.99(-0.39%) | 49381 |
HD | Home Depot Inc | 194.8 | 0.12(0.06%) | 3881 |
HPQ | Hewlett-Packard Co. | 22.35 | -0.06(-0.27%) | 424 |
IBM | International Business Machines Co... | 165.05 | 0.85(0.52%) | 8458 |
INTC | Intel Corp | 43.5 | 0.09(0.21%) | 57501 |
JNJ | Johnson & Johnson | 145.2 | 0.41(0.28%) | 1959 |
JPM | JPMorgan Chase and Co | 111.45 | 0.61(0.55%) | 466402 |
KO | The Coca-Cola Co | 46.21 | 0.17(0.37%) | 19802 |
MCD | McDonald's Corp | 173.82 | 0.43(0.25%) | 2009 |
MMM | 3M Co | 243 | 0.69(0.28%) | 874 |
MO | ALTRIA GROUP INC. | 70.21 | -0.08(-0.11%) | 1533 |
MRK | Merck & Co Inc | 57.81 | 0.21(0.36%) | 4107 |
MSFT | Microsoft Corp | 88.38 | 0.30(0.34%) | 63722 |
NKE | Nike | 64.4 | 0.11(0.17%) | 834 |
PFE | Pfizer Inc | 36.66 | 0.10(0.27%) | 6938 |
PG | Procter & Gamble Co | 90.28 | 0.13(0.14%) | 12790 |
SBUX | Starbucks Corporation, NASDAQ | 60.11 | 0.11(0.18%) | 9866 |
TRV | Travelers Companies Inc | 132.82 | 0.48(0.36%) | 2036 |
TSLA | Tesla Motors, Inc., NASDAQ | 339 | 1.05(0.31%) | 15827 |
TWTR | Twitter, Inc., NYSE | 24.99 | 0.64(2.63%) | 639831 |
UNH | UnitedHealth Group Inc | 226.43 | 1.04(0.46%) | 924 |
UTX | United Technologies Corp | 135.93 | 0.94(0.70%) | 2190 |
V | Visa | 120.07 | 0.23(0.19%) | 6811 |
VZ | Verizon Communications Inc | 52.16 | 0.05(0.10%) | 5053 |
WMT | Wal-Mart Stores Inc | 100 | -0.02(-0.02%) | 3692 |
XOM | Exxon Mobil Corp | 86.94 | 0.01(0.01%) | 3784 |
Apple (AAPL) target raised to $204 from $193 at Maxim Group
Twitter (TWTR) target raised to $30 from $25 at BTIG Research
Visa (V) target raised to $136 from $124 at Citigroup
Alphabet (GOOG) target raised to $1300 from $1150 at Piper Jaffray
Johnson & Johnson (JNJ) target raised to $160 from $155 at Wells Fargo
Microsoft (MSFT) target raised to $100 from $90 at Wells Fargo
Amazon (AMZN) target raised to $1400 from $1270 at SunTrust
Caterpillar (CAT) target raised to $189 from $158 at BofA/Merrill Boeing (BA) target raised to $375 from $310 at Credit Suisse UnitedHealth (UNH) target raised to $255 from $235 at Evercore ISI Home Depot (HD) target raised to $227 from $200 at Deutsche Bank
American Express (AXP) downgraded to Neutral from Overweight at JP Morgan
Coca-Cola (KO) upgraded to Outperform from In-line at Evercore ISI
Wells Fargo (WFC) reported Q4 FY 2017 earnings of $1.16 per share (versus $0.96 in Q4 FY 2016), beating analysts' consensus estimate of $1.03.
The company's quarterly revenues amounted to $22.050 bln (+2.2% y/y), missing analysts' consensus estimate of $22.638 bln.
WFC fell to $62.24 (-1.22%) in pre-market trading.
Advance estimates of U.S. retail and food services sales for December 2017, adjusted for seasonal variation and holiday and trading-day differences, but not for price changes, were $495.4 billion, an increase of 0.4 percent from the previous month, and 5.4 percent above December 2016.
Total sales for the 12 months of 2017 were up 4.2 percent from 2016. Total sales for the October 2017 through December 2017 period were up 5.5 percent from the same period a year ago. The October 2017 to November 2017 percent change was revised from up 0.8 percent to up 0.9 percent. Retail trade sales were up 0.3 percent from November 2017, and were up 5.6 percent from last year. Nonstore Retailers were up 12.7 percent from December 2016, while Building Materials and Garden Equipment and Supplies Dealers were up 9.9 percent from last year.
The Consumer Price Index for All Urban Consumers increased 0.1 percent in December on a seasonally adjusted basis, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index rose 2.1 percent before seasonal adjustment.
An increase of 0.4 percent in the shelter index accounted for almost 80 percent of the 1-month all items increase. The food index rose in December, with the indexes for food at home and food away from home both increasing. The energy index, which rose sharply in November, declined in December as the gasoline index decreased.
JPMorgan Chase (JPM) reported Q4 FY 2017 earnings of $1.76 per share (versus $1.71 in Q4 FY 2016), beating analysts' consensus estimate of $1.69.
The company's quarterly revenues amounted to $24.153 bln (+3.3% y/y), missing analysts' consensus estimate of $24.873 bln.
JPM fell to $110.36 (-0.43%) in pre-market trading.
Says we may be overshooting full employment
The job market is tightening
U.S. oil drilling is going up
It is tough to fill skilled worker jobs
In November 2017 the seasonally adjusted industrial production index was unchanged compared with the previous month. The percentage change of the average of the last three months with respect to the previous three months was -0.2.
The calendar adjusted industrial production index increased by 2.2% compared with November 2016 (calendar working days being the same as in November 2016); in the period January-November 2017 the percentage change was +2.7 compared with the same period of 2016.
The unadjusted industrial production index increased by 2.2% compared with November 2016.
In December 2017, the Consumer Prices Index (CPI) gathered pace at +0.3% after +0.1% in November. This sharper rise came from a seasonal rebound in services prices and, in a lesser extent, from that of manufactured product prices. On the other hand, energy prices and tobacco prices slowed down and those of food were stable.
Seasonally adjusted, consumer prices hardly slowed down after a slight acceleration in the previous month: +0.1% after +0.2% in November.
EUR/USD
Resistance levels (open interest**, contracts)
$1.2157 (2913)
$1.2121 (1965)
$1.2101 (2193)
Price at time of writing this review: $1.2059
Support levels (open interest**, contracts):
$1.1978 (2746)
$1.1948 (2815)
$1.1914 (2849)
Comments:
- Overall open interest on the CALL options and PUT options with the expiration date February, 9 is 94153 contracts (according to data from January, 11) with the maximum number of contracts with strike price $1,2100 (5575);
GBP/USD
Resistance levels (open interest**, contracts)
$1.3650 (2034)
$1.3629 (1573)
$1.3599 (1060)
Price at time of writing this review: $1.3548
Support levels (open interest**, contracts):
$1.3490 (1083)
$1.3466 (2376)
$1.3437 (3060)
Comments:
- Overall open interest on the CALL options with the expiration date February, 9 is 28366 contracts, with the maximum number of contracts with strike price $1,3600 (3487);
- Overall open interest on the PUT options with the expiration date February, 9 is 26183 contracts, with the maximum number of contracts with strike price $1,3500 (3060);
- The ratio of PUT/CALL was 0.92 versus 0.93 from the previous trading day according to data from January, 11
* - The Chicago Mercantile Exchange bulletin (CME) is used for the calculation.
** - Open interest takes into account the total number of option contracts that are open at the moment.
Says U.S. fiscal path now unsustainable, sees risks to U.S. creditworthiness
Significant portion of tax cuts will be saved not spent
Tax cuts could lead to economic overheating, hurt long-term fiscal position
Expects above-trend gdp growth, rising inflation in 2018
U.S. Tax cuts to give short-term boost to economy but pose serious long-term risks
Commerce Department statement offers no information about the findings of its section 232 steel import probe
Says Trump has 90 days to decide on any potential action based on findings of section 232 steel probe
China's exports grew more than expected in December on global recovery but the pace of expansion slowed from November.
Exports grew 10.9 percent year-on-year in December, data from the General Administration of Customs showed Friday, cited by rttnews.
The annual rate was faster than the expected 10 percent but slower than the 12.3 percent increase registered in November.
Imports climbed 4.5 percent annually, which was much weaker than the 14.8 percent increase economists' had forecast and November's 17.7 percent rise.
As a result, the trade surplus rose to $54.69 billion in December, while it was forecast to fall to $37.4 billion.
European stocks finished at their lowest in a week Thursday, as investors considered a signal from the European Central Bank that it's positioning for a more hawkish view on monetary policy. Retailers, meanwhile, struggled after the release of disappointing financial updates from the sector that included the key Christmas shopping period.
U.S. stock benchmarks resumed their climb to close at records on Thursday, a day after the S&P 500 and Nasdaq suffered the first down day of the year on anxieties about appetite for Treasurys from the world's second-largest economy, China.
Asian stocks resumed their ascent on Friday, supported by US earnings optimism and a rise in oil prices while the euro edged higher as the European Central Bank signalled an end to its massive stimulus.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.