Wake Up Wall Street (SPY) (QQQ): Can Apple halt the slide or is that like fighting the tide?
Here is what you need to know on Friday, January 28:
Is it time to buy the dip yet, and can Apple (AAPL) turn this market around? These are the big questions for today and ones that will determine the future of this market, not just in the short term but perhaps for the year ahead.
Turning to our detailed historical knowledge now, we note January has an incredible 80%-plus predictive rate for the yearly S&P 500 performance. So if January is negative, which is highly likely, then so too is the year ahead to about 80% accuracy. Apple could turn things a bit more positive as it beats the street with knockout earnings. EPS and revenue both came in well ahead and so too did outlook. The stock popped 2% and has added another 2% in the premarket.
Caterpillar (CAT) is also out with earnings this morning. The stock is often cited as a global indicator due to its industry breadth. It beat on EPS and revenue, but shares are largely flat so far in the premarket. Chevron (CVX) surprisingly misses despite oil and gas prices surging.
The Fed gets another look at its favoured inflation component today with the PCE release. The increasingly hawkish Fed has seen macro forecasters rush to add in an extra rate rise this year and cause a decent flattening of the yield curve. Still, thereis a ways to go before it predicts an imminent recession though.
The dollar is beginning to lose some steam after its hawkish ascent and is at $1.1140 now versus the euro. Oil is at $87 and Gold at $1,788. Bitcoin is 2% lower at $36,200.
European markets are lower: EuroStoxx -2.65, FTSE -2% and Dax -2.55.
US futures are also lower: S&P -15, Dow -1%, and NASDAQ -0.85.
Wall Street (SPY) (QQQ) Stock News
Apple (AAPL) up 3% on earnings beat and strong outlook. Supply chain issues not affecting.
Chevron (CVX) down on earnings miss. Revenue was ahead.
Caterpillar (CAT) beat on top and bottom line, but shares down 1%.
Visa (V) beat on top and bottom lines, shares up 3% premarket.
Robinhood (HOOD) collapses 15% on poor growth and lower outlook.
VF Corp (VFC) down on reduced sales forecasts for its branded apparel.
Western Digital (WDC) drops 10% on poor outlook.
Insulet (PODD) up 7% on FDA approval.
Affirm (AFRM) up on Visa (V) partnership news for debit card.
Teradyne (TER) drops on Stifel downgrade.
Home Depot (HD) names new CEO.
Mcdonalds (MCD) missed earnings last night after close.
Upgrades and Downgrades
Souorce: Benzinga Pro
Economic releases
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Author
Ivan Brian
FXStreet
Ivan Brian started his career with AIB Bank in corporate finance and then worked for seven years at Baxter. He started as a macro analyst before becoming Head of Research and then CFO.
