The reporting season for the third quarter in the USA has so far gone better than feared. The Dow Jones therefore celebrates its biggest weekly gain since the end of June. Only Snap’s bad advertising figures cloud the buying mood as a bad omen.
With a tailwind from company balance sheets, the US stock exchanges rose at the end of the week. The Dow Jones index of standard values ??ended the trading week 2.4 percent higher at 31,083 points – and thus celebrated the largest weekly gain since the end of June. The broader S
The third-quarter earnings season has been better than feared so far, prompting analysts to lower earnings expectations for S
According to a report by the Wall Street Journal, some members of the US Federal Reserve want to downshift. “I would say the Fed is now trying to ease the scale or slow down its rate hikes, underscoring its price stability campaign,” said Joe Brusuelas, chief economist at consultancy RSM.
However, traders are still expecting a fourth hike of 75 basis points at the central bank’s November meeting. Speculations of a sustained aggressive cycle of interest rate hikes have been weighing on stock and bond prices for some time. “There is still a lot of uncertainty about the economy, inflation and where interest rates will end up, and none of this is conducive to a strong sustained recovery in equity markets,” said strategist Craig Erlam of trading house Oanda.
In the energy sector, Schlumberger’s better-than-expected quarterly results brightened sentiment. Shares gained more than 10 percent. In the wake of better-than-expected quarterly figures, investors grabbed Dow. The shares of the chemical company gained 4.3 percent. Financial stocks like JPMorgan Chase and Goldman Sachs also gained more than 4.6 percent.
The targeted quadrupling of the prices for Pfizer’s Covid-19 vaccine in the USA made investors speculate on the pharmaceutical giant’s ringing coffers. Wells Fargo analyst Mohit Bansal expects sales to increase by $2.5 billion to $3 billion a year. Pfizer shares gained 4.8 percent. The titles of the partner Biontech gained 5.6 percent in Frankfurt. The shares of competitors Moderna and Novavax also rose by 8.4 and 12.5 percent.
Snap’s sluggish sales growth, on the other hand, alienated investors. The Snapchat operator’s shares fell 28 percent. In the wake of this, the papers from online platforms such as Twitter and Pinterest lost up to 6.4 percent. Snap’s numbers pointed to falling ad sales, analysts at investment bank Piper Sandler wrote. This is a bad omen for companies that are also dependent on this income. The titles of the Facebook parent Meta fell by 1.1 percent. The papers of the Google and YouTube operator Alphabet, on the other hand, rose by 0.9 percent.
American Express fell 1.6 percent. The credit card company has built larger reserves to prepare for potential defaults if an economic downturn looms.
