Short selling tightness eases, dollar rises, Amazon and Alphabet gains – What’s happening in the markets? By

© Reuters.

Yazar: Geoffrey Smith – As the tightness in short sold stocks and silver eases, Robinhood is collecting another $ 2.4 billion from its shareholders to meet its collateral requirements. Amazon (NASDAQ :), Alphabet (NASDAQ :), Exxon (NYSE 🙂 and BP (NYSE 🙂 will report. With progress in US stimulus talks and the weakening of the eurozone economy, the dollar soared, and OPEC’s technical experts review data from the oil market.

Here’s what you need to know in financial markets on Tuesday, February 2nd.

1. Not stuck

A number of stocks, directed by individual investors, continued to weaken before the market. The data showed a decline in net interest in the disclosure for most of the relevant names.

GameStop (NYSE :), which was down 31% on Monday, fell 24%. Monday’s losses were more than 50% from the peak, and the pre-market price is at a level that long-term bulls like saw below a bull situation.

AMC Entertainment (NYSE 🙂 stock likewise fell 22% BlackBerry (NYSE 🙂 fell 6.8%, down 5.7%, having seen an eight-month high on Monday. On the other hand, online broker Robinhood said it raised an additional $ 2.4 billion from its shareholders to fund the increased collateral requirements at the clearinghouse.

2.The dollar rises as stimulus talks and euro area GDP data reveal growth differences

President Joe Biden said he would put pressure on the $ 1.9 trillion spending plan after his fruitless but “constructive” meeting with Republican senators who wanted to reduce the size of the package. The talks calmed fears that a larger package would be delayed or reduced by opposition from the GOP, raising hopes that a larger package could be accepted with the support of both sides.

Congress’s Budget Office said Monday that it expects US GDP to return to its pre-pandemic peak by mid-this year, and updated its projections as a reflection of the new administration’s spending package.

On the other hand, Australia saw a seven-week high as investors reassessed the US’s short-term growth forecast over Europe and other developed markets following the dovish announcement by the central bank of Australia. Eurozone GDP declined in the fourth quarter as quarantines returned. On an annual basis, it shrank by 5.1% compared to the 4.3% expectation.

3. Stock markets will open higher; Will share big Oil reports early

US stocks will open high on the upward revision of US growth projections and confidence that there will be progress in the administration’s spending plan.

It rose by 266 points, by similar amounts, and futures were up 0.8%.

It looks like US earnings reports will dominate the news on a quiet day in terms of economic data. Chevron He said that while he will be reporting for the first time after the end of the interim merger talks with (NYSE :), his basic profit fell to just $ 115 million in the fourth quarter. ,, ConocoPhillips (NYSE :), and other big names to report.

4. Alphabet and Amazon expect to see rapid Cloud growth

The most anticipated earnings will come after closing.

As a result of the acceleration of the trend towards online shopping and remote work, it is arguably the biggest winner of the epidemic, and its revenue is expected to rise 37% to $ 116 billion, thanks to the increase in cloud unit AWS and online e-commerce in the USA. Increasing operating costs will also be closely monitored as the company hires more to cope with higher demand.

It is also expected to share strong quarterly growth for the cloud unit and YouTube for the other reporter. Analysts’ estimates are to reach $ 52.9 billion with a 15% increase in revenue, but a moderate increase in earnings per share of 2.3%.

5.OPEC experts meet, API stocks will be announced

OPEC’s technical experts will meet to assess the state of the global oil market and are expected to advise on whether to regulate the production of the block. No change is foreseen given the promise of Saudi Arabia, the largest producer of the block, to unilaterally cut 1 million barrels per day for the next two months.

However, it is not unlikely that the group suggests a cut in the quotas of individual members. OPEC Ministers, along with those of Russia and Kazakhstan, will sign a policy for next month on Wednesday.

In other news, the American Petroleum Institute (API) will share its weekly forecast for Tuesday. Analysts expect a moderate increase to be compensated by a larger drop in distillate stocks at 367,000 barrels.

It reached $ 54.83 with an increase of 2.4% and reached $ 57.62 with an increase of 2.3%.

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