Yazar: Geoffrey Smith
Investing.com – Companies start generating cash again; Both technology and oil giants are announcing strong quarters. Copper approached $ 10,000 per ton, and the 10-year Treasury bond yield saw a two-week high as the FED calmed inflation concerns. Weekly unemployment benefits applications will be published with the first reading of US first quarter GDP data. Amazon, Twitter, McDonald’s (NYSE 🙂 and Caterpillar Many important companies such as will publish their quarterly results. Here’s what you need to know about the markets on Thursday, April 29th.
1. Strong quarter from tech giants
The largest US technology companies (“Big Tech”) have achieved very strong results; Apple (NASDAQ 🙂 and Facebook were able to comfortably exceed expectations in the quarterly results published yesterday after the market close.
Apple’s profit came in at 42% above expectations and 16% in revenue. This performance was driven by the explosion in device sales for those who continue their work and education from their homes. However, the company warned that the global chip shortage would hurt iPad and Mac sales in the current quarter. Facebook followed Alphabet (NASDAQ 🙂 one day apart, announcing an increase in advertising revenue thanks to restrictions that kept advertisers away from non-internet channels during the winter.
Qualcomm also offered a very strong outlook for the rest of the year, thanks to strong demand for mobile phones, its most important segment.
2.Technology companies’ results will raise shares at the opening
Following the renewed commitment to a slack monetary policy and strong results from the West Coast once again, technology-led US stocks are expected to open today’s session with an upswing.
By 13:30 it had risen by 114 points, or 0.4%, and 0.7%. It also rose 0.9% with the help of Apple and Facebook, which initially rose 2.9% and 7.1% respectively. Qualcomm share gained 5.6%.
With today’s publications, the old economy will take the stage: Caterpillar (NYSE :), Kraft Heinz (NASDAQ :), Comcast (NASDAQ :), Merck, Hershey, Altria (NYSE :), Keurig Dr. Pepper, Northrop Grumman Along with (NYSE :), American Tower (NYSE :), S&P Global (NYSE 🙂 and Thermo Fisher (NYSE 🙂 broadcasts, Amazon (NASDAQ 🙂 will have completed the FAAMG group’s broadcasts after closing and will be on Twitter with Mastercard (NYSE 🙂 it will follow.
3. FED raises bond yields and commodities; Copper approached $ 10 thousand
FED Chairman Jerome Powell downplayed inflation concerns at a press conference and described the factors behind a near-term rise in annual inflation rates as “transitional”.
Powell once again said that although “more normal economic conditions” await later this year, “the economy is still far from our goals” and that those goals will likely take some time to be met.
Powell’s comments came against a background of rising prices for both industrial and agricultural commodities. Copper futures in London neared $ 10,000 per ton overnight, while nickel futures rose 1% to see a 13-month high.
4.The oil giants are back, at least in Europe
Europe’s oil giants re-entered the market; Royal Dutch Shell (LON :), Total and Equinor posted a significant profit increase in the first quarter, while Shell and Equinor increased their dividend payments. Royal Dutch Shell has also managed to repay some of its debt borrowed during the crisis last year.
The profitability of the three oil giants has now returned to pre-epidemic levels. However, among these names, it still only offers Total shareholders revenue at pre-epidemic rates. Shell, which reduced its dividend payment for the first time after 70 years in order to protect its cash during the epidemic, announced to the Financial Times that it is not planning another increase in dividend payments this year.
Crude oil prices reached their highest level in the week thanks to loose monetary policy, a cheaper dollar, and the support of recovery in demand in most of the world, with the exception of India. As of 13:30, futures were up 1.4% at $ 64.73 a barrel, and $ 67.68 a barrel, again 1.4%.