Left Menu
Development News Edition

US STOCKS-Wall St set for fresh highs on trade deal, Morgan Stanley earnings

US STOCKS-Wall St set for fresh highs on trade deal, Morgan Stanley earnings
Representative image Image Credit: Pixabay

U.S. stocks were poised to open at record highs on Thursday after the United States and China signed an initial trade agreement and Morgan Stanley wrapped up big bank earnings on a strong note.

The benchmark S&P 500 was set to open above the 3,300 marks for the first time ever. The blue-chip Dow Jones Industrial Average and the Nasdaq were also on track to open at new all-time highs. Wall Street bank Morgan Stanley rose 6.5% in premarket trading after beating quarterly profit estimates and raising its performance goals.

Investors took heart from the signing of the trade deal on Wednesday that paused an 18-month long tariff war that had bruised financial markets and crimped global growth. China is expected to boost purchases of U.S. goods and services in exchange for the rolling back of some tariffs as part of the deal, but concerns remain with several thorny issues still unresolved.

"The Phase 1 trade deal has been largely priced into markets," said Peter Kenny, founder of Strategic Board Solutions LLC. "Any movement forward from here, at least in the near-term, is going to be driven by earnings. So far, we do see a sort of a positive tone set by the financials."

Analysts expect earnings at S&P 500 companies to have dropped 0.5% in the fourth quarter, according to Refinitiv IBES data, the second consecutive decline. At 8:52 a.m. ET, Dow e-minis were up 86 points or 0.3%. S&P 500 e-minis were up 10.75 points, or 0.33% and Nasdaq 100 e-minis were up 35.75 points, or 0.39%.

Shares of semiconductor stocks, including Micron Technology Inc and Advanced Micro Devices Inc, were up about a percent after a promising outlook from the world's top contract chipmaker TSMC pointed to a recovery in the chip sector. Data from the Commerce Department showed U.S. retail sales rose 0.3% in December, in-line with expectations.

The numbers follow disappointing holiday sales reports from retailers including Target Corp and J.C. Penney Co Inc spooked investors. Signet Jewelers Ltd jumped 33.8% after raising the 2020 adjusted earnings estimate on the back of upbeat holiday sales.

Tesla Inc fell 4.4% after Morgan Stanley downgraded the stock to "underweight" from "equal weight".

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

Download The Devdiscourse News App for Latest News.



WEF2020: Trump seems politically correct in pulling out from Paris Agreement

If the survey of the World Economic Forum WEF is believed, Trump seems to enjoy the confidence of his people in flaying climate intuitions and climate activists. His preference for economic development over environmental protection not only...

From home to healthcare, here are Robotic innovations transforming lives

Lovot is equipped with more than 50 sensors such as thermography, microphone array, obstacle detection, and touch sensor to generate motion and emotions in real-time....

Translating words to deeds: Achieving gender parity in access to financial resources

... ...

SDG13: How you can reduce global warming by changing your food habits

The mega narratives of various international organizations give the impression that fighting global warming is only a job of government agencies. However, the European Investment Bank EIB has designed a questionnaire which besides making th...


Latest News

Dehradun: Two Civil engineers caught red-handed while accepting bribe

The Central Bureau of Investigation CBI on Wednesday arrested two officials of Research and Development RD department in Dehradun while they were allegedly demanding a bribe of Rs 40,000 and Rs 20,000 each from the complainant, police said....

Ranji: Sarfaraz's 300 helps Mumbai take first-innings lead

Staying true to his words, young Sarfaraz Khan stuck his maiden triple 100 to single-handedly give Mumbai the crucial first-innings lead and grab three points on the last day of their Elite Group B Ranji Trophy match against Uttar Pradesh h...

Maharashtra retains Khelo India Youth Games champions trophy

Maharashtra retained Khelo India Youth Games champions trophy with a rich collection of 256 medals, including 78 gold, leaving Haryana to draw consolation from their 200-medal haul as the celebration of sports for the nations youth came to ...

Khelo India Youth Games conclude with colourful closing ceremony, Maharashtra champions

The third edition of the Khelo India Youth Games came to a close on Wednesday with a glitzy ceremony, with Maharashtra being adjudged as the champion team with 256 medals, including 78 gold. During the 13-day sporting extravaganza, Maharash...

Give Feedback