Dow, S&P 500 Futures Edge Higher As Record Bank Earnings, Cooling Inflation Lift Risk Appetite: ASTS, ATAI, AAPL, PYPL in Focus
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Morgan Stanley and BlackRock reported strong quarterly results, once again exceeding Wall Street expectations like their peers that reported on Tuesday. Memory-chip makers, however, lagged the broader market's climb amid profit-taking following a strong run-up tied to expectations of AI demand.Crude oil prices continued to climb and stayed above $80 per barrel levels as the U.S. continued its attacks on Iran.U.S. stock futures were mixed in the overnight session late Wednesday, as a lower-than-expected wholesale inflation reading, coupled with record banking results, boosted investor sentiment, even as weakness in the semiconductor sector weighed on technology stocks. Dow futures were up 0.01%, S&P 500 futures climbed 0.01%, while Nasdaq-100 futures fell 0.17% at 9:03 PM EDT. Among ETFs tracking benchmark indexes, the SPDR S&P 500 ETF (SPY) and the Invesco QQQ Trust (QQQ) were trading lower at the time of writing, while the SPDR Dow Jones Industrial Average ETF Trust (DIA) edged higher. The iShares 20+ Year Treasury Bond ETF (TLT) was down 0.05% amid ‘extremely bearish’ sentiment.How Did US Markets Fare On Wednesday?All three benchmark indexes closed higher on Wednesday amid a growing risk appetite driven by lower inflation and strong bank earnings. The Nasdaq added nearly 160 points, closing up 0.62%. The S&P 500 was up 0.38%, while the Dow closed 0.29% higher. IndexMoveCloseDow Jones Industrial Average0.29%52,658.64S&P 5000.38%7,572.40Nasdaq Composite0.90%26,269.23US Market DriversJune’s Producer Price Index (PPI) declined 0.3% from the previous month, marking its steepest drop in more than a year and coming in below expectations. On an annual basis, producer prices increased 5.5%, also below forecasts.The lower wholesale inflation came a day after the U.S. Consumer Price Index (CPI) for June was also lower than expected. Mohamed El-Erian, Chief Economic Advisor at Allianz, said in a post on X on Wednesday, noting the decline in CPI and PPI: “These much better-than-expected figures are set to boost equities and further temper market expectations for upcoming interest rate hikes.”Meanwhile, two banks, Morgan Stanley (MS) and BlackRock (BLK), reported quarterly results, once again exceeding Wall Street expectations like their peers Goldman Sachs (GS), Bank of America (BAC) and others that also reported strong results on Tuesday. Among financial stocks, PayPal Holdings Inc. (PYPL) was the star performer, jumping over 17% after reports emerged that Stripe and Advent International have made an offer to jointly acquire the firm for a value of over $53 billion. Memory-chip makers, however, lagged the broader market's climb amid profit-taking following a strong run-up tied to expectations of AI demand. The iShares Semiconductor ETF (SOXX) ended the session more than 2% lower. On the geopolitical front, U.S. attacks on Iran continued amid escalating tensions. The U.S. Central Command said in a post on X, “At 3 p.m. ET, U.S. forces launched operations for a second wave of strikes today against Iran. The strikes are targeting Iranian military capabilities used to threaten vessels freely transiting through the Strait of Hormuz, an international waterway vital to global commerce. The U.S. military is holding Iran accountable at the Commander in Chief's direction.”Markets will be watching for retail sales updates, initial jobless claims, and the Philadelphia Fed manufacturing survey on Thursday. Trending Stocks To Watch AST SpaceMobile Inc. (ASTS): Shares of the company AST plunged more than 11% overnight after it announced plans to raise $1 billion through a private offering of convertible senior notes, sparking investor concerns about potential shareholder dilution.AtaiBeckley Inc. (ATAI): The psychedelic drug developer’s stock soared more than 56% in extended-trading hours after a report said Eli Lilly (LLY) is nearing a deal with the company, with an announcement expected as soon as this week.Apple Inc. (AAPL): The iPhone maker jumped onto the retail radar after its shares reached an all-time high of $328.73 during trading hours, amid reports that it had received approval to launch generative AI features in China.PayPal Holdings Inc. (PYPL): The payments company continued to remain on the retail radar amid reports of its buyout offer and its stock surged to a near six-month high. Global Market Trends Crude oil prices continued to climb late Wednesday, staying above $80 per barrel. At the time of writing, Brent crude futures expiring in September were up 0.49% to $85.37 per barrel, while WTI crude futures expiring in August rose 0.65% to $80.12 per barrel.Yields on the 10-year Treasury rose to 4.561% at the time of writing, while spot gold prices fell to around $4,045.20 per ounce. Asian markets were trading lower at the open on Thursday, with South Korea's KOSPI leading the decline, down more than 6% at the time of writing. Japan’s Nikkei 225, China’s SSE Composite index and Australian stocks were also trading lower at the time of writing. For updates and corrections, email newsroom[at]stocktwits[dot]com.
AI 시장 분석
Record profits of US banks and reducing inflation have boosted risk appetite. The semiconductor sector is showing strength due to expected AI demand, but is currently bearish. Crude oil prices have risen above $80 and continue to rise due to the US's attack on Iran.
상승 영향
- Banks — Record profits of US banks and reducing inflation have boosted risk appetite.
- Crude Oil — Crude oil prices have risen above $80 and continue to rise due to the US's attack on Iran.
하락 영향
- Semiconductors — The semiconductor sector is showing strength due to expected AI demand, but is currently bearish.
AI가 생성한 분석으로 투자 자문이 아닙니다.
DYAX Investor Sentiment
Bullish (Long) 26% · Bearish (Short) 74%
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