Wall Street continues its recent recovery rally. Strong quarterly figures and prospects from retail groups Walmart and Home Depot are spurring on the good stock market sentiment among the standard stocks. On the other hand, the technology stocks on the Nasdaq are slightly down
Better-than-expected results from retail giants Walmart and Home Depot have boosted Wall Street. The Dow Jones index of standard values closed 0.7 percent higher on Tuesday at 34,152 points. The broad S
Better-than-expected corporate earnings had been driving US stocks for the past few days. According to data provider Refinitiv, 77.6 percent of companies in the S
As fears of a recession faded into the background in the stock market, the oil market continued to feel the effects of the recent disappointing figures for retail sales and industrial production in China. Brent crude oil from the North Sea and US crude oil WTI both fell by a good two percent on Tuesday to 93.07 and 87.22 dollars respectively.
Retail was the focus of investors on Tuesday, as two industry giants, Walmart and Home Depot, presented figures. Walmart shares rose 5.1 percent. Investors were pleased at the prospect of a smaller decline in annual profits than recently feared. The retail giant has been able to lure inflation-stricken customers with discounts. "Despite persistent inflation, the consumer appears to be holding up well," said Kim Forrest, chief investment officer at Bokeh Capital Partners. The drop in petrol prices is also contributing to this. Just last month, Walmart scared investors with a lowered earnings forecast. The hardware store chain Home Depot was also able to score with quarterly sales and profits that were above forecast. The share certificates increased a good four percent.
The better-than-expected numbers from retailers fueled speculation that the Fed would step up interest rates. That drove the yield on 10-year US Treasuries to 2.84 percent. Technology stocks such as Apple and Google's parent Alphabet were down slightly.
The US video service Zoom also went down. The titles fell almost seven percent at the top after the analysts at Citigroup lowered the rating to "Sell". Zoom's growth course has always been a challenge after Corona, the experts stated. "But we see new hurdles to growth, including increasing competition from Microsoft Teams and macroeconomic weakness hitting small and medium-sized businesses."