Futures Pull Back Near Unchanged Following Inflation Data

[ADVFN]( [[Global Email] World Daily Markets Bulletin]( Friday, 26 May 2023 09:13:11 [ADVFN Twitter]( [Monitor]( [Quote]( [Charts]( [News]( [Toplists]( [Boards]( [How to Become a Successful Crypto Trader?]( [Check Out This Video]( --------------------------------------------------------------- US Market Bitcoin [Bitcoin]( DAX [DAX]( Dow Jones [Dow Jones]( Nasdaq [Nasdaq]( The major U.S. index futures are currently pointing to a roughly flat open on Friday, with stocks likely to show a lack of direction following the rebound seen in the previous session. Stocks had appeared poised for a continued advance earlier in the morning following reports U.S. lawmakers are inching closer to an agreement that would raise the debt limit for about two years. However, the futures gave back ground following the release of a Commerce Department showing an acceleration in the annual rate of consumer growth in the month of April. The report said the annual rate of consumer price growth accelerated to 4.4 percent in April from 4.2 percent in March. The annual rate of growth by core consumer prices, which exclude food and energy prices, also accelerated to 4.7 percent in April from 4.6 percent in March. The inflation readings are said to be preferred by the Federal Reserve, potentially adding to recent uncertainty about the outlook for interest rates. Nonetheless, technology stocks may see continued strength after helping lead the rally seen in the previous session. Shares of Marvell Technology (MRVL) are soaring in pre-market trading after the chipmaker reported better than expected fiscal first quarter results and said it expects revenue growth to accelerate in the second half. Stocks moved mostly higher during trading on Thursday, regaining ground after moving sharply lower on Tuesday and Wednesday. The Nasdaq showed a particularly strong upward move, reflecting strength in the tech sector. The Nasdaq surged 213.93 points or 1.7 percent to 12,698.09, bouncing back near the nine-month closing high set on Monday. The S&P 500 also jumped 36.04 points or 0.9 percent to 4,151.28, while the narrower Dow bucked the downtrend and edged down 35.27 points or 0.1 percent to 32,764.65. The rebound on Wall Street partly reflected a positive reaction to earnings news from Nvidia (NVDA), with the chipmaker soaring by 24.4 percent to a record closing high. Nvidia spiked after reporting better than expected fiscal fourth quarter results and forecasting fiscal second quarter revenue well above analyst estimates. The news contributed to a rally by semiconductor stocks, resulting in a 6.8 percent surge by the Philadelphia Semiconductor Index. The index reached its best closing level in over a year. Industry giant Intel (INTC) bucked the uptrend, however, tumbling by 5.5 percent and contributing to the modest drop by the Dow amid competition concerns. Software and computer hardware stocks also saw significant strength, driving the NYSE Arca Computer Hardware Index and the Dow Jones U.S. Software Index up by 3.9 percent and 3.2 percent, respectively. On the other hand, energy stocks have moved sharply lower the day, with a steep drop by the price of crude oil weighing on the sector. With crude for July delivery plunging $2.51 to $71.83 a barrel, the Philadelphia Oil Service Index plummeted by 2.6 percent and the NYSE Arca Oil Index dove by 2.2 percent. Tobacco, gold and telecom stocks also showed notable moves to the downside, partly offsetting the strength in the tech sector. Meanwhile, traders kept an eye on any developments in the U.S. debt ceiling negotiations amid lingering concerns about a potential default. Reflecting the default concerns, Fitch Ratings placed the United States "AAA" credit on "rating watch negative," signaling downside risks to U.S. creditworthiness. On the U.S. economic front, revised data released by the Commerce Department showed economic growth in the U.S. slowed less than previously estimated in the first three month of 2023. The Commerce Department said gross domestic product climbed by 1.3 percent in the first quarter compared to the previously estimated 1.1 percent increase. Economists had expected the pace of GDP growth to be unrevised. Despite the upward revision, the GDP growth in the first quarter still reflects a slowdown from the 2.6 percent jump seen in the fourth quarter of 2022. A separate report released by the Labor Department showed a modest increase in first-time claims for U.S. unemployment benefits in the week ended May 20th. The Labor Department said initial jobless claims crept up to 229,000, an increase of 4,000 from the previous week's revised level of 225,000. Economists had expected jobless claims to inch up to 245,000 from the 242,000 originally reported for the previous week. --------------------------------------------------------------- Do you day trade? Trader Alerts streams stocks reaching new highs and lows as well as stocks breaking out of previous volume highs as they happen. It's a powerful tool for day trading ideas. [Learn More / Upgrade]( --------------------------------------------------------------- U.S. Economic Reports CADUSD [CADUSD]( Oil [Oil]( Gold [Gold]( EURUSD [EURUSD]( Personal income in the U.S. increased in line with economist estimates in the month of April, according to a report released by the Commerce Department on Friday The Commerce Department said personal income climbed by 0.4 percent in April after rising by 0.3 percent in March. The growth matched expectations. The report also showed consumer spending advanced by 0.8 percent in April following a revised 0.1 percent uptick in March. Economists had expected spending to rise by 0.4 percent compared to the unchanged reading originally reported for the previous month. The personal income and spending report also includes readings on consumer price inflation that are said to be preferred by the Federal Reserve. The report said the annual rate of consumer price growth accelerated to 4.4 percent in April from 4.2 percent in March. The annual rate of growth by core consumer prices, which exclude food and energy prices, also accelerated to 4.7 percent in April from 4.6 percent in March. A separate report released by the Commerce Department on Friday unexpectedly showed a continued surge in new orders for U.S. manufactured durable goods in the month of April. The Commerce Department said durable goods orders jumped by 1.1 percent in April after spiking by 3.3 percent in March. The continued increase surprised economists, who had expected durable goods orders to slump by 1.0 percent. Orders for transportation equipment led the way higher once again, shooting up by 3.7 percent in April after soaring by 9.9 percent in March. Excluding orders for transportation equipment, durable goods orders dipped by 0.2 percent in April after rising by 0.3 percent in March. Economists had expected ex-transportation orders to edge down by 0.1 percent. At 10 am ET, the University of Michigan is scheduled to release its revised reading on consumer sentiment in the month of May. The consumer sentiment index for May is expected to be unrevised at 57.7, which was down from 63.5 in April. --------------------------------------------------------------- [3 Tiny Stocks Primed to Explode]( The world's greatest investor ? Warren Buffett ? has a simple formula for making big money in the markets. He buys up valuable assets when they are very cheap. For stock market investors that means buying up cheap small cap stocks like these with huge upside potential. We've set up an alert service to help smart investors take full advantage of the small cap stocks primed for big returns. [Click here for full details and to join for free.]( --------------------------------------------------------------- Stocks in Focus Shares of Gap (GPS) are moving sharply higher in pre-market trading after the apparel retailer reported an unexpected adjusted fiscal first quarter profit amid a significant improvement in margins. Financial management software company Workday (WDAY) is also likely to see initial strength after reporting better than expected fiscal first quarter results and raising the low end of its full-year subscription revenue guidance. On the other hand, shares of Ulta Beauty (ULTA) are seeing significant pre-market weakness even though the beauty retailer reported fiscal first quarter results that exceeded analyst estimates. Footwear company Deckers Outdoor (DECK) may also move to the downside after reporting better than expected fiscal fourth quarter results but provided disappointing guidance. --------------------------------------------------------------- [Sell every Stock except ONE]( Markets are down... But Jeff Clark couldn't care less because he ignores almost every stock in the market except ONE. He lives financially free trading this One Stock Once per month... [Ticker Revealed.]( --------------------------------------------------------------- Europe European stocks have moved higher on Friday, with optimism over a debt deal in the U.S. and encouraging retail sales data from the U.K. helping underpin investor sentiment. Reports suggested earlier in the day that U.S. lawmakers are inching closer to an agreement that would raise the debt limit for about two years and cap federal spending at the same level as fiscal 2023 for two years. In economic news, official data showed U.K. retail sales recovered in April driven by food and non-food turnover. Retail sales volume increased 0.5 percent month-on-month, in contrast to the 1.2 percent drop in March. Sales were forecast to grow more moderately by 0.3 percent. On a yearly basis, retail sales dropped at a slower pace of 3.0 percent, in line with expectations, after a 3.9 percent decrease in March. While the French CAC 40 Index has climbed by 0.5 percent, the German DAX Index and the U.K.?s FTSE 100 Index are both up by 0.3 percent. Tech stocks have moved mostly higher following positive earnings from U.S. chipmaker NVIDIA. ASM International is posting a standout gain. Miners Anglo American, Antofagasta and Glencore have also shown strong moves to the upside on U.S. debt deal optimism. AstraZeneca has gained half a percent after a combination of its cancer drugs Imfinzi and Lynparza showed positive results in a late-stage trial. U.K. Commercial Property REIT, a real estate investment trust, has also jumped. The company has sold its Webley Logics Asset in London measuring 186,455 sq ft for 74 million pounds to Covent Garden IP Limited, a registered charity. Meanwhile, Casino has plunged. The debt-ridden French retailer said it was officially started court-backed negotiations with its creditors. --------------------------------------------------------------- Do you have a full view of the market? Level 2 lets you see all of the orders to buy and sell shares, allowing you to see what is really going on in the market. If you don?t have this in your trading toolkit, you?re at a serious disadvantage. [Learn More / Upgrade]( --------------------------------------------------------------- Asia USDCAD [USDCAD]( USDEUR [USDEUR]( USDGBP [USDGBP]( USDJPY [USDJPY]( Asian stocks ended Friday's session broadly higher after reports suggested U.S. lawmakers are inching closer to an agreement that would raise the debt limit for about two years and cap federal spending at the same level as fiscal 2023 for two years. The dollar eased on optimism that the U.S. government would avert a government default. Gold edged higher, while oil prices were broadly higher after having fallen sharply overnight following conflicting messages from Russia and Saudi Arabia ahead of the next OPEC+ policy meeting. China's Shanghai Composite Index settled 0.4 percent higher at 3,212.50, reversing early losses as authorities rushed to push out vaccines to combat a new wave of the coronavirus that is expected to peak in June. Hong Kong's market was closed for a public holiday. Sino-U.S. tensions also remained on investors' radar after the U.S. State Department warned that China is capable of launching cyberattacks against critical infrastructure, including oil and gas pipelines and rail systems. Japanese shares eked out modest gains as the yen weakened on expectations of another Fed interest rate hike at the June policy meeting. Softer-than-expected Tokyo inflation data also spurred more expectations that the Bank of Japan will hold off on tightening policy this year. The Nikkei 225 Index rose 0.4 percent to 30,916.31, while the broader Topix Index finished marginally lower at 2,145.84. Positive earnings from U.S. chipmaker NVIDIA boosted tech stocks, with Advantest, Tokyo Electron and Screen Holdings surging 4-6 percent. Seoul stocks edged up, with the Kospi ending 0.2 percent higher at 2,558.81 led by chip giants. Samsung Electronics rallied 2.2 percent and SK Hynix jumped 5.5 percent. Australian markets inched higher but posted their worst weekly performance in more than two months. The benchmark S&P ASX 200 Index rose 0.2 percent to 7,154.80, snapping a four-session losing streak. The broader All Ordinaries Index closed 0.2 percent higher at 7,334.50, led by miners. Investors shrugged off weaker than expected retail sales data for April. --------------------------------------------------------------- Do you day trade? Trader Alerts streams stocks reaching new highs and lows as well as stocks breaking out of previous volume highs as they happen. It's a powerful tool for day trading ideas. [Learn More / Upgrade]( --------------------------------------------------------------- Commodities Crude oil futures are rising $0.44 to $72.27 a barrel after plunging $2.51 to $71.83 a barrel on Thursday. Meanwhile, after tumbling $20.90 to $1,943.70 an ounce in the previous session, gold futures are inching up $1.10 to $1,944.80 an ounce. On the currency front, the U.S. dollar is trading at 140.17 yen versus the 140.06 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is valued at $1.0737 compared to yesterday?s $1.0725. --------------------------------------------------------------- To unsubscribe from this news bulletin or edit your mailing list settings click [here](. Registered Office/Accounts Dept: Suite 27, Essex Technology Centre, The Gable, Fyfield Road, Ongar, CM5 0GA. Customer Support +1 888-992-3836. Company registered in England and Wales: Number 2374988 VAT No. GB 549 2130 49