Friday, July 19, 2024

stock market rises to weekly highs; Warren Buffett is making a big move


The stock market traded higher on Thursday after the regional banks rebounded. Big Tech and the Nasdaq Composite bucked the early bearish tide, trading higher, while smaller companies scraped opening losses. Regional bank stocks got some relief First Republic Bank (FRC) you may get a new lifeline.


Treasury Secretary Janet Yellen testified before the Senate Finance Committee Thursday morning, insisting that the banking system remains strong.

c. B. Morgan Chase (JPM), Morgan Stanley (Ms) and other major banks are in talks about a possible deal with First Republic Bank. This would include a major capital injection for the strained regional bank.

the CME FedWatch tool It now expects an 83% chance of a 25bp rate hike at the March meeting. Almost 17% expect no change in prices.

Trading volume on the New York Stock Exchange and Nasdaq was lower than midday on Wednesday.

The Dow Jones Industrial Average rose 0.4% while the S&P 500 rose 1.2%. The Nasdaq Composite Index rose 1.9%.

The Russell 2000 Index traded 0.7% higher after losing more than 1% early Thursday. The regional banking component of 15% affected the index of small companies.

The Dow and S&P 500 tested resistance at the 50- and 200-day moving averages, while the Nasdaq regained these critical price levels.

The Invesco QQQ Trust ETF is a highly qualified technology fund on the Nasdaq 100 Index (QQQ) added 1.7%. The Innovator IBD 50 ETF (fifty) gained 2%.

The 10-year US Treasury yield rose 2 basis points, to 3.52%.

Economic data moves the stock market

Crude oil rose 0.1% to $67.62 a barrel. Bitcoin futures rose 1.7% to $24,900.

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European stock markets rose, with Germany’s DAX up 1.8% and the Paris CAC adding 2.5%. London’s FTSE gained 1.1% in afternoon trading.

European Central Bank Raising interest rates by 50 basis pointsraising the key interest rate to 3% as expected.

Initial jobless claims for the week ending March 11 came in at 192,000 against the EconoDay consensus of 205,000, and down from last week’s revised 212,000. The data shows continued strength in the labor market.

Warren Buffett buys more oxygen; First Republic Securities Laundry

Warren Buffett Berkshire Hathaway (BRKB) bought more than 7.88 million shares of Occidental Petroleum (OXY), with a value of approximately $467 million. OXY rose 1.8% on the news.

pagerduty (P.D) rose more than 16% after reporting an outperformance in profit and loss in the fourth quarter.

Adobe (ADBE) rose 5.6% after reporting better-than-expected earnings and sales in the quarter ending in February. It also raised revenue guidance for the full year Wednesday after the bell.

Quarterly earnings per share grew 13% while sales increased 9%, supported by digital media revenue growth of 9% and digital experience sales increase of 11%. Analysts expect EPS to grow 12% annually in 2023 and 14% in 2024.

Credit Suisse (C.S) increased by 3% after approval It borrows up to nearly $54 billion From the Swiss National Bank, which keeps the bank afloat.

First Republic Bank (FRC) fell more than 16% after bloomberg She reported that the failed bank is looking at strategic options, including a possible sale of the company.

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Western Alliance Bank (WAL) of losses, up 2.1% after the credit rating agency put bad bank debt and deposit ratings under negative watch.

SPDR Select Regional Bank ETF (KRE) pared early losses, rising 0.9%. Determine the financial SPDR (XLF) the ETF rose 1.2%.

Stock Market Today: Sports Retailer Exit

The parent is on Facebook and Instagram Meta platforms (meta) rose 1.3%. Stocks moved after news of possible US and UK restrictions on Chinese social media rival TikTok.

Shares broke out on Wednesday, registering 197.26 buys for a flat base. The RSI line has reached a 52-week high, as marked by the blue dot on MarketSmith’s weekly chart. Social media stock is a IBD SwingTrader position.

A parent on snapchat pop (pop) was up 6.7% in the stock market Thursday on TikTok news.

Sports and outdoor academy (aso) figured 9% in heavy volume. Shares exited from a flat base, reaching 63.99 buy points, after better-than-expected fourth-quarter earnings per share and lower-than-expected sales.

Management gave net sales numbers for the full year that were above analyst expectations. The RSI line for the Sporting Goods Retail Inventory reached a 52-week high on the weekly chart.

five below (five) fell 2.1% after reporting better-than-expected fourth-quarter sales, but gave lower guidance for first-quarter earnings per share.

Follow Kimberley Koenig for more stock news on Twitter @employee.

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Rosario Tejeda
Rosario Tejeda
"Infuriatingly humble analyst. Bacon maven. Proud food specialist. Certified reader. Avid writer. Zombie advocate. Incurable problem solver."