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Nov 19, 2024 11:18 AM | Eric BleekerAs of 11:18 a.m. ET, the Nasdaq has turned solidly green for the day. NVIDIA (Nasdaq: NVDA) continues to move north ahead of earnings, its shares are now up 2.92% on the day.
Walmart (NYSE: WMT) also is seeing gains grow as the trading day moves on, and is now up 4% after opening up closer to 2% after it released outstanding earnings this morning.
Some other standouts include:
- Super Micro Computer is now up 33% as investors pile back in on optimism the company can avoid being delisted by the Nasdaq.
- Lowe’s is down nearly 4% as sales guidance for 2024 fell short of investor expectations. Its likely that Lowe’s relative performance compared to other peers in consumer goods (including Walmart’s earnings this morning) is driving more negative sentiment.
Indexes Trim Losses
Nov 19, 2024 10:15 AM | Eric BleekerAs of 10:15 a.m. ET the Nasdaq is down just .20%, trimming losses from premarket trading. The Dow Jones Industrial Average is still down 411 points, or close to 1%.
Among large stocks, NVIDIA (Nasdaq: NVDA) and Walmart lead the gainers. NVIDIA is up 1.7% after falling due to reports of overheating chips in recent days. It reports earnings tomorrow.
Big Moves in Premarket
Nov 19, 2024 9:14 AM | Eric BleekerHere are a couple of stocks making the biggest moves in premarket trading:
- Super Micro Computer: Up 25% in premarket trading after announcing it is engaging with a new auditor in its quest to avoid delisting by the Nasdaq.
- Symbiotic: Robotics company that is up 29% after announcing earnings that beat strong on sales and earnings. The company reported revenue of $577 million, which beat expectations by more than $100 million. Symbiotic (Nasdaq: SYM) was worth $18 billion headed into earnings after falling 39% year-to-date, but will recapture most of those losses in trading today.
Across indexes, there’s a wall of red in premarket trading this morning. As of 9 a.m. ET, here’s where major indexes stand:
nextstayCCSettingsOffArabicChineseEnglishFrenchGermanHindiPortugueseSpanishFont ColorwhiteFont Opacity100%Font Size100%Font FamilyArialText ShadownoneBackground ColorblackBackground Opacity50%Window ColorblackWindow Opacity0%WhiteBlackRedGreenBlueYellowMagentaCyan100%75%50%25%200%175%150%125%100%75%50%ArialGeorgiaGaramondCourier NewTahomaTimes New RomanTrebuchet MSVerdanaNoneRaisedDepressedUniformDrop ShadowWhiteBlackRedGreenBlueYellowMagentaCyan100%75%50%25%0%WhiteBlackRedGreenBlueYellowMagentaCyan100%75%50%25%0%- Dow Jones Industrial Average Futures: Down 424 (-.97%)
- S&P 500 Futures: Down 47.25 (-.80%)
- Nasdaq Futures: Down 164.25 (1.80%)
As you can see, each index is down a similar amount, so today doesn’t appear to be a trading day where there will be strength in some sectors while others fall steeply. Selling is across the board.
Let’s look at the key storylines driving the market today.
Russia-Ukraine Tensions Rise
On Tuesday, Vladimir Putin once again raised the prospect of nuclear weapons use. The new threat comes after Ukraine struck a target about 100 miles in Russia using ATACMS missiles provided by the United States.
While nuclear weapons are always a scary headline, its worth noting that Russia has repeatedly warned of the increasing likelihood of their use. Beyond the recent ATACMS strike, Donald Trump’s National Security nominee has spoken of allowing Ukraine to get more aggressive by striking more targets inside Russia with weaponry provided by the United States.
So, this could be part of a larger warning to the incoming Administration. Regardless, Wall Street abhors uncertainty so escalating tensions will lead to selling.
Walmart Beats Expectations
Earnings season continues to provide evidence of increasing consumer spending. Bellwether Walmart (NYSE: WMT) reported earnings on Tuesday morning that topped revenue and profit expectations.
The big news is that Walmart is now expecting sales will grow in the range of 4.8% to 5.1% this year, which is above previous guidance of 3.75% to 4.75%.
Overall, EPS for the quarter came in at $.58, which was strongly above estimates of $.53. Same-store sales growth clocked 5.3% at Walmart stores and 7% at Sam’s Club, their competitor to Costco. Walmart is up 2% in premarket trading.
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