The so-called “stock market bloodbath” has continued on Friday with major indices falling down to the lows of the last October. What's going on?
American futures rally as traders cheer Apple’s outcomes
On Wednesday, American stock index futures went up, pointing to a firm start for Wall Street due to the fact that Apple’s stellar outcomes and forecast soothed worries about the decelerating surge in corporate gains.
Stocks of the iPhone maker leapt by 5.8% right after it told that sales in China were stabilizing and also touted how soaring demand for its services as well as accessories helped to compensate a record dive in iPhone profit.
Besides this, the company also uncovered plans for another $75 billion share buyback and had its cash dividend ramped up by 5%.
On Tuesday, the S&P 500 index demonstrated another record maximum as well as its best four-month surge for almost nine years.
Experts are quite optimistic on first-quarter earnings surge and expect a 0.7% leap in contrast with a 2% dive estimated at the beginning of April.
Aside from a mostly better-than-anticipated earnings season, recent profits in stocks have also been driven by upbeat economic reports, a dovish Fed as well as hints of progress in US-China trade negotiations.
Additionally, the major US bank, which will conclude its two-day gathering later in the day, is generally anticipated to keep borrowing costs intact and stick with a cautious monetary policy stance, notwithstanding Donald Trump's call to decrease interest rates.
ET, Dow e-minis ascended by 0.27%. As for S&P 500 e-minis, it soared by 0.29%, while Nasdaq 100 e-minis rallied by 0.66%.
Among other shares, Advanced Micro Devices Inc headed north by 5.1% because the chipmaker's quarterly gain beat Wall Street estimates as it managed to sell more chips in servers and data centers. Other chip stocks rallied too, with Micron Technology Inc, Qualcomm, and Nvidia Corp soaring 1%-1.6%.
Besides coronavirus, other news has been driving the stocks of Apple, Wallmart and General Motors to the lower levels.
Will coronavirus continue keeping the markets in fear? What releases should we wait for? Find out in the news!
RBA Rate Statement is released on Tuesday at 07:30 MT time.
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Today the US nonfarm payroll data will be reported that could cause fluctuations of the market.