mcloudyn.png
Wednesday March 3rd, 2021 6:45AM

Stocks open tentatively higher as earnings news pours in

By The Associated Press
Related Articles
  Contact Editor

NEW YORK (AP) — Stocks are opening tentatively higher on Wall Street ahead of a busy day of potentially market-moving news. The S&P 500 was up 0.4%. Technology stocks were among the biggest winners in the early going on Wednesday, and chip maker AMD jumped 12% after reporting results that easily bested analysts’ forecasts. Starbucks also rose sharply after the company said it’s recovering faster than expected as its stores reopen. Later in the day the CEOs of Apple, Amazon, Facebook and Google’s parent company face questions from Congress in virtual testimony, and the Federal Reserve releases its latest update on interest rate policy and the economy.

THIS IS A BREAKING NEWS UPDATE. AP’s earlier story appears below.

World markets traded in narrow ranges on Wednesday as investors looked to the U.S. Federal Reserve for clues about the economic outlook at a time of pessimism over the fallout from the coronavirus pandemic.

The Fed is largely expected to keep short-term rates at their record, near-zero low, but they’re also looking to hear what it says about how long they may stay there. The central bank helped launch the stock market’s recovery in late March by slashing interest rates and promising to buy Treasurys, corporate bonds and other debt, pumping cash into the economy.

On Tuesday, the Fed said it will extend the lives of seven of the lending programs by three months through the end of the year in an acknowledgment of the severity of the recession.

Dow futures were up 0.1% and those for the S&P 500 gained 0.2% soon before the start of trading on Wall Street.

In Europe, Germany's DAX was flat at 12,835 while in France, the CAC 40 rose 0.9% to 4,971. Britain's FTSE 100 added 0.2% to 6,143.

Overall, the pandemic is the primary concern for markets, as secondary outbreaks raise the likelihood of further lockdowns to curb a resurgence in countries that had thought to have the virus under control, said Jeffrey Halley of Oanda.

“An escalation followed by the renewal of severe movement restrictions could see the much-feared secondary wave double-dip recession occur. That has not been priced into markets remotely ... But as yet, we are not at the double-dip stage,” Halley said in a commentary.

Tokyo's Nikkei 225 index lost 1.2% to 22,397.11 after Fitch Ratings lowered its outlook for Japan to “negative” from “stable,” meaning it is at greater risk of seeing its rating downgraded.

“The coronavirus pandemic has caused a sharp economic contraction in Japan, despite the country’s early success in containing the virus,” Fitch said in announcing its decision.

Elsewhere in Asia, South Korea's Kospi added 0.3% to 2,263.16. Australia's S&P/ASX 200 slipped 0.2% to 6,006.40. Hong Kong's Hang Seng climbed 0.5% to 24,883.14, while the Shanghai Composite index jumped 2.1% to 3,294.55 as buying kicked in after recent losses. India's Sensex dropped 1.3% and also fell in Taiwan.

The price of gold rose $7.60 to $1,952.20 per ounce.

In corporate news, this week marks the heart of earnings reporting season for the S&P 500, and several big companies gave results that fell short of analysts’ already lowered expectations as the pandemic stole customers away and increased some costs.

Rising coronavirus counts in many U.S. states are bringing a new wave of shutdowns and investors are hopeful that Democrats and Republicans can reach a deal on more aid for the 16 million or so Americans who are getting unemployment benefits, even though the two sides still seem to be far apart.

Benchmark U.S. crude oil added 43 cents to $41.47 a barrel in electronic trading on the New York Mercantile Exchange. It lost 56 cents to $41.04 per barrel on Tuesday. Brent crude, the international standard, gained 51 cents to $44.12 per barrel.

The dollar slipped to 104.97 Japanese yen from 105.07 yen on Tuesday. The euro strengthened to $1.1736 from $1.1718.

  • Associated Categories: Associated Press (AP), AP Business, AP Business - Economy, AP Business - Financial Markets, AP Business - Industries, AP Business - Financial Services
© Copyright 2021 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Throwback 5-game series force players to 'embrace the grind'
The NHL hasn't had best-of-five playoff series since 1986
10:35AM ( 25 minutes ago )
Turkey: Social media law's passage raises censorship worries
Turkey’s parliament has approved a law that gives authorities greater power to regulate social media despite concerns of growing censorship in a country where critical voices are already muted
10:31AM ( 29 minutes ago )
US officials: Russia behind spread of virus disinformation
U.S. officials say Russian intelligence officers are spreading disinformation about the coronavirus pandemic through English-language websites
10:28AM ( 31 minutes ago )
Associated Press (AP)
How to take a high-interest loan and skip the debt cycle
High-interest payday and online lenders have long been among the few options for Americans with bad credit and lower incomes
9:51AM ( 1 hour ago )
Plant closings send GM to 2Q loss, but signs of improvement
Even though General Motors was able to reopen its U.S. factories for the last half of the second quarter, the company still lost $806 million from April through June
9:46AM ( 1 hour ago )
Stocks open tentatively higher as earnings news pours in
Stocks are opening tentatively higher on Wall Street ahead of a busy day of potentially market-moving news
9:43AM ( 1 hour ago )
AP Business
World markets lack direction as investors await Fed
World shares are mixed as investors look to the U.S. Federal Reserve for clues about the economic outlook
7:36AM ( 3 hours ago )
Hong Kong economy contracts 9% in latest quarter
Hong Kong’s economy shrank by 9% in the latest quarter, hurt by the coronavirus pandemic and facing more damage from the loss of U.S. trade privileges due to a security law imposed by Beijing
6:57AM ( 4 hours ago )
Israeli artist takes aim at Netanyahu with life-size statue
Residents in the Israeli city of Tel Aviv have woken up to a jarring site: a massive installation depicting Prime Minister Benjamin Netanyahu enjoying a lavish meal all by himself at a sprawling 10-meter table in a mock re-enactment of the Last Supper
6:31AM ( 4 hours ago )
AP Business - Economy
Late slump pulls Wall Street lower; gold sets another record
A late slump left stocks broadly lower on Wall Street Tuesday, while cautious investors continued to push money into gold and Treasurys, leaving gold at another record high
5:20PM ( 17 hours ago )
Late slump leaves stocks lower; gold holds at record high
A late slump left stocks broadly lower on Wall Street Tuesday, while cautious investors continued to push money into gold and Treasurys, leaving gold at another record high
4:08PM ( 18 hours ago )
Stocks drift lower on Wall Street as gold hovers near record
Stocks are drifting lower in afternoon trading on Wall Street Tuesday following a mixed set of earnings reports from big U.S. companies
1:53PM ( 21 hours ago )
AP Business - Financial Markets
Can I get a job? Wife tries it all for nursing home reunion
When her husband's Jacksonville nursing home went on lockdown in March, Mary Daniel didn’t think it would last long
7:17AM ( 3 hours ago )
Trump seeks out loyal donors in West Texas fracking fields
President Donald Trump’s visit to a U.S. fracking hub on the West Texas plains comes during the state’s fierce coronavirus outbreak
6:24AM ( 4 hours ago )
The Latest: Bosnian minister dies after testing positive
The minister for veteran affairs in the government of one of Bosnia’s two highly independent regions has died at the age of 53, a week after testing positive for COVID-19
6:18AM ( 4 hours ago )
AP Business - Industries
The Latest: IMF OKs $4.3B emergency loan to South Africa
The International Monetary Fund has approved a $4.3 billion emergency loan to South Africa as it reels under the coronavirus pandemic
4:53AM ( 1 day ago )
Wall Street returns to rallying; gold jumps to record high
Stocks resumed their upward march on Wall Street Monday, while the price of gold rushed to a record high at the start of a week packed with potentially market-moving events
5:05PM ( 1 day ago )
Stocks resume rise, gold rushes to record ahead of busy week
Stocks resumed their upward march on Wall Street Monday, while the price of gold rushed to a record high at the start of a week packed with potentially market-moving events
4:08PM ( 1 day ago )
AP Business - Financial Services
Throwback 5-game series force players to 'embrace the grind'
The NHL hasn't had best-of-five playoff series since 1986
10:35AM ( 26 minutes ago )
Turkey: Social media law's passage raises censorship worries
Turkey’s parliament has approved a law that gives authorities greater power to regulate social media despite concerns of growing censorship in a country where critical voices are already muted
10:31AM ( 30 minutes ago )
US officials: Russia behind spread of virus disinformation
U.S. officials say Russian intelligence officers are spreading disinformation about the coronavirus pandemic through English-language websites
10:28AM ( 33 minutes ago )
Gaps in federal oversight add to virus woes at vets homes
Big gaps in federal oversight of long-term care facilities for aging veterans may have contributed to rampant coronavirus infections and more than 200 deaths at state-run homes
10:18AM ( 43 minutes ago )
US to bring 6,400 troops home from Germany, move 5,600 more
Defense officials say the U.S. will pull roughly 12,000 troops out of Germany, bringing about 6,400 forces home and shifting 5,600 to other countries in Europe, including Italy and Belgium
10:14AM ( 47 minutes ago )