fogn.png
Sunday December 5th, 2021 12:46AM

Stocks move higher ahead of a busy week of company earnings

By The Associated Press
Related Articles
  Contact Editor

Stocks moved higher in afternoon trading Monday, nudging the S&P 500 and Nasdaq indexes within striking distance of all-time highs.

The S&P 500 was up 0.2% as of 3:37 p.m. Eastern time. The benchmark index has posted a weekly gain four out of the past five weeks. The Nasdaq was up 0.8%. The Dow Jones Industrial Average was down 47 points, or 0.1%, to 33,997.

Small company stocks outpaced the broader market in a sign that investors were feeling confident about economic growth. The Russell 2000 rose 1.3%.

Technology stocks, banks and companies that rely on consumer spending helped lift the market, outweighing a pullback in household goods makers, health care and other sectors.

Investors were geared up for the busiest week for earnings so far this season. Of the 500 members of the S&P 500 index, 181 will report this week. Ten of the 30 members of the Dow will also release their results.

The stakes are high for investors. With millions of vaccines going out daily and trillions of dollars worth of government-led economic support being paid out, investors have turned much of their attention to how well the global economy — and corporate profits — will do in the recovery. Corporate profits in the S&P 500 are expected to be up 24% from this time a year ago, according to FactSet.

Earnings growth is being welcomed by investors who have had to justify high stock values as many companies continue to emerge from a pandemic slump.

“From an absolute perspective, everybody’s expensive,” said Sam Stovall, chief investment strategist at CFRA. “Investors are basically saying we can live with that because they believe earnings are going to be even stronger than currently projected.”

About a quarter of S&P 500 companies have reported quarterly results so far this earnings season. Of these, 84% have delivered earnings that topped Wall Street’s estimates, according to FactSet.

Elevator and escalator maker Otis Worldwide rose 6.8% after beating analysts' first-quarter profit forecasts.

Of the companies to report this week, investors will get results from Apple, Microsoft, Boeing, McDonald's and others. Electric car maker Tesla will report its results after Monday's closing bell.

The bond market remained relatively stable. The yield on the 10-year Treasury note rose to 1.57% from 1.56% Friday. Bond yields have remained in this narrow range for the past several days, which is a respite for investors after dealing with higher volatility in the bond market earlier this year.

Investors will be looking to the Federal Reserve as the nation's central bank holds a two-day policy meeting on Tuesday and Wednesday. Investors do not expect interest rates to change for several months, but will be looking for any guidance the Fed has to provide on their thoughts on inflation and the economic recovery.

Meanwhile, the price of Bitcoin rose 8.5% to $53,952. The cryptocurrency had traded for as much as $63,000 as recently as last week.

  • Associated Categories: Associated Press (AP), AP Business, AP Business - Corporate News, AP Business - Economy, AP Business - Financial Markets
© Copyright 2021 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Italy's 'epochal' recovery plan targets women, youth, south
Italian Premier Mario Draghi is presenting a 222.1 billion euro ($268.6 billion) coronavirus recovery plan to Parliament
12:02PM ( 17 minutes ago )
UK firm Super Group entering US sports, online casino market
A British company that owns a sports betting and an online casino company is seeking to enter the fast-growing U.S. market
11:56AM ( 23 minutes ago )
Student's Snapchat profanity leads to high court speech case
Before the Supreme Court this week is an argument over whether public schools can discipline students over something they say off-campus
11:43AM ( 36 minutes ago )
Associated Press (AP)
Even as economy heats up, Fed to stick with near-zero rates
Hiring is accelerating as Americans increasingly venture out to shop, eat at restaurants, and travel, and inflation is even picking up after lying dormant for years
10:53AM ( 1 hour ago )
Germany debates privileges for those who've been vaccinated
Chancellor Angela Merkel and the governors of Germany’s 16 states are discussing whether people who have been fully vaccinated against COVID-19 should be exempt from certain restrictions put in place to curb the spread of the coronavirus
10:36AM ( 1 hour ago )
Apple announces 1st East Coast campus in North Carolina
Apple plans to invest more than $1 billion in North Carolina to build the company’s first East Coast campus
10:14AM ( 2 hours ago )
AP Business
China probes takeout firm Meituan over antitrust concerns
China’s market regulator says it has launched a probe into suspected monopolistic behavior by food delivery firm Meituan
7:52AM ( 4 hours ago )
China probes takeout firm Meituan over antitrust behavior
China’s market regulator says it has launched a probe into suspected monopolistic behavior by food delivery firm Meituan
7:10AM ( 5 hours ago )
Biden's first 100 days: Where he stands on key promises
President Joe Biden is rounding out his first 100 days in office, and focusing on reining in the coronavirus seems to have paid off
6:49AM ( 5 hours ago )
AP Business - Corporate News
Italy's Draghi presenting 'epochal' virus recovery plan
Italian Premier Mario Draghi is presenting a 222.1 billion euro ($268.6 billion) coronavirus recovery plan to Parliament
6:40AM ( 5 hours ago )
Virus wave, lack of parts hold back German business optimism
A closely watched indicator of German business outlooks barely rose in April as the third wave of coronavirus infections held back optimism about the pace of post-pandemic recovery
6:00AM ( 6 hours ago )
World shares mixed as pandemic worries cloud outlook
World shares are mixed as worries over the pandemic cloud the outlook for a recovery from the crisis
5:12AM ( 7 hours ago )
AP Business - Economy
Successful Georgia pottery business celebrates 50 years
GILLSVILLE, Ga. (AP) — Hours before the crack of dawn, Billy Joe Craven turns on his potter’s wheel, transforming blocks of clay into commercial pottery and works of art.Although the found...
12:01AM ( 1 day ago )
Jerusalem tension triggers Gaza-Israel fire exchange
Palestinian militants in the Gaza Strip have fired some three dozen rockets into Israel while the Israeli military struck back at targets operated by the ruling Hamas group
6:45PM ( 1 day ago )
Bitcoin millionaire puts money on Greens in German election
A German software developer who made a fortune from bitcoin has given the environmentalist Green Party one of the biggest political donations in the country’s history
11:45AM ( 2 days ago )
AP Business - Financial Markets
Italy's 'epochal' recovery plan targets women, youth, south
Italian Premier Mario Draghi is presenting a 222.1 billion euro ($268.6 billion) coronavirus recovery plan to Parliament
12:02PM ( 17 minutes ago )
UK firm Super Group entering US sports, online casino market
A British company that owns a sports betting and an online casino company is seeking to enter the fast-growing U.S. market
11:56AM ( 24 minutes ago )
Student's Snapchat profanity leads to high court speech case
Before the Supreme Court this week is an argument over whether public schools can discipline students over something they say off-campus
11:43AM ( 36 minutes ago )
Ukraine opens new nuclear waste site at Chernobyl
Ukraine’s president has unveiled a new nuclear waste repository at Chernobyl, the site of the world’s worst nuclear disaster that unfolded exactly 35 years ago
11:35AM ( 44 minutes ago )
Among the Oscar winners: 2 foundations that serve the needy
Two foundations that serve the needy achieved the kind of spotlight at the Academy Awards telecast that any nonprofit yearns for: A shout-out from a famous celebrity to the 10 million or more people estimated to be watching from home
11:29AM ( 51 minutes ago )