Stock Market Today Mid-Morning Updates
On Wednesday, the Dow Jones Industrial Average is up by over 60 points as investors begin trading in the month of May. Oil prices are yet again in focus today after it was reported that some OPEC+ members are considering whether to suspend Russia from the supply deal. Today, the West Texas Intermediate crude is trading at around $116 per barrel, while Brent crude is priced at $117. OPEC and non-OPEC oil producers will have a policy meeting this Thursday.
Shares of HP (NYSE: HPQ) are up today after it posted better-than-expected financials. This comes as demand from corporate customers helped offset consumer purchases. Capri Holdings (NYSE: CPRI) is up by over 3% today after the luxury brands company posted better-than-expected figures. It reported an adjusted earnings per share of $1.02, which is $0.20 above estimates. Social media company Weibo (NASDAQ: WB) also reported a solid quarter as the company calls its ad business relatively resilient as China is still on lockdown in certain cities.
Among the Dow Jones leaders, shares of Apple (NASDAQ: AAPL) are up by 1.73% today while Microsoft (NASDAQ: MSFT) is also up by 1.87%. Meanwhile, Disney (NYSE: DIS) and Nike (NYSE: NKE) are trading higher by 1.14% and 0.43% respectively on Wednesday. Among the Dow financial leaders, Visa (NYSE: V) is up by 0.03% while JPMorgan Chase (NYSE: JPM) is down by 0.51%
Shares of EV leader Tesla (NASDAQ: TSLA) are up by 0.79% on Wednesday. Rival EV companies like Rivian (NASDAQ: RIVN) are also up by 1.40%. Lucid Group (NASDAQ: LCID) is also up by 0.64% today. Chinese EV leaders like Nio (NYSE: NIO) and Xpeng Motors (NYSE: XPEV) are trading higher today.
Dow Jones Today: U.S. Treasury Yields Hovers Around 2.8%; Mortgage Demand Drops To Lowest Since Late 2018
Following the stock market opening on Wednesday, the S&P 500, Dow, and Nasdaq are all trading higher at 0.42%, 0.19%, and 0.97% respectively. Among exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (NASDAQ: QQQ) is up by 1.08% while the SPDR S&P 500 ETF (NYSEARCA: SPY) is also up by 0.31%.
The benchmark 10-year U.S. Treasury yield rose to 2.8% today Federal Chair Jerome Powell has met President Joe Biden to discuss inflation. Biden has said that inflation will be a top economic priority in his administration to get under control. Some analysts say that in order to bring down inflation, the Fed will have to bring down the economy as it continues to raise interest rates.
Mortgage prices also continue to drop according to the Mortgage Bankers Association. This has been at its lowest level since December 2018, even after rates have declined slightly last week. Furthermore, applications for mortgages to purchase a home also fell 1% last week compared to the previous week. Volume also dropped by 14% year-over-year.
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Salesforce Stock Rises After Topping Revenue Estimates And Strong Outlook
In the news today is Salesforce (NYSE: CRM). On the whole, the customer relationship management (CRM) company is gaining thanks to its latest quarterly financial update. Evidently, CRM stock is now up by over 13% at the opening bell today. Going into the details, Salesforce’s quarterly earnings per share for the quarter is $0.98, according to its earnings release. Moreover, the company’s total revenue for the quarter is $7.41 billion. To compare, consensus figures on Wall Street are earnings of $0.94 and $7.38 billion respectively.
Providing some commentary on Salesforce’s latest quarter is Co-CEO Bret Taylor. He notes,“Our financial results once again demonstrate the strength and durability of our business model as we continue to see strong demand from customers across the entire Customer 360 portfolio.” Taylor goes on to say that this indicates Salesforce’s relevance amidst the current uncertain economic times. Adding on to that is Co-CEO Marc Benioff. Namely, in the press release, Benioff focuses on highlighting Salesforce’s current remaining performance obligation (RPO). In essence, RPO is an operational measure of the company’s future revenue under contract. With an RPO of $42 billion, Salesforce appears to have plenty of work ahead of itself.
Overall, regarding the company’s current trajectory, Benioff appears to be positive. He posits, “While delivering incredible growth at scale, we’re committed to consistent margin expansion and cash flow growth as part of our long-term plan to drive both top and bottom-line performance.” According to the financial report, the firm’s latest earnings per share guidance range is between $4.74 to $4.76. This is up from its previous earnings per share outlook of $4.62 and $4.64. Because of this, CRM stock could be worth checking out in the stock market now.
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Victoria’s Secret In Focus Thanks To Latest Quarterly Profit Beat; Foresees Further Retail Industry Headwinds.
At the same time, Victoria’s Secret (NYSE: VSCO) is also making the rounds in the stock market today. Overall, the lingerie, clothing, and beauty retailer posted commendable results in its fiscal first-quarter update. According to the report, Victoria’s Secrets’ quarterly earnings per share is $1.11. Additionally, the company’s total revenue for the quarter is $1.48 billion. For reference, consensus figures on Wall Street are earnings per share of $0.84 on revenue of $1.48 billion. As a result of the sizable earnings beat, VSCO stock is now gaining by over 8% now. With pandemic-era restrictions loosening, Victoria’s Secret seems to be back in vogue.
Weighing in on the company’s performance for the quarter is CEO Martin Waters. He explains,“Powered by our brand revolution, we have strengthened our emotional connection with our customer and further enhanced our leadership in bras through innovative product launches, while diligently focusing on the efficiency of our retail operations.” It would also be worth considering that Victoria’s Secret was dealing with macroeconomic headwinds throughout the quarter as well.
Despite its overall momentum, the company does note that it anticipates persisting uncertainty in the retail scene. To account for this, Victoria’s Secret is hard at work on new business initiatives and “disciplined financial management.” Both of which the firm hopes will aid in mitigating inflationary headwinds down the line. With all this in mind, it is no wonder that investors are eyeing VSCO stock now.