Today's stock market is looking positive as we start the day. The S&P 500 futures are up by seven points (0.1% above fair value), Nasdaq 100 futures have risen by 21 points (also 0.1% above fair value), and the Dow Jones Industrial Average futures are increasing by 69 points (0.2% above fair value).
Investors are eagerly waiting for the March Consumer Price Index report, set to be released at 8:30 AM. In anticipation, we're seeing lower Treasury yields, which is good news for the stock market. Specifically, the 10-year note yield has dropped by three basis points to 4.34%, and the 2-year note yield is down by two basis points to 4.73%.
Some other financial updates include:
- At 10:00 AM, we'll see the February Wholesale Inventories, expected to be up by 0.5%.
- The March Treasury Budget will be out at 2:00 PM, following last month's -$296.3 billion.
Additionally, today will feature a $39 billion 10-year note reopening and the release of the FOMC Minutes from the March 19-20 meeting.
In company news:
- Delta Air Lines (DAL, Financial) is up by 4.1% after beating earnings and revenue expectations and reaffirming its full-year earnings per share guidance.
- WD-40 (WDFC, Financial) also surpassed earnings expectations but fell short on revenue, leading to a 2.6% decrease in its stock price.
- Taiwan Semiconductor Manufacturing (TSM, Financial) shared its March 2024 revenue, causing a 1.1% increase in its stock price.
- Apple (AAPL, Financial) is seeing a 0.4% increase after reports that its iPhone production in India has hit $14 billion.
- Illumina (ILMN, Financial) reiterated its full-year outlook and announced a new CFO, resulting in a slight 0.3% drop in its stock price.
- Procter & Gamble (PG, Financial) raised its quarterly dividend by 7%, leading to a 0.3% increase in its stock price.
- Intl Flavors (IFF, Financial) received an upgrade to Buy from Neutral at Citigroup, boosting its stock by 0.8%.
Looking at overnight developments, Asia-Pacific markets had a mixed day with Japan's Nikkei down by 0.5%, while Hong Kong's Hang Seng climbed by 1.9%. Europe's major indices are all trading in the green, indicating a positive outlook.
Today's News
Tesla (TSLA, Financial) has unveiled ambitious expansion plans aimed at significantly increasing its production capacity. The electric vehicle giant is targeting the construction of new factories and the expansion of existing facilities, underscoring its commitment to dominating the global EV market. This move has sparked interest among investors, keen on understanding how these expansions might boost Tesla's production capabilities and overall market share.
In a strategic shift, Amazon (AMZN, Financial) is reportedly scaling back its physical retail operations, including the closure of several of its bookstores and 4-star stores across the country. This decision reflects the e-commerce behemoth's ongoing evaluation of its brick-and-mortar footprint and a renewed focus on its core online retail and cloud computing segments. The market is closely watching how this pivot might affect Amazon's retail strategy and profitability.
Microsoft (MSFT, Financial) has announced a significant investment in artificial intelligence (AI) and cloud computing technologies, aiming to strengthen its position in these rapidly growing sectors. The tech giant's move is seen as a direct challenge to competitors and underscores its commitment to innovation and maintaining a leading edge in technology advancements. Investors are optimistic about the potential impact of these investments on Microsoft's future growth and market position.
Apple (AAPL, Financial) is set to launch its highly anticipated new product line, which includes updates to its flagship iPhone and iPad devices. The tech community and investors alike are eagerly awaiting the release, anticipating it could spur a new wave of growth for the company. The updates are expected to feature significant technological advancements and could help Apple solidify its dominance in the global smartphone and tablet markets.
Walmart (WMT, Financial) has announced a series of initiatives aimed at enhancing its sustainability practices, including a significant investment in renewable energy and a commitment to achieving zero emissions by 2040. These steps highlight the retail giant's focus on environmental responsibility and sustainable operations, which could appeal to an increasingly eco-conscious consumer base and potentially impact its long-term profitability.
ExxonMobil (XOM, Financial) is facing increased scrutiny from investors and environmental groups over its environmental practices and commitment to transitioning towards renewable energy sources. The oil giant has outlined plans to increase its investments in cleaner energy technologies, but critics argue that these measures are insufficient in addressing the broader impacts of climate change. This ongoing debate could influence ExxonMobil's public perception and market valuation.
Netflix (NFLX, Financial) has seen a surge in subscriber growth, attributed to the release of several highly anticipated original series and films. This growth underscores the streaming service's successful content strategy and its ability to compete in the crowded online entertainment market. Investors are keenly watching Netflix's performance, considering it a barometer for the company's long-term viability and competitive edge.
Boeing (BA, Financial) is navigating through a challenging period, with continued scrutiny over the safety of its aircraft and the impact of global travel disruptions. The aerospace giant is implementing a series of measures aimed at enhancing its safety protocols and regaining public trust. These efforts are critical for Boeing's recovery and its ability to secure future contracts in both commercial and defense aviation markets.
Pfizer (PFE, Financial) has announced promising results from its latest round of clinical trials for a new drug aimed at treating a rare form of cancer. The pharmaceutical company's breakthrough could lead to significant advancements in cancer treatment, offering hope to patients and potentially opening up a new revenue stream for Pfizer. The medical community and investors are closely monitoring the drug's progress towards regulatory approval.
JPMorgan Chase (JPM, Financial) is bolstering its digital banking services in response to the increasing demand for online financial transactions and services. The banking giant's strategic focus on enhancing its digital offerings is aimed at retaining current customers and attracting new ones, reflecting the broader industry trend towards digitalization. This move could significantly impact JPMorgan's competitive positioning and future growth prospects.
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