Bulls make money, bears make money while pigs get slaughtered. That implies, investors wake up with one mission; to make a kill. Despite the volatility of the market, we will still cast money to draw money. Last week’s ups and downs didn’t deter us from venturing in another week with our heads high. Although S&P 500 dropped points due to the disappointment of Meta (FB) earnings, the NASDAQ jumped courtesy of Amazon’s (AMZN) amazing earnings.
Monday morning session was characterized by both positive and negative swings. Nevertheless, by the time the market was closing “stocks erased earlier gains to end lower” as noted by Emily McCormick in her update that was featured at finance.yahoo.com. The tech-dominated Nasdaq Composite dropped 0.58% to 14,015.67 while the S&P 500 fell 0.37% to 4,483.87. However, DJIA added 1.39 points (0.00%) to 35,091.
Stocks of Peloton Interactive, Inc. surged by 21% after information leaked out that Amazon and other companies are salivating for equities of the fitness items manufacturer. Among other interested parties is Nike, Inc. as it has been reported by Financial Times at different scenarios. Amazon, Inc. is looking forward to adding Peloton classes to the Amazon premium subscriptions option. If the deal sails through, it will be a plus for NASDAQ. Moreover, let us wait time will reveal.
However, officials from Peloton Interactive, Inc are yet to confirm or deny the existence of that idea. Although there is one thing that is clear as crystal glass, the demand for Peloton equipment’s have declined compared to the 2020 high demand during the pandemic era. For instance, before the takeover report, according to Friday readings, Peloton shares were below 85% from their annual intraday day.
On the downside, Facebook’s parent Meta Platform didn’t show any sign of making a comeback. After their 26% fall on Thursday that was stirred by a Q4 that failed to meet Wall Street earnings expectations, they still recorded a 5% loss on Monday. The development is assurance that Meta (FB) is saying goodbye to a stock growth phase. Nevertheless, Mark Zuckerberg is a big boy meaning he can rebound anytime. Meanwhile, let us put Meta shares on “hold” instead of “buy mode”.
Stocks were really doing well following the release of the astonishing job report on Friday. Also, another factor that is responsible for the smiles that we registered in NASDAQ and S&P 500, last week, was the quarterly release of tech giants such as Amazon (AMZN). However, this week, we are crossing our fingers waiting for the Labour Department to release the “Consumer Price Index Data” for January. Also, a good number of companies are expected to release their earnings by the course of the week.
Tomorrow, we will have an opportunity to review a report card for Pfizer (PFE)… In regard to that, up to this moment over 56% of S&P 500 companies have shared their quarterly reports. And so far, 76% of those companies that have posted their earnings, have surpassed the Wall Street earning expectations. So, let us keep it here and find out if the other half will disappoint us or we shall grin from ear to ear.
