Market Falls Thursday, Powell Said Fed Will Take Things Slow | Wall Street Today
The market fell all day, and Fed comments did not help. $S&P 500 Index (.SPX.US)$ trading down 60 bps, the $Dow Jones Industrial Average (.DJI.US)$ fell falling 0.47% and the $Nasdaq Composite Index (.IXIC.US)$ falling 0.64%.
MACRO
Federal Reserve Chair Powell said Thursday that Inflation was on track toward 2% and that the Fed was in no rush to cut rates quickly given the economy's strength.
Speaking to business leaders in Dallas on Thursday, Powell said he expects the PCE index to grow by 2.3% year over year in October, up from 2.1% in September, while core PCE Index numbers - excluding food and energy, climbed 2.8%. He said that even so, these numbers are fluctuating downward, and the labor market is solid.
Powell answered questions from the crowed and a moderator afterward; many were focused on the President-Elect. Powell said it was too early to tell how President-elect Donald Trump will affect monetary policy.
Thursday, the Produce Price Index came in a little higher, meaning the price of goods sold by manufacturers grew more than expected.
SECTORS
Within industries tracked by moomoo, semiconductor equipment climbed, chasing ASML. Department stores grew on an earnings report surprise from $Dillard's (DDS.US)$. Entertainment followed Disney higher.
$Bitcoin (BTC.CC)$ fel slightly at 87k. Gold fell, silver climbed. The $U.S. 2-Year Treasury Notes Yield (US2Y.BD)$ climbed and the $U.S. 10-Year Treasury Notes Yield (US10Y.BD)$ fell.
MOOVERS
$Disney (DIS.US)$ was the highest gainer on the Dow, climbing 9% intraday at one point after reporting its streaming business swung to a strong profit in its fiscal fourth quarter. The firm posted adjusted earnings of $1.14 on revenue of $22.6 billion, which is above estimates.
Disney joined $Tapestry (TPR.US)$ at the top of the S&P 500 gainers Thursday. Tapestry climbed 12% after the Couch luxury brand parent called off a merger bid with Versace owner Capri, valued at $8.5B after a block from the FTC last month, according to Barron's.
$ASML Holding (ASML.US)$ climbed 5% at its highest Thursday after the chip lithography machine company reiterated its 2030 goal annual revenue of between $46B and $63B. The firm saw its stock price fall after last month, reporting much lower booking orders than expected for its third quarter: EUR2.63B compared to forecasts of EUR5.59B.
$Super Micro Computer (SMCI.US)$ attracted heavier options volume as the stock price slumped to the lowest since May 2023 after the developer of server solutions said it was unable to file its financial report for the quarter that ended Sept. 30. That compounded concerns that the company could be delisted. The stock fell 11% Thursday.
$Applied Materials (AMAT.US)$ adjusted EPS came in at $2.32 vs $2.19 expected, $7.05B vs $6.97B expected by analysts, according to Bloomberg. For FY 25 the firm expects revenue of $6.75B-$7.55B and and adjusted EPS in the range of $2.11-$2.47. The stock fell 3% after hours.
$Rivian Automotive (RIVN.US)$ shares dropped 12%, their worst day in months, alongside $Lucid Group (LCID.US)$ shares after Reuters on Thursday reported that Trump's transition team was planning to end the $7,500 EV tax credit. $Tesla (TSLA.US)$ also fell 5% but to a lesser degree, as Tesla is seen as less dependent on the $7,500 tax credits than competitors.
Word from the herd: Mooers, what are you watching?
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Kevin Travers
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Moo moo News and Community Manager, NJ Office.
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Stock_Drift :
Rose hill : with magalita in charge of America on January 20th stock market is going to crash and he will blame it on his predecessor so be prepared get your stuff hang on to it but I'm telling you the stock market is going to crash it's inevitable he will cause this to happen
Rose hill : the writing is on the wall and it's being done with a sharpie because we know who likes to use Sharpies your Maga leader will be responsible for the stock market crash Maybe not today or tomorrow but look down the road when he takes the office of the presidency of the United States he is going to ruin America is what it is
GingleCash Rose hill : Facts for the rant?
104247826 :![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
72655969 GingleCash : lolol he just on here talking
章允量 :![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
Master K Rose hill : You may not like him, but even after today's "fall", the market is still way up since he won the election. He's a businessman first, he will know his way around this
Deneven Rex Master K : While I don't agree with this political view of that guy, the market is gonna crash hard consequences of the massive printing that happens in the last 5 years. They are ways to prevent it, but it will hurt us, the consumers.
XIN YINGg : Nicr
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