Beat the street: Powell power; Reddit; FedEx; Nike
Investors eye comments from US Fed Chair Jerome Powell for further cues on the central bank's monetary policy trajectory.
Reddit's shares ease a day after a strong Wall Street debut. FedEx boosts its 2024 profit forecast on expectations cost cuts will offset a fall in demand from UPS. Plus, Nike’s shares are indicated lower after its results.
(AI Video Summary)
Investors eye Powell's comments
Today's edition of "Beat the street" provides news and data for Wall Street investors. Right now, investors are really interested in hearing comments from Jerome Powell, the US Federal Reserve Chair. They believe his words will give them a better idea of where monetary policy is headed.
FedEx
Switching gears, the shipping company FedEx is expecting a decrease in demand from fellow shipping company called UPS. However, they remain positive because they have made cost cuts that they believe will help balance things out. Before the stock market opens, it seems like people are being cautious.
Indicies updates
The Dow Jones had a small drop earlier, and the US Tech 100 and NASDAQ are starting off quietly as well. Despite this, experts predict that Wall Street will finish the week on a high note. Before the stock market opens, it is expected that the Dow Jones will start with a slight decrease. The Federal Reserve has made it clear that they plan to lower interest rates, so some people believe the market will keep rising. However, not everyone feels this way. Some bearish investors think the market may have reached its peak and may start to decline soon.
Nike
Moving on to sports brand Nike, their shares are currently going down because the company warned that their revenue for the first half of fiscal 2025 will not meet expectations. However, they actually did better than expected during the Christmas season. Nike's sales were different in various regions, with North America seeing a 3% increase and China seeing a 5% increase.
Another thing investors are keeping a close eye on is the shares of Reddit. There was recently a big disagreement between Reddit and Wall Street, so people are curious to see what will happen next. Reddit's stock is slowly easing after their initial public offering (IPO). Some people are worried about how profitable they will be in the long run.
Foot Locker
Foot Locker stock might see a boost because Citigroup upgraded their rating to neutral, saying that Nike's plan to focus more on wholesale is good news for Footlocker
Apple
In the technology world, Apple has been in talks with a company called Baidu about using artificial intelligence in their devices.
Oil
Lastly, the price of oil has been fairly steady lately. This is due to OPEC deciding to continue cutting production and the amount of oil in storage being relatively low. Analysts are closely watching to see how oil prices will be supported in the future.
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