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Home » Wall Street bullish on the rebound in tech and inflation

Wall Street bullish on the rebound in tech and inflation

Progress for the main American indicators at the opening of what will be a session with consolidated monthly, quarterly and half-year earnings if everything continues with the good trend that the indicators have shown at these first moments of the listing, for also the last trading session of the week.

The DOW JONES Ind Average is up 0.50% to 34,293, the Nasdaq OMX is up 0.92% to 13,721, while the S&P 500 is up 0.77% in those early opening moves on Friday to stand at 4,429 . This will be to follow this baggage a consolidated monthly, quarterly and semester results meeting, everything to continue with the good trend that the indicators showed in these first moments of the listing, also for the last trading session of the week.

As for the stocks that Apple closely monitors, if they continue to climb on the day, they could gain 1.11%to historic levels of breaking the 3 trillion market cap mark, as the company has returned nearly 46% so far this year. With Citigroup’s positive recommendation on the shares of the Cupertino-based company. His new price target for Apple shares, With a Buy rating on the security, you’ll reach $240 per share. And the price marks an all-time high.

The company says Apple shares have upside potential of 30% from current price levels because it thinks so, according to its analyst Atif Malik Wall Street underestimates the potential for expansion continues in the company’s gross margin, led by high-end iPhonesaccompanied by higher sales in China and Asia, where the company is gaining market share.

This has nothing to do with UBS’s perspective on Apple, which is keeping the value bet neutral and setting the target price at $190 per share, as it understands that IiPhone sales fell 2% year-on-year in May for the eighth straight month.

Also with Nike -B- que achieves a return of more than 2% after publication of its results that the market didn’t like at all. As lower margins mean first profit decline in three years, for the fourth fiscal quarter with earnings per share of 66 centsbelow what was expected of Wall Street and turnover of 12.830 million dollars, with an increase of 5% compared to the previous year, which was above the forecasts of the American market.

However, Jefferies remains unchanged his share price target is $160 with a buy rating, because he is convinced that Nike’s operations in the US are stable and that the sports company’s business in China is recovering strongly. Additionally, the company is notable for encouraging gross margins and improving inventories.

Another protagonist of Friday’s session is Carnival, the cruise line, as Jefferies has also upgraded its buy rating. The shares, which are also listed in London in addition to being listed on Wall Street and have had the best stock market performance so far this year, are seen by the New York company with a positive mood the changes CEO Josh Weinstein made in his first year at the helm of the company and improving its debt.

In this session, we will pay close attention to the macroeconomic data. we knew the price data for personal expenses and incomeLet’s remember the one that Jerome Powell likes to measure most, to measure how inflation is developing in the United States, in which it includes the price deflator, its excellent basis for raising interest rates in the United States.

The numbers show that the price deflator of personal income and expenses increases by only 0.1% per month, as expected by the market compared to 0.4% in April, while the inter-annual interest rate is set and meets expectations at 3.8% compared to 4.4% in April. And the underlying data suggests so Prices only rose by three tenths in May.

But we’ll also know the Chicago Business Barometer, an early reading for the month of June and later this afternoon the final data on consumer confidence, also of this month, which ends today.

All this with Wall Street believing that interest rates can continue to rise, more than punctual in July, according to Powell’s statements this week in Europe, first in Sintra and then in Madrid, in recent days. While we’ll have to wait until next week for the latest June report on US jobs, it’s important to see if inflation continues to weigh on Main Street.

A market that ends a very positive month with this last session. Specifically for andThe S&P 500 represents a path that could culminate in its second-best rise yet this year. up more than 5% after January, while the Nasdaq could close out its fourth straight month this June also up 5%. In the case of the Dow Jones, we’re talking about a 3.7% gain to close today, with the best month since last November.

Already for the second quarter of the year. The Nasdaq’s rise would exceed 11.2%, while the S&P would gain 7%which, if reflected, would consolidate the third straight quarter of gains for the indicator as well as a Dow Jones that could climb over 2.5%.

So far this year, the Nasdaq could end up 30%, which would be its best first half in 40 years, no less than since 1983. The Dow Jones would be up almost 3% The S&P would post a double-digit gain of 14.5%, the best performance in the market since the first half of 2018.

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