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Stock Market News

Daily Stock Market News & Commentary

Our team of analysts keeps you abreast of the latest stock market data, news, market activity, and economic reports in our daily stock market commentary (updated three times daily).

  • Opening
  • Midday
  • Closing
OPENING COMMENT
February 5, 2016

DJIA: 16,416.58
S&P 500: 1,915.45
Nasdaq Composite: 4,509.56

Stock index futures are predicting a slightly lower start on Thursday. The S&P 500, Dow and NASDAQ 100 are trading around 0.1% below fair value on GLOBEX.

The major averages are poised to open little changed after the first-Friday labor report. The U.S. added 151,000 jobs in January while analysts were expecting an increase of 190,000. The robust 292,000 gain in December was revised down to 262,000. Despite the lower gain, the unemployment rate ticked down to 4.9% from 5%. The labor force participation rate climbed to 62.7% from 62.6% last month.

Stocks in Europe are higher at mid-session. The Euro Stoxx 600 is adding 0.2% with automakers leading the gains. Germany’s DAX is lagging the index, falling 0.4% after a report showed factory orders declined more than expected. In Asia, Japan’s Nikkei slipped 1.3% on a stronger yen while China’s Shanghai composite fell 0.6% ahead of the week-long New Year’s holiday.

In earnings, LinkedIn shares are plunging 31.6% to $130.76 after the company gave a weaker-than-expected forecast due to slower ad revenue growth. Tyson Foods is climbing 5.3% to $54.70 after easily exceeding Wall Street profit projections and raising forward guidance. Estee Lauder is off 0.2% to $86.89 after beating profit forecasts but lowering guidance.

Treasuries are mixed after the jobs report with the benchmark 10-year note up 2/32 to yield 1.83%. In commodities, NYMEX WTI is climbing 0.9% to $31.99/barrel. COMEX gold is adding 0.3% to $1160.70/ounce. In FOREX, the dollar is slightly higher to temper its worst week since 2009.

MIDDAY COMMENT
February 5, 2016

DJIA: 16,257.71, down 158.87
S&P 500: 1,889.16, down 26.29
Nasdaq Composite: 4,402.9, down 106.66

Stocks are retreating at mid-session. The Dow is off 158 points to 16257. The S&P 500 is losing 26 points to 1889. The NASDAQ is down 106 points at 4402.

The major averages and Treasury bonds are firmly lower after the first-Friday labor report. The U.S. added 151,000 jobs in January versus analyst expectations of a 190,000 increase. The robust 292,000 gain in December was revised down to 262,000. Despite the lower gain, the unemployment rate ticked down to 4.9% from 5%. The labor force participation rate climbed to 62.7% from 62.6% last month.

Eight out of ten sectors in the S&P 500 are trading lower near halftime. Consumer discretionary and Technology shares are leading the losses while Telecom stocks are outperforming. Breadth is negative by 8-3 on the NYSE and by 7-2 on the Nasdaq. Composite NYSE volume is 2 billion shares.

In earnings, LinkedIn shares are plunging 40.6% to $114.14 after the company gave a weaker-than-expected forecast due to slower growth in ad revenue. Tyson Foods is jumping 9.8% to $57.03 after easily exceeding Wall Street profit projections and raising forward guidance. Hartford Financial Group is adding 3% to $41.00 as the company’s core earnings beat consensus estimates by 9%.

Treasuries are moving lower with the benchmark 10-year note down 8/32 to yield 1.87%. In commodities, NYMEX WTI has given back early gains and is losing 0.7% to $31.52/barrel. COMEX gold is off 0.1% to $1156.60/ounce. In FOREX, the dollar is advancing to pare some of its sharp weekly decline.

CLOSING COMMENT
February 5, 2016

DJIA: 16,204.83, down 211.75
S&P 500: 1,880.02, down 35.43
Nasdaq Composite: 4,363.15, down 146.41

Stocks retreated on Friday. The Dow was off 211 points to 16204. The S&P 500 lost 35 points to 1880. The NASDAQ was down 146 points at 4363.

The major averages and crude prices were firmly lower after the first-Friday labor report. The U.S. added 151,000 jobs in January versus analyst expectations of a 190,000 increase. The robust 292,000 gain in December was revised down to 262,000. Despite the lower gain, the unemployment rate ticked down to 4.9% from 5%. The labor force participation rate climbed to 62.7% from 62.6% last month.

Eight out of ten sectors in the S&P 500 finished lower on the session. Consumer discretionary and Technology shares led the losses while Telecom stocks outperformed. Breadth was negative by 3-1 on the NYSE and by 9-2 on the Nasdaq. Composite NYSE volume was 4.9 billion shares.

In earnings, LinkedIn plunged 43.6% to $108.38 after the company gave a weaker than expected forecast due to slower growth in ad revenue. Tyson Foods jumped 9.9% to $57.10 after easily exceeding Wall Street profit projections and raising forward guidance. Hartford Financial Group added 1.9% to $40.54 as the company’s core earnings beat consensus estimates by 9%.

Treasuries moved slightly lower with the benchmark 10-year note down 1/32 to yield 1.84%. In commodities, NYMEX WTI lost 2.4% to $30.97/barrel. COMEX gold climbed 1.4% to $1173.70/ounce. In FOREX, the Dollar Index advanced 0.5% its sharpest two-day decline since 2009.

For the week, the Dow fell 1.6%, the S&P 500 lost 3.1%, and the Nasdaq declined 5.4%.

 
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