Opening Comment — February 23, 2018
S&P 500: 2,703.96
Nasdaq Composite: 7,210.09
Here’s your Wells Fargo Advisors opening update for 8:37 am Eastern Time, Friday, February 23, 2018.
Stock index futures are indicating a higher open Friday. The Dow is up 0.5% in the pre-market. The S&P 500 is gaining 0.4% and the Nasdaq 100 is trading 0.6% above fair value on GLOBEX.
U.S. equities are poised to end the week on a positive note attributed to easing concerns surrounding interest rates. With no scheduled data releases, investor attention will likely be on Fed. New York President William Dudley and Boston President Eric Rosengren will join a panel discussion on the central bank’s balance sheet. The Fed San Francisco President John Williams will provide his outlook on the economy and interest rates this afternoon. The Fed is also slated to publish its semi-annual report on monetary policy to Congress at 11 a.m. ET.
Shares of Hewlett-Packard Enterprises are jumping 12.8% to $18.51 after posting earnings and revenues above consensus estimates. HP Inc. is climbing 5.9% to $22.65 as its profits topped projections. Financial software maker Intuit is falling 3.8% to $165.50 following its disappointing current quarter guidance. FedEx is gaining 1.4% to $248.87 after an analyst upgraded the stock this morning.
European markets are little changed at midsession. The FTSE is down 0.2% in London while the DAX increases 0.2% in Frankfurt. Overnight in Asia, the Nikkei rose 0.7% in Tokyo. China’s Shanghai Composite added 0.6% on the session.
Treasury yields are lower with the benchmark 10-year note down three basis points to 2.89%. In commodities, NYMEX WTI crude is down 0.1% to $62.75/barrel. COMEX gold is up less than 0.1% at $1330.90/ounce.
Midday Comment — February 23, 2018
DJIA: 25,150.72, up 188.24
S&P 500: 2,729.73, up 25.77
Nasdaq Composite: 7,277.34, up 67.25
Here’s your Wells Fargo Advisors midsession update for 12:13 pm Eastern Time, Friday, February 23, 2018.
Stocks are higher at midsession Friday. The Dow is climbing 188 points to 25150. The S&P 500 is adding 26 points to 2729 and the Nasdaq Composite is up 67 points to 7277.
U.S. equities are poised to end the week on a positive note as investors digest commentary by the Fed. In its semi-annual report on monetary policy to Congress, the central bank suggested there’s no change in expectations for a rate hike at its upcoming March FOMC meeting. Later today, San Francisco Fed President John Williams will offer his outlook on the economy and interest rates in Los Angeles.
Energy and Technology are pacing the market’s gains. ConocoPhillips is adding 3.0% to $56.54 as oil prices advance. Shares of Hewlett-Packard Enterprises are jumping 9.7% to $18.00 and HP Inc. is climbing 5.8% to $22.64 as both companies reported earnings above consensus estimates. Intuit is a notable decliner in Tech, falling 0.9% to $170.62 after the financial software firm provided disappointing current quarter guidance. In M&A news, General Mills is retreating 3.0% to $53.29 after saying it will purchase pet food company Blue Buffalo for $8 billion in cash.
Breadth is positive on issues by 17:5 on the NYSE and 11:6 on the Nasdaq. Composite NYSE volume is more than 1.2 billion shares.
Treasuries are strengthening with the yield on the 10-year note falling five basis points to 2.87%. In commodities, NYMEX WTI crude is rising 1.4% to $63.62/barrel. COMEX gold is off 0.2% to $1328.50/ounce amid stronger dollar.
Closing Comment — February 23, 2018
DJIA: 25,309.99, up 347.51
S&P 500: 2,747.33, up 43.37
Nasdaq Composite: 7,337.39, up 127.31
Here’s your Wells Fargo Advisors closing update for 4:13 pm Eastern Time, Friday, February 23, 2018.
Stocks finished firmly higher on Friday. The Dow rallied 348 points to 25309. The S&P 500 increased 43 points to 2747 and the Nasdaq Composite climbed 127 points to close at 7337.
The major averages ended the week on a positive note attributed to easing concerns surrounding interest rates. With no data releases today, investors focused on commentary from the Fed. In a semi-annual report to Congress, the central bank suggested there’s no change in expectations for a rate increase at the March FOMC meeting. Next week, Chair Jerome Powell is scheduled to testify before lawmakers providing an update on the economy and monetary policy.
All 11 S&P 500 sectors were up on the session led by Utilities, Energy and Technology. Dominion added 2.7% to $75.53. ConocoPhillips gained 3.7% to $56.95 in sympathy with higher oil prices. Shares of Hewlett-Packard Enterprises rallied 10.3% to $18.10 and HP Inc. increased 3.4% to $22.12 following their better-than-expected earnings results. General Mills was the notable decliner in the S&P 500, down 3.6% to $52.97 after announcing it would buy pet food maker Blue Buffalo for $8 billion.
Breadth on issues was 9:2 positive on the NYSE; 20:7 on the Nasdaq. Composite NYSE volume totaled 3.2 billion shares.
Treasury yields declined with the benchmark 10-year note down five basis points to 2.87%. In commodities, NYMEX WTI crude added 1.2% to $63.53/barrel. COMEX gold was 0.2% lower at $1328.30/ounce.
For the holiday shortened week, the Dow was up 0.4% the S&P 500 gained 0.6% and the Nasdaq Composite advanced 1.4%.
Wells Fargo Investment Institute, Inc., is a registered investment adviser and wholly owned subsidiary of Wells Fargo Bank, N.A., a bank affiliate of Wells Fargo & Company.