Mixed Market Briefly Celebrates No Rate Change | Wall Street Today
The market rebounded into the green but fell back to the mixed bag it had traded at all day following the FOMC's no-change rate decision and Federal Reserve President Jerome Powell's Press conference.
The $S&P 500 Index(.SPX.US$ traded -0.34% after just after close, while the $Dow Jones Industrial Average(.DJI.US$ climbed +0.23% and the $Nasdaq Composite Index(.IXIC.US$ gained -0.33%.
MACRO
Wednesday, the Federal Open Market Committee left the target Federal Funds Rate unchanged at 5.25%-5.50%. In a statement released just at 2 PM, the committee said inflation has eased, but it can only expect to reduce the target range when they have more confidence inflation has lowered for good.
Federal Reserve Chairman Jerome Powell said it's unlikely that policymakers will increase interest rates, even though he acknowledged that bringing inflation down to their 2% target remains uncertain.
"I think it's unlikely that the next policy rate move will be a hike," Powell said in the press conference following the announcement. "We need persuasive evidence that our policy stance is not sufficiently restrictive to bring inflation down to 2%. That's not what I think we're seeing, as we mentioned."
Meanwhile, the $U.S. 10-Year Treasury Notes Yield(US10Y.BD$ sold lower at 4.63% shortly after 4PM EST, while the $U.S. 2-Year Treasury Notes Yield(US2Y.BD$ shed fell to 4.96.
SECTORS
As tracked by moomoo, the Weed Stocks exploded overnight after the DEA said it was planning to reschedule cannabis. The report found the U.S. Drug Enforcement Administration had submitted a proposal to the White House to recognize the medical uses of the drug. The move would not outright legalize cannabis and still needs a sign-off before the DEA can submit the reclassification to public comment.
$Canopy Growth (CGC.US)$: Shares of Canopy Growth and$Tilray Brands (TLRY.US)$ fell 26% and 18% Wednesday in a pullback to about half of their historic gains Tuesday.
Semiconductors also fell 2.42%, following $Advanced Micro Devices (AMD.US)$-7% and SMCI lower.
Internet Content companies were pulled 2.4% higher by a 20% jump in $Pinterest(PINS.US$ on earnings.
Gold and silver futures were climbing, while Oil futures fell. Bitcoin continued to collapse multiple times, below $60k.
MOOVERS
Recent earnings pulled down the S&P500. Shares of $CVS Health (CVS.US)$ tumbled 15% Wednesday after the pharmacy and healthcare services company missed first-quarter earnings expectations amid health services and Medicare business challenges.
$Super Micro Computer (SMCI.US)$ fell 15% after the server manufacturer reported sales more than tripled in the first quarter, but fell short of expectations.
$Starbucks (SBUX.US)$ rounded out the trio, down 16 after missing profits, and visits slowed down.
Meanwhile,$3M (MMM.US)$,$Johnson & Johnson (JNJ.US)$, and $Amazon (AMZN.US)$ held up the Dow after 3M and Amazon reported positive earnings news Tuesday, and JNJ said it was reaching a talcum powder cancer settlement agreement.
$New York Community Bancorp(NYCB.US$ shares jumped after new management outlined strategic plans after months of turmoil. While this year will be a transitional year, new CEO Joseph Otting said in a statement, we have a clear path to profitability over the following two years.
$MasterCard(MA.US$first-quarter earnings and revenue exceeded Wall Street's estimates as consumer spending remained strong, though growth in the value of transactions processed on the payments firm's platform slowed year over year.
$Pfizer(PFE.US$ fell after the firm reported first-quarter adjusted EPS of $0.82, down 33% year over year, beating the consensus of $0.54.
$Qualcomm(QCOM.US$ reported quarterly earnings of $2.44 per share, beating the analyst consensus estimate of $2.32 by 5.17 percent, the stock climbed about 3% right after reporting.
WORD FROM THE HEARD: Mooers, what are you watching?
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Disclaimer: This presentation is for informational and educational use only and is not a recommendation or endorsement of any particular investment or investment strategy. Indexes are unmanaged and cannot be directly invested in. Past performance is no indication of future results. Investing involves risk and the potential to lose principal. Investment information provided in this content is general in nature, strictly for illustrative purposes, and may not be appropriate for all investors. It is provided without respect to individual investors’ financial sophistication, financial situation, investment objectives, investing time horizon, or risk tolerance. You should consider the appropriateness of this information regarding your relevant personal circumstances before making any investment decisions. Past investment performance does not indicate or guarantee future success. Returns will vary, and all investments carry risks, including loss of principal. Moomoo makes no representation or warranty regarding its adequacy, completeness, accuracy, or timeliness for any purpose of the above content. See thislinkfor more information.
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73150736 : It should be out of place tomorrow, 640, wait
joshua_chuah316 : The real moves will come after the market digests the Fed statement later.
T-Pass : bought more nvda today on the dip
151698386 73150736: You're all in