3M And Raytheon’s Earnings Props Up The Industrial Sector

0
3M And Raytheon’s Earnings Props Up The Industrial Sector
Buffik / Pixabay

Commenting on 3M and Raytheon’s earnings report and today’s trading so far, Gorilla Trades strategist Ken Berman said:

Play Quizzes 4

Get The Full Ray Dalio Series in PDF

Get the entire 10-part series on Ray Dalio in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues

Q4 2020 hedge fund letters, conferences and more

3M And Raytheon's Earnings Boost The Struggling Industrial Sector

The major indices are mixed and flat at midday despite a bullish start to the session on Wall Street. Stocks turned choppy ahead of tomorrow’s Fed announcements and a slew of crucial tech earnings, with investors digesting the rumors suggesting that a smaller, more targeted stimulus package could be in the works. Johnson & Johnson's (JNJ, +2.9%) upbeat earnings report and promising coronavirus vaccine-related comments gave an early boost to equities, and 3M (MMM, +2.6%) and Raytheon (RTX, +3.2%) also reported bullish number, propping up the struggling industrial sector, but the large-cap benchmarks have been drifting lower in the first hours of trading.

How A Weakening PE Market Serves As Another Sign Of A Weakening Economy

InvestAmid the turmoil in the public markets and the staggering macroeconomic environment, it should come as no surprise that the private markets are also struggling. In fact, there are some important links between private equity and the current economic environment. A closer look at PE reveals that the industry often serves as a leading indicator Read More

In economic news, the CB consumer confidence number was slightly better-than-expected, with a reading of 89.3, despite the fact that last month’s reading was revised downwards. The Case-Shiller Housing Price Index also provided a bullish surprise, and even though the Richmond Manufacturing Index missed expectations, it remained firmly in positive territory. Microsoft (MSFT, +1.3%) is scheduled to report earnings just after the closing bell, so we could be in for another active after-hours session, with the stock already hitting a new all-time high in early trading.

Market Wrap

Dow: 30,976, + 16 or 0.1%

S&P 500: 3,854 - 1 or 0.03%

Nasdaq: 13,651, + 15 or 0.1%

Russell 2000: 2,156, - 7 or 0.3%

Market breadth has been relatively weak this morning, with decliners outnumbering advancing issues by a 5-to-4 ratio on the NYSE at midday. Only 1 stock hit a new 52-week low on the NYSE and the Nasdaq, while 168 stocks hit new 52-week highs. The major indices have been trading below their daily VWAPs (Volume-Weighted Average Price) for most of the morning session, pointing to intraday selling pressure. Even though Big Tech firms have once again been performing better than the broader market, the main sectors have been performing similarly in the quiet environment, especially compared to the significant divergences of the past week, with only utilities losing considerable ground in early trading. Stay tuned!

Updated on

Gorilla Trades is the complete solution for today's modern investor, and has been a trusted resource for thousands of investors, stockbrokers and fund managers for over 20 years. Whether you're interested in learning how to trade stocks, just starting to build your portfolio, or you're an experienced investor looking for powerful stock picks; take your portfolio to new heights with Gorilla Trades!
Previous article The January Effect
Next article Damned If They Do And Damned If They Don’t

No posts to display