To begin their trading day, investors should be aware of the following key news items:
1. And an additional one
On Monday, the Dow Jones Industrial Average and the S&P 500 closed at all-time highs—their sixth record closing of the year. Just last week, the S&P closed at a record high of 4,894.16; it increased 0.76% to 4,927.93. In contrast, the Nasdaq Composite ended the day up 1.12% while the Dow finished the day at 38,333.45. This is the busiest earnings week of the year, with reports from 19% of S&P 500 companies scheduled for release.
2. The revving of engines
In the fourth quarter, General Motors reported adjusted profits per share of $1.24, exceeding analysts’ forecasts of $1.16. This was a top and bottom line beat for the company. The carmaker also disclosed revenue of $42.98 billion, which exceeded the $38.67 billion projection made by analysts. GM expects 2024 to be another successful year despite possible challenges.
3. The line’s conclusion
Another transaction falls through. The firms announced on Monday that there is “no path to regulatory approval for the deal,” leading Amazon to abandon its ambitions to purchase iRobot, the company that makes Roombas. The vacuum manufacturer said that it will fire 31% of its workforce, or roughly 350 individuals, and that CEO Colin Angle would resign with immediate effect.
4. Fresh stock wager
Parent firm of the global sportsbook FanDuel, Flutter, debuted on the New York Stock Exchange on Monday, trading under the ticker code “FLUT.” Flutter offers U.S. investors an additional opportunity to participate in the popular spots betting market. It also serves as a viable substitute for rival DraftKings, which has not produced as much profit as FanDuel.
5. A relieved sigh
New data released by the European Union’s statistics department shows that the euro zone just managed to escape going into recession in the fourth quarter of 2024. A 0.1% decline in GDP during the third quarter has economists surveyed by Reuters predicting a recession. The fourth quarter’s GDP, however, increased by 0.1% over the prior year but remained unchanged from the previous quarter.
Source (CNBC)
