Here are the top news, trends, and analysis investors need to get their trading day started:
1. Dow wants to ricochet off in six sessions after a winning streak
Traders on the floor of the New York Stock Exchange.
Source: The New York Stock Exchange
The US stock futures rose on Wednesday, with the Dow Jones Industrial Average pointing to a gain of more than 100 points. A late fade Tuesday resulted in the Dow and S&P 500 falling slightly from record highs, breaking six winning streaks. However, the Nasdaq managed to hold on to a modest advance and hit another record.
In terms of the economy, the government reported Wednesday morning that consumer prices rose 0.3% in January, which is in line with estimates. At 2 p.m. CET, Federal Reserve Chairman Jerome Powell will address a webinar for the Economic Club of New York on the state of the American labor market.
Bitcoin rebounded on Wednesday, a day after it hit an all-time high below $ 48,000. Crypto enthusiasts wonder if other companies will follow Elon Musk’s Tesla and invest in Bitcoin.
2. Coca-Cola, GM, reports better than expected in fourth quarter
A delivery truck driver unloads soft drinks from Coca-Cola Co. on Monday, February 10, 2020 in Lawrenceburg, Kentucky, United States.
Luke Sharrett | Bloomberg | Getty Images
Coca-Cola said Wednesday that the coronavirus pandemic is still affecting sales, but efforts to cut costs have helped beat analysts’ earnings estimates. The Dow component stocks rose 2% in premarket trading. The beverage giant achieved 47 cents per share in the fourth quarter. Net sales decreased 5% to $ 8.6 billion, which was in line with expectations. All four beverage segments recorded declines in volume.
General Motors shares fell less than 1% in the pre-market after the U.S. automaker said a global chip shortage could cut profits by $ 1.5 billion to $ 2 billion this year. GM posted fourth quarter earnings of $ 1.93 per share on revenue of $ 37.5 billion, exceeding expectations.
3. Twitter is “bigger than any account,” says the CEO
Jack Dorsey, CEO of Twitter, testifies via videoconference in this screenshot from a video taken during a Senate Justice Committee hearing titled “Breaking the News: Censorship, Suppression and the 2020 Election” on Facebook and Twitter regarding the Moderation of content was created on Capitol Hill in Washington, USA, November 17, 2020.
Reuters
Twitter’s shares rose nearly 9% on the Wednesday before going public, the morning after the social media network posted fourth-quarter earnings of 38 cents per share on sales of $ 1.29 billion, both of which exceeded the estimates. Monetizable Daily Active Users increased 30% year over year to 192 million but fell short of expectations. Twitter is “bigger than any other account,” said CEO Jack Dorsey in his first call for earnings after then-President Donald Trump’s ban last month, days after the January 6 attack on the US Capitol.
4. The Trump impeachment process moves on to the opening arguments
The patrol of the National Guard in the US Capitol as the second impeachment proceedings against former US President Donald Trump is scheduled to begin on February 9, 2021 in Washington (USA).
Joshua Roberts | Reuters
The opening arguments begin Wednesday at 12:00 PM ET in Trump’s second impeachment trial. An emotional first day ended with the Senate voting on the case of whether the former president should be convicted of inciting a revolt in the Capitol while he is no longer in office. Trump was watching the negotiations from his Mar-a-Lago club in Palm Beach, Florida and was furious at what he saw from his lawyers on Tuesday, such a person familiar with his thinking. The 50:50 Senate is expected to exempt Trump.
5. Covid spike in the US are showing signs of slowing down
A nurse disinfects her hands as she leaves a patient room with coronavirus disease (COVID-19) in the intensive care unit of SSM Health’s St. Anthony Hospital in Oklahoma City, Oklahoma on Jan. 28, 2021.
Nick Oxford | Reuters
The coronavirus surge in the United States has subsided. 95,360 new cases on Tuesday account for less than a third of the record high daily new infections of 300,282 on Jan. 2. 19 was 79,179 on Tuesday, the first daily count under 80,000 since November 18. U.S. deaths from the virus averaged 2,857 over the past seven days. The deaths hit a daily high of 4,432 on Jan. 12.
– The Associated Press contributed to this report. Follow CNBC’s blogs about the markets, the pandemic and Trump’s impeachment.
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