A brutal week for the market is coming to a close, and it has not arrived fast enough for most investors.
With stock futures gaining ground early on Friday, the S&P 500 is on track for a staggering $ 1 trillion in market prices this week. The benchmark index is down nearly 19% from its January high and is closing in its seventh weekly fall. According to Bloomberg, no such streak has been seen since March 2001.
The sharp selling pressure this week has been fueled by fears of a growing recession, driven by terrible earnings and outlook from major retailers Walmart, Target and Kohls.
Wall Street professionals warn that the lower part of the market has not yet come due to the sentiment of the badly damaged investor.
Steve Sosnick, chief market strategist at Interactive Brokers at Yahoo Finance Live (video above), said, “I think psychology is rotten now. But the problem is I look at our customer data. We still see that customers are buying their favorite stock, looking for that dip. Heard the word. That’s what you really need to pick at least an intermediate word to get down. And we don’t see that. “
That being said, here are some hot tickers this Friday via the Yahoo Finance Trending Ticker page:
China EV Manufacturers: China-based EV (electric vehicle) makers Nio and Xpeng are today bidding for an unexpected interest rate cut by the country’s policymakers. The People’s Bank of China has lowered its benchmark rate for loans of five years or more from 4.6% to 4.45%, the WSJ noted, adding that this is the single largest cut since the bank included the rate in its policy toolkit in 2019.
The rate cut is raising hopes that the EV industry will see an increase in sales. Despite continued production and sales of Nio and Xpeng due to China’s strict COVID-19 lockdown policy and ongoing shortage of semiconductors.
Mem stock: Shares of top meme stocks AMC, GameStop and SoFi are gaining ground in the pre-market today – expanding bullish rice over the past five sessions. During the week, shares of SoFi rose 36%, with AMC adding 17% and GameStop 11%.
Ross Store: The latest retail stock to catch a post-income bitdown is the Ross Store. Shares of the off-price retailer fell 27% to $ 68 in pre-market trading and it all deserved it.
The company said late Thursday that first-quarter same-store sales fell 7%. Significant retail figures outperformed rival TJX companies, leaving first-quarter sales unchanged. Ross’s operating profit margin fell 340 basis points compared to a year earlier on the high level of transport inflation, a common issue among retailers at the moment.
The company downgraded its full-year profit outlook from $ 4.34 to $ 4.58 per share to $ 4.71 to $ 5.12.
“We believed investors were hiding in the Ross store (and away from the Burlington store),” BMO Capital Markets analyst Sean Siegel, who lowered his price target at the Ross store to $ 99, wrote in a note to clients. “We continue to see Ross stores as long-term shareholders, but also recognize a very high short-term bar for owning consumer considerations.”
Foot Locker: A rare winner in this week’s beat-up retail patch is Foot Locker. Footwear retail shares beat 6 percent earnings as pre-market business popped up as 5%.
Same-store sales fell 1.9%, however.
Richard Johnson, CEO of Foot Locker, said in a statement: “We’re going to make a strong start in 2022, reporting a tough quarter against financial stimulus and historically-low promotion comparisons from last year.”
Expectations were low in the report: Shares fell 34% in late February after Foot Locker warned less business from Nike, putting even deeper pressure on it to open its own store and sell merchandise on its website / mobile app.
Since then, Foot Locker has struck a new deal with Adidas to work closely and now, better than this report of expected earnings, the company’s sentiment could turn into a corner.
Brian Suzy A great editor and Yahoo is anchored in finance. Follow Suzy on Twitter @ Briansoji And then LinkedIn.
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