US Open: Mixed US macro weakens dollar and yields, boosting Russel2000 🗽

• Wall Street's major indexes are mostly gaining. US500 posts 0.2% gains
• Mixed US macro data weakens dollar and yields. US2000 surges 1,2%
• Shares of the world's largest EV lithium supplier, Albemarle (ALB.US) gain 7% after results
• Cisco Systems (CSCO.US) loses more than 2% after results; business sees slowdown
• CRISPR Therapeutics (CRSP.US) shares gain 11% after ArkInvest increased position by 280k shares
• SoundHound (SOUN.US) shares gain 50% after investment from Nvidia (NVDA.US)

Today's opening trading session on Wall Street is mostly dominated by buyers, following a series of mixed macro readings. Weaker US retail sales and industrial production data, as well as higher-than-forecasted jobless claims, are helping the market believe in Fed cuts in the first half of the year. The dollar index is trading near a 0.5% sell-off and yields are losing too, contributing to higher risk-appetite. The Dow Jones gains 0.5%, the S&P 500 records a 0.25% rally, and the Nasdaq100 loses slightly, led by profit-taking on major tech stocks. The best performer is the Russell 2000, which records a nearly 1.3% rally.

Google, Microsoft and Apple shares are losing at the opening of the session. Source: xStation5

US500 chart

US indices are trying to rebound today, and the US500 halted declines at the SMA200 level, on the M30 interval, as previously seen on February 2. The half-hour candles also show that buyers' volume is dominant, and the uptrend is being maintained. The market waits especially for Nvidia results (February 21, after the session)

Source: xStation5

News from companies

• Albemarle (ALB.US) gains more than 7%, although the lithium producer provided guidance that somewhat disappointed Wall Street. The company reported its second-largest profit in Q4 for all of 2023, which investors took as a potential signal of the quality of management and the overall outlook for the business.
• Cisco (CSCO.US) lost 2.5% as networking rival Arista Networks (ANET.US) and the hardware maker lowered its full-year forecast, and results missed expectations. The company will lay off 5% of its workforce (about 4,000) as part of cost-cutting measures. The company reported $12.8 billion in revenue, down 6% year-on-year, and EPS (GAAP) of $0.65, down 3% year-on-year. Revenue growth took place in security, collaboration and observability. Total software revenue remained flat year-on-year, and software subscription revenue increased 5% year-on-year.
• Fastly (FSLY.US) is down 28% as the infrastructure software company reported revenue guidance that was weaker than expected.
• Manchester United (MANU.US) shares lose 15% as the deadline for billionaire Jim Ratcliffe's tender offer approaches, which is estimated for Friday, February 15 (tomorrow)
• Nu Skin (NUS.US) loses nearly 24% after the beauty and wellness & spa background company missed first-quarter earnings expectations and cut its quarterly dividend.
• Paramount Global (PARA.US) loses 5% after Berkshire Hathaway revealed that the company reduced its stake in the media company.
• SoundHound AI (SOUN.US) shares gain nearly 50% after Nvidia filed a 13F document with the SEC indicating that it has a stake in the company

Albemarle shares (D1)

Source: xStation5

Analyst recommendation changes

• Coinbase (COIN US) - JPMorgan raised its business rating on the largest crypto exchange in the US, citing Bitcoin's recent rally
• Super Micro Computers (SMCI.US) received a new recommendation at Bank of America, target price of $1.040 per share

US Macro

• Retail sales (January): Down 0.8% m/m on expectations of a 0.2% m/m decline, with a previous increase of 0.6% m/m. (Core fell 0.6 m/m vs. 0.2% growth forecast and 0.4% growth previously)
• Industrial production for January, however, fell 0.1% m/m on expectations of a 0.2% m/m increase and the previous 0.1% m/m increase. Manufacturing fell as much as 0.5% m/m
• Regional indices rebounded, with jobless claims falling again to 212,000 against a previous reading of 218,000 and with expectations of 202,000.

Jobless claims:

• 4-week average of jobless claims: Currently 218.50 thousand; previously 212.75 thousand;
• Number of new unemployed: Currently: 212 thousand; forecast 219 thousand; previously 220 thousand;
• Continued jobless claims: Currently 1,895 thousand; forecast 1,880 thousand; previously 1,865 thousand;