US OPEN: Wall Street mixed as post-FED rally loses steam

• US stock opened higher, however buyers failed to uphold momentum
• Mixed set of economic data from the US
• AT&T (T.US) stock price rises after Morgan Stanley upgrade

US indices launched today's session higher, with the Dow Jones hitting a one-month high, after the Fed signaled on Wednesday it would be aggressive on tapering and sees three interest rate hikes in 2022. However, the upward move lost its steam after investors digested a batch of economic data. Number of Americans filing new claims for unemployment benefits increased by 206k last week, remaining at levels consistent with tightening labor market conditions, while housing starts and building permits rose in November and manufacturing production continued to expand at a solid pace. On the other hand, the IHS Markit Manufacturing and Services PMI's disappointed.

US30 launched today's session higher however buyers struggle to break above psychological resistance at 36000 pts which coincides with the upper limit of the downward trendline. If sellers manage to regain control, downward impulse may be launched towards support at 35700 pts handle which is strengthened by 23.6% Fibonacci retracement of the upward wave launched in October 2020, 50 SMA ( green line) and 200 SMA ( red line)  and upward trendline. Source: xStation5

Company news:

AT&T (T.US) shares jumped over 2.0% before the opening bell after Morgan Stanley upgraded  telecom giant stock to ‘overweight’ from ‘equal-weight’, saying it will become a more focused communications business after the merger of its media assets with Discovery(DISCA.US).

AT&T (T.US) stock launched today's session higher and is currently testing 50 SMA (green line). However only a break above the upper limit of the descending could herald a potential significant upward move. Until price sits below, another downward impulse towards major support at $22.00 may be launched. Source: xStation5

Delta Air Lines (DAL.US) stock added more than 2.0% in the premarket after the company announced that it expects $200 million fourth-quarter profit. Analysts were expecting a quarterly loss, however the carrier said it is seeing strong holiday demand and it is on the path toward exceeding pre-pandemic profit levels.

Regeneron Pharmaceuticals (REGN.US) stock fell 1% in premarket after the drugmaker announced that its antibody cocktail loses potency against the omicron Covid-19 strain while it is still effective against the delta variant.

Lennar (LEN.US) stock plunged 6.5% in premarket after the homebuilder posted weak quarterly figures. Company earned $3.91 per share, below analysts’ estimates of $4.15. Revenue also fell short of forecasts.as pandemic-led supply chain issues pushed lumber costs higher and delayed house deliveries.