Breaking News
Investing Pro 0
NEW! Get Actionable Insights with InvestingPro+ Try 7 Days Free

Stocks - Wall Street Opens Mostly Higher Ahead of Fed Meeting

Stock Markets Jul 29, 2020 09:45AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.
 
XAU/USD
-1.16%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
XAG/USD
-3.83%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
DJI
+2.80%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
BA
+5.92%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
GM
+8.91%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
GE
+6.20%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

By Geoffrey Smith 

Investing.com -- U.S. stock markets opened smartly higher on Wednesday as a torrent of largely reassuring earnings persuaded some investors that the worst of the pandemic is over.

By 9:40 AM ET (1340 GMT), the Dow Jones Industrial Average was up 24 points, or 0.1% at 26,403 points. The S&P 500 was up 0.4% and the Nasdaq Composite was outperforming again, with a gain of 0.7%, helped by strong quarterly reports from the likes of chipmaker Advanced Micro Devices (NASDAQ:AMD) and fast-growing online marketplace Shopify (NYSE:SHOP). FireEye (NASDAQ:FEYE) stock also gained 15% after its quarterly report underlined how cybersecurity has gained in importance to companies against the backdrop of increased remote working and online shopping.

Sentiment was further helped by another strong reading from the housing market, a part of the economy that has thrived in recent months against a backdrop of lower refinancing rates and the increased attractiveness of real estate as an investment against a backdrop of high volatility in securities markets. Pending home sales rose 16.6% on the month in June, down from a 44% gain in May but above expectations for a 15% rise.

General Electric (NYSE:GE) stock and General Motors (NYSE:GM) stock both fell slightly, despite posting slightly less-dismal-than-expected results for the quarter, while Boeing (NYSE:BA) stock fell 0.5% after the aerospace giant missed expectations and announced another cut to production runs.

The moves are nonetheless hostage to macro developments in the course of the day. The Federal Reserve’s Federal Open Markets Committee meeting and Chairman Jerome Powell’s press conference at 2:30 PM are likely to stay the main focus of the day.

Comments from senior Fed officials before the regular 'blackout' period before the FOMC tended to the gloomy side, with more than one expressing the fear that the economy was stalling and may need more "accommodative" policy in future. No change in policy is expected in today's statement.

The standout individual performer, for the second day running, was Eastman Kodak Co (NYSE:KODK). The once-dominant maker of photographic film, whose business model was wrecked by the advent of digital technology, had life breathed into it by a $765 million government loan to help it ramp up production of ingredients for generic medicines. The move, under the aegis of the Defense Production Act, is aimed at reshoring production of important medicines back from China. Trading in Eastman Kodak stock was repeatedly halted, limit up, in the first hour of the session.

In other markets,Crude Oil Futures rebounded after the American Petroleum Institute reported a surprisingly large drop in crude inventories last week (mitigated by inventory builds in gasoline and distillates). The rally in Gold Futures and Silver Futures petered out, however, as traders hunkered down in anticipation of the Fed.

Stocks - Wall Street Opens Mostly Higher Ahead of Fed Meeting
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (4)
Joanna Yin
Joanna Yin Jul 29, 2020 11:36AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
can't imagine any more dovish words from Fed …… larger balance sheet available than expeected...
Tricky Dick
TrickyDick Jul 29, 2020 11:04AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
What possibly could the fed say to "Rock the Markets"? These articles are just plain silly.
Jay West
Jay West Jul 29, 2020 10:50AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Any constructive opinions anyone can add about what could be said in the Fed meeting today that would affect markets? Please do not mention anything political as these comments have gotten stale. I feel that whenever they have a fed announcement it always repeats the same thing that they are not going to allow the economy to falter and that they have a wide range of tools that they are going to use. I know that they are going to keep interest rates at zero and they will not go negative. They always talk about small business loans etc., but I feel like all these comments are really known before the meeting even starts by the general public. Does anyone have any insight into something new that they could mention? It is obvious that the quantitative easing and the range of tools will be used in the short term but I am wondering what else they could mention that would affect the markets? They always speak of a long road recovery and the importance of the consumer.
Daniel Ra
Danra Jul 29, 2020 10:44AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
"torrent of largely reassuring earnings persuaded some investors that the worst of the pandemic is over." lol
Jay West
Jay West Jul 29, 2020 10:44AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Anyone persuaded by this torrent of earnings is simply a fool. I don’t believe anyone was persuaded unless they are a newbie retail investor.
Josh Furrow
Josh Furrow Jul 29, 2020 10:44AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
The pandemic is basically over.
Andre Benoit
Andre Benoit Jul 29, 2020 10:44AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
The economic effects of the pandemic are just starting
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email