(Market Close Summary: Stocks rally ahead of Friday's jobs data
Thu, 07 Dec 2023 16:23 PM EST
Summary:
Buyers stepped ahead of tomorrow's employment report, pushing stocks higher after. The NASDAQ was the clear leader amid strong trading volumes. Google shares jumped more than 5% after unveiling Gemini, its most powerful AI model yet. AMD shares gained nearly 10% on as analysts reacted favorably it the rollout of its new AI chip yesterday. Airlines were strong after JetBlue guided higher for the remainder of the year. The Yen and JGB rates rose after a disappointing government auction in Japan earlier, and fresh BOJ commentary suggesting the move away for negative interest rate policy (NIRP) may come sooner than the markets expected. US Treasury yields drifted marginally but still remain within a few basis points of the multi-month lows. The dollar lost ground, headlined by a more than 2% move against the Yen.
US Session
-(CL) Chile Nov CPI M/M: 0.7% v 0.2%e; Y/Y: 4.8% v 4.2%e
-(MX) Mexico Nov CPI M/M: 0.6% v 0.7%e; Y/Y: 4.3% v 4.4%e
-(US) Nov Challenger Job Cuts: 45.5K v 36.8K prior; Y/Y: -40.8% v +8.8% prior
-(US) INITIAL JOBLESS CLAIMS: 220K V 220KE; CONTINUING CLAIMS: 1.861M V 1.910ME (drop off 2-years high)
-(US) Biden Admin to announce moves to lower health care costs; Could seize certain drug patents that were developed with the help of taxpayer dollars if the drug is deemed to be price 'too high' - press
-(US) Nov Manheim wholesale used vehicle Index at 205.0, -2.1% m/m, -5.8% y/y
-(US) WEEKLY EIA NATURAL GAS INVENTORIES: -117 BCF VS. -104 BCF TO -106 BCF INDICATED RANGE
-(US) Q3 FINANCIAL ACCOUNT HOUSEHOLD CHANGE IN NET WORTH: -$1.312T V $5.494T PRIOR
-(US) House Speaker Johnson: Won't support any additional stopgap bills - Politico
-(US) Treasury Sec Yellen: US, Mexican financial teams discussed possibility of more deeply integrating cross border payments systems
-(US) OCT CONSUMER CREDIT: $5.1B V $8.5BE
Europe and Asia-
-(PL) Poland Central Bank (NBP) Gov Glapinski: Nothing has changed our opinion on rates and the macroeconomic outlook since the last meeting
-(DE) German Fin Min Lindner: Germany is willing to find agreement on EU fiscal rules; There is a 90% agreement between France and Germany on EU fiscal rules
Corporate Headlines
-CERE AbbVie to Acquire Cerevel Therapeutics in $8.7B deal at $45.00/shr cash
-VEEV guides Q4 $1.30 v $1.26e, Op $227M, Rev $620-622M v $625Me
-CHWY Q3 $0.15 v $0.09e, Rev $2.74B v $2.75Be; Cuts FY guidance citing industrywide pressures; Names David Reeder CFO
-DG Q3 $1.26 v $1.19e, Rev $9.69B v $9.65Be; Trims outlook, but notes momentum in some of the underlying sales trends, including positive customer traffic
-JBLU raises mid-point Q4 and FY23 outlook citing since late Oct, close-in bookings have outperformed expectations for both holiday peak and non-holiday travel periods
-CIEN guides initial FY24 Rev +1-4% y/y, FCF $400M+, gross margin mid-40% range
-DPZ CEO Weiner: Q4 QTD (ex-Uber incremental pilot volume) US delivery business positive, delivery transactions also positive - Investor Day
-EW guides initial FY24 $2.70-2.80 v $2.78e, Rev $6.3-6.6B v $6.50Be, adj gross margin 76-78%, adj op margin 29-30%
-BA reportedly to slow 737 production ramp up by about 2 months - press
-Dow Jones +0.2%
- S&P 500 +0.8%
- Nasdaq +1.4%
- Russell +0.9%
After Hours Movers
- AVGO -1.5%; earnings
- DOCU -2%; earnings
- LULU -4%; earnings
- RH -7%; earnings miss