Wall Street: at equilibrium on Friday despite the PMI, opening down on Monday

  •   23/02/2021 - 09h47
  •   DEHOUI Lionel

Before starting a new week, it is necessary to take stock of the previous one. Here you will find some figures on the weekend on Wall Street as well as the main values of this day on Monday, February 22, 2021.

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Wall Street: at equilibrium on Friday despite the PMI, opening down on Monday
Image copyright: Shinya Suzuki - Flickr

The closing of Wall Street on Friday

Last weekend, Wall Street closed at break even. It was torn between concerns about resurgent inflation and the PMI index. Indeed, the Dow Jones finished at a stable level (31 494 points) while the composite Nasdaq lost less than 0.1% (13 874 points).

The composite PMI index, which provides information on overall U.S. activity, dropped from 58.7 in January to 58.8 in February, according to a flash estimate. It should be remembered that this index remained at its highest level since March 2015 against all expectations.

The business climate remains under the influence of hopes for new measures to revive the economy. Also, the deployment of vaccination campaigns has impacted the economic sector.

It should be noted that sales of old housing during the month of January increased by 0.6%. This increase was accompanied by a rise in the median selling price. The median selling price increased by 14.1 per cent on an annual basis.

 

Values on Wall Street

In its quarterly results, Deere had soared by about 10% as a result of raising its annual targets. His ambition remains to achieve a profit of between $4.6 and $5 billion. This compares with the $3.6 to $4 billion range achieved in the previous quarter.

The Applied Materials Group had an impressive 5% increase. Thursday evening was marked by the announcement of a 42% increase in adjusted EPS, to $1.39. The company's EPS was up 42% to $1.39. This is a figure recorded for the first quarter of 2020-2021. So this performance is well above market forecasts.

 

Monday's figures

The various futures contracts suggested a slightly declining opening for the Dow Jones. The Standard & Poor's realizes this same opening trend. Only the Nasdaq experienced a more pronounced decline.

As for Monday's stocks, DISCOVER released some figures on its activity in 2020. Thus, its net profit is 271 million dollars in the last quarter. This amounts to 42 cents per share and corresponds to a significant decline of 43% compared to the previous year.

Adjusted for non-recurring items, EPS was 76 cents, five cents better than the FactSet consensus. Revenue was virtually flat at $2.89 billion (+0.4%), compared to the FactSet consensus of $2.83 billion.

As for oil prices, they rose sharply. Brent crude oil prices rose by 1.21% to $63.67 a barrel. US light crude oil gained 1.22% to $59.96 a barrel. These different figures will no doubt be influenced by the upcoming statement by Federal Reserve Chairman Jerome Powell.