EBC Markets Briefing | Wall St on a roll; IBM cheers quantum breakthrough

US stocks extended gains Friday, maintaining year-end momentum on strong corporate earnings from megacaps and expectations of a Fed rate cut.

US stock index extended gains on Friday to keep its momentum heading into year-end, including a flood of corporate results headlined by megacap companies and a likely interest rate cut by the Fed.

Among companies that have reported, S&P 500 profits are estimated to have increased 10.4% from a year ago, according to LSEG IBES data. So far, 87% of companies have topped analysts' earnings estimates.

US consumer prices surged 3% year over year in September, just below the forecast. The report provides a glimpse into the state of the U.S. economy at a time when all other data releases have been suspended.

The concerns about AI exuberance lead to major investors shifting away from hyped-up stocks into potential next-in-line winners, a strategy from the dotcom era that prove to be effective against crash.

Nvidia's valuation has surged beyond $4 trillion despite US tariffs. Timing the phases of a bubble has historically been a way to play it without the risk of trying to call the peak too early.

Top Chinese and US economic officials hashed out on Sunday the framework of a trade deal for Trump and his Chinese counterpart Xi to decide on later this week in their eagerly anticipated meeting in South Korea.

The Dow has been trending higher unhampered, and the path of least resistance is to hit a fresh peak later this week. But 48,000 is seen as potential hurdle.

Asset recap

As of market close on 24 October, among EBC products, IBM shares led gains, while global X Uranium ETF also increased after Russia claimed test of nuclear-power missile.

The tech company said on Friday it can run a key cerror correction algorithm on commonly available chips from AMD, a step toward commercializing super-powerful computers.

Meanwhile, Tesla more than wiped out its gains of the previous session. Ex–Stellantis CEO says Tesla could exit the car industry and may not exist in 10 years.

EBC Financial Group Disclaimer: This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC Global Financial Collaboration or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.

EBC Financial Group
Typ: STP, ECN
Regulace: FCA (UK), ASIC (Australia), CIMA (Cayman Islands), FSCA (South Africa)
read more
Stocks perk up on Fed optimism, metals jump as dollar struggles

Stocks perk up on Fed optimism, metals jump as dollar struggles

Wall Street and global stocks hit record despite tech’s AI woes. Dollar set for third weekly loss as markets brush off Fed’s hawkish dot plot. BoJ rate hike bets unable to lift yen, pound lags after poor UK data. Copper and precious metals shine, oil up on Venezuela tensions.
XM Group | Před 6 h 42 min
The euro is on the edge of its seat

The euro is on the edge of its seat

The ECB is weighing the strengths of the euro, and the US jobs report will determine the path of EURUSD.Switzerland and Canada are satisfied with the current interest rates.
FxPro | Před 7 h 17 min
EUR/USD Surges on Dovish Fed Signals and Shifting Expectations

EUR/USD Surges on Dovish Fed Signals and Shifting Expectations

The EUR/USD pair rallied sharply to 1.1735 on Friday, propelled by a sustained sell-off in the US dollar. The move followed a widely anticipated Federal Reserve rate cut, which was accompanied by guidance that proved more accommodative than markets had expected.
RoboForex | Před 9 h 32 min
DNA Markets - Daily Fundamental Analysis Report, 12 December

DNA Markets - Daily Fundamental Analysis Report, 12 December

Here is your Daily Fundamental Analysis Report for the FX market, covering the key topics influencing currency movements today. This summary highlights the major economic drivers, current market sentiment, and important developments that may impact volatility and direction across major pairs.
DNA Markets | Před 16 h 0 min