Nasdaq Rises Again ahead of Tech Earnings, Dow Drops

Andrew Cummings
January 26, 2021

United States stock index futures edged lower on Tuesday, as investors refrained from making big bets ahead of a slew of quarterly earnings from companies, while the Federal Reserve kicked off its two-day policy meeting.

Investors turned their focus to the U.S. Senate, which is aiming to pass COVID-19 relief legislation before former President Donald Trump's impeachment trial begins in early February.

Officials in President Joe Biden's administration are trying to head off Republican concerns that his $1.9 trillion pandemic relief proposal is too expensive.

"The market loves money, whether it is fiscal or monetary, and right now you have both".

Nasdaq composite: 13,694.77, up 1.07%. Several of them report their latest quarterly results this week.

While stocks continue to move higher, analysts at Goldman Sachs are warning investors that a vaccine resistant COVID-19 strain could cut 2021 growth by more than a third.

At 06:27 a.m. ET, Dow E-minis were up 14 points or 0.05%, and S&P 500 E-minis were down 3 points or 0.08%.

The S&P index recorded 26 new 52-week highs and no new low, while the Nasdaq recorded 285 new highs and four new lows.

Earlier in the day, drugmaker Merck & Co said it would stop development of its two COVID-19 vaccines.

Shares were also mixed globally, with Japan's Nikkei 225 ending the day up 0.7%, while the UK's FTSE 100 was down 1.2% and the DAX index of the 'Germany by 1.7%.

Shares of the brick-and-mortar video-game retailer soared more than 140% to top $150 at one point Monday as a slew of retail investors active in online chat rooms aimed to squeeze out short sellers.

Recent gainers including sectors such as financials, energy, industrials and materials led declines on Monday, while defensive utilities, consumer staples and real estate were among the few gainers.

Declining issues outnumbered advancing ones on the NYSE by a 1.44-to-1 ratio; on Nasdaq, a 1.27-to-1 ratio favored decliners.

The S&P 500 rose slightly on Monday, while a jump in Big Tech pushed the NASDAQ Composite to a new record high as Wall Street remains bullish on the largest tech companies ahead of their earnings.

Other reports by iNewsToday