Mixed Reactions on Wall Street as Economic Data, Fed Speeches, and Earnings Reports Drive Stocks

On Thursday, U.S. stocks were mixed while Treasury yields were higher as economic data pointed to a strong labor market, raising concerns over the Federal Reserve’s rate hikes.[0] The yield on the benchmark 10-year Treasury note rose seven basis points to 4.06%, while West Texas Intermediate crude gained fractionally to trade at just around $78 per barrel.[1] Meanwhile, Salesforce (CRM) led the charge to the upside, rising 11.51% after stronger-than-expected earnings and more positive guidance.[2] Tesla (TSLA) was among the top S&P percentage losers, falling 5.9% after the electric carmaker’s Investor Day failed to excite analysts.[3] Novavax (NVAX) plunged 25.9% after the vaccine maker said that although it has enough cash for the next 12 months or so, “substantial doubt exists regarding our ability to continue as a going concern through one year.”[4] Additionally, Minneapolis Federal Reserve Bank President Neel Kashkari said a 50-basis-point rate hike at the U.S. central bank’s next meeting was not out of the question, adding that rates may need to go higher than the 5.4% level he saw as the peak in December.[5]

0. “Nasdaq, S&P slip as labor market data stokes Fed concerns; Salesforce props up Dow (SP500)” Seeking Alpha, 2 Mar. 2023, https://seekingalpha.com/news/3943339-nasdaq-sp500-dow-jones-stock-market-labor-market-data-fed-hikes

1. “Dow Jones Rises As 10-Year Yield Tops 4%; Tesla Plunges 8% On Disappointing Investor Day” Investor’s Business Daily, 2 Mar. 2023, https://www.investors.com/market-trend/stock-market-today/dow-jones-futures-climb-ahead-of-jobless-claims-tesla-dives-on-disappointing-investor-day/

2. “Major US stock indices close higher in the day” ForexLive, 2 Mar. 2023, https://www.forexlive.com/technical-analysis/major-us-stock-indices-close-higher-in-the-day-20230302/

3. “US Markets Pick Up Steam in the Afternoon and Post Gains” Investopedia, 2 Mar. 2023, https://www.investopedia.com/us-markets-pick-up-steam-in-the-afternoon-and-post-gains-7185448

4. “Stock market news today: Fears of high interest rates hit investors” Markets Insider, 1 Mar. 2023, https://markets.businessinsider.com/news/stocks/stock-market-news-today-investors-fear-high-interest-rates-fed-2023-3

5. “Dow futures up 70 pts; jobless claims, retail earnings in focus By Investing.com” Investing.com, 2 Mar. 2023, https://www.investing.com/news/stock-market-news/dow-futures-up-70-pts-jobless-claims-retail-earnings-in-focus-3020141