Stocks Rise as Roblox (RBLX) Surges & Devon Energy (DVN) Falls Amid Economic Data

Stocks rose Thursday as investors digested a slew of economic data.[0] The Dow Jones Industrial Average had the best performance of the day, rising 0.4%, while the S&P 500 saw a slight increase of 0.[1] The Nasdaq composite decreased by 0.7%, whereas the Russell 2000, which tracks small-cap stocks, gained 0.2%.[1] In Q4, Roblox (RBLX) experienced a surge in stock when they released bookings figures that exceeded expectations. Meanwhile, Devon Energy (DVN) gapped down 10.5% in heavy volume after the company reported worse-than-expected Q4 adjusted EPS and sales numbers.

The yield on the 10-year Treasury note ticked down to 3.78% Thursday morning while the dollar index moved lower nearly 0.3% to trade at $103.65.[0] Brent crude futures experienced a downward trend, decreasing by 0.3% to $85.08 per barrel.[2]

U.S. economic updates released Thursday included weekly initial jobless claims, the January producer price index, building permits and housing starts, and the February Philadelphia Fed manufacturing survey.[3] Last month’s retail sales saw a 3% rise, exceeding the 1.8% rise predicted by economists.[4] The retail sales control group, which is incorporated into U.S. GDP, increased by 1.7%, significantly higher than the anticipated 0.8% growth.[5]

Roblox (NYSE:RBLX) had a strong performance in its earnings report, with its shares increasing by 26% as the results for the fourth quarter exceeded expectations. This was due to an increase in bookings. Roblox (RBLX) saw a 26.4% increase in share price following the announcement of higher-than-anticipated sales figures for Q4.[6]

Devon Energy (NYSE:DVN) experienced an 11% drop in stock after the energy company’s fourth-quarter results did not meet expectations and their projected capital expenditure of $3.6B-$3.8B was higher than the expected $3.42B.

Bloomberg data suggests that the Consumer Price Index likely increased by 0.5% in January, compared to its 0.1% growth the preceding month.[4] It is likely that the core inflation rate will increase by 0.4% month-over-month, which is in line with the December movement.[7] The data will be released Tuesday.[7]

ABNB (Airbnb) rose[6]

0. “Dow, Nasdaq, S&P 500 overcome lingering Fed fears to end choppy session higher” Seeking Alpha, 15 Feb. 2023, https://seekingalpha.com/news/3936612-dow-nasdaq-sp-500-end-higher-despite-choppy-trading-as-fed-fears-linger

1. “Stock Market Closed Mixed; Nasdaq Broke Its Winning Streak” Investor’s Business Daily, 10 Feb. 2023, https://www.investors.com/market-trend/stock-market-today/stock-market-on-track-for-a-down-week-medical-device-stock-shines

2. “Stock market news today: Stock futures waver, bitcoin rallies” Yahoo News, 16 Feb. 2023, https://news.yahoo.com/stock-market-news-live-updates-february-16-2023-122740853.html

3. “U.S. stock futures show Wall Street holding recent gains” MarketWatch, 16 Feb. 2023, https://www.marketwatch.com/story/u-s-stock-futures-show-wall-street-holding-recent-gains-8d0a72e6

4. “S&P 500, Dow turn positive on retail sales, CPI data fallout; Nasdaq enjoys third-straight winning day” Proactive Investors USA, 15 Feb. 2023, https://www.proactiveinvestors.com/companies/news/1006250/s-p-500-dow-turn-positive-on-retail-sales-cpi-data-fallout-nasdaq-enjoys-third-straight-winning-day-1006250.html

5. “Stock market today: Dow ekes out win after cutting losses as tech reigns supreme By Investing.com” Investing.com, 15 Feb. 2023, https://www.investing.com/news/stock-market-news/stock-market-today-dow-ekes-out-win-after-cutting-losses-as-tech-reigns-supreme-3004599

6. “Stock Market Indexes Pull Ahead In Final Hour; Etsy Posts Over 6% Gain” Investor’s Business Daily, 15 Feb. 2023, https://www.investors.com/market-trend/stock-market-today/the-stock-market-climbs-out-of-morning-hole-stock-soars/

7. “Dow Jumps Over 300 Points, Dollar Surges in Midday Trading” msnNOW, 13 Feb. 2023, https://www.msn.com/en-us/money/markets/dow-jumps-over-300-points-dollar-surges-in-midday-trading/ar-AA17radT