{"id":1920,"date":"2023-03-09T11:02:44","date_gmt":"2023-03-09T16:02:44","guid":{"rendered":"https:\/\/embarrdowns.com\/u-s-stocks-open-cautiously-higher-after-tuesdays-sell-off-unfi-plunges-28-fed-hike-speculation-grows\/"},"modified":"2023-03-09T11:02:45","modified_gmt":"2023-03-09T16:02:45","slug":"u-s-stocks-open-cautiously-higher-after-tuesdays-sell-off-unfi-plunges-28-fed-hike-speculation-grows","status":"publish","type":"post","link":"https:\/\/embarrdowns.com\/u-s-stocks-open-cautiously-higher-after-tuesdays-sell-off-unfi-plunges-28-fed-hike-speculation-grows\/","title":{"rendered":"U.S. Stocks Open Cautiously Higher after Tuesday’s Sell-Off; UNFI Plunges -28%, Fed Hike Speculation Grows"},"content":{"rendered":"

On March 8th, 2023, U.S. stocks opened cautiously higher after Tuesday\u2019s sell-off induced by Fed Chair Powell\u2019s remarks.[0]<\/a><\/sup> The Nasdaq 100 (NDX) and the Dow Jones Industrial Average (DJIA) were up 0.1% and 0.08% while the S&P 500 (SPX) declined by 0.02%, respectively, at 9:30 a.m.[1]<\/a><\/sup> EST.[1]<\/a><\/sup><\/p>\n

The mixed results came after new numbers on the job market led investors to believe that higher rate hikes are more likely.[2]<\/a><\/sup> February’s private payroll numbers were more robust than anticipated, further emphasizing the economy’s robustness.[2]<\/a><\/sup> Powell reiterated his warning to legislators that the central bank might raise interest rates higher than was previously thought.[3]<\/a><\/sup><\/p>\n

United Natural Foods Inc (UNFI) plunged more than -28% in premarket trading Wednesday after the grocery wholesaler reported fiscal second-quarter profit that missed by a wide margin, as \u201crapidly accelerating inflation\u201d took a bite out of results.[4]<\/a><\/sup> The company reported Q2 adjusted EPS of 78 cents, well below the consensus of $1.43, and cut its full-year adjusted EPS forecast to $3.05-$3.90 from a prior estimate of $4.85-$5.15, weaker than the consensus of $4.97.[5]<\/a><\/sup> US Foods Holding Corp (USFD) and Sysco (SYY) both closed down more than -3% and -1% on the news.[5]<\/a><\/sup><\/p>\n

The February jobs report was more robust than anticipated, leading investors to think that a higher interest rate increase is probable at the upcoming 2023 Federal Open Market Committee (FOMC) gathering set for March 21-22.[6]<\/a><\/sup> The markets are forecasting that the Federal Open Market Committee (FOMC) will increase the interest rate by 0.50% in[1]<\/a><\/sup> The market’s anticipated terminal interest rate is now estimated to be in the range of 5.50% to 5.75%.[1]<\/a><\/sup><\/p>\n

Other news included Tesla (TSLA) closing down more than -3% after Berenberg downgraded the stock to hold from outperform.[7]<\/a><\/sup> Crowdstrike Holdings Inc (NASDAQ:CRWD) gained more than 3% after the cybersecurity firm reported better-than-expected quarterly results, and Shoals Technology (SHLS) gapped down 8.6% in heavy volume after the solar company announced a 24.5 million-share secondary offering of common stock at 24.[8]<\/a><\/sup><\/p>\n

0. <\/span>“U.S. stocks open higher as investors weigh data showing rise in weekly jobless claims” MarketWatch, 9 Mar. 2023, https:\/\/www.marketwatch.com\/story\/u-s-stocks-open-higher-as-investors-weigh-data-showing-rise-in-weekly-jobless-claims-c0e8685e<\/a><\/a><\/p>\n

1. <\/span>“Stock Market News Today \u2013 Indices Finish Mixed as Investors Weigh Economic Data” TipRanks, 8 Mar. 2023, https:\/\/www.tipranks.com\/news\/stock-market-news-today-futures-inch-higher-after-digesting-powells-hawkish-tone<\/a><\/a><\/p>\n

2. <\/span>“Dow opens 100 points higher as Wall Street braces for Friday’s jobs report: Live updates” CNBC, 9 Mar. 2023, https:\/\/www.cnbc.com\/2023\/03\/08\/stock-market-today-live-updates.html<\/a><\/a><\/p>\n

3. <\/span>“Dow Industrial Average moves back to negative on the year” ForexLive, 7 Mar. 2023, https:\/\/www.forexlive.com\/technical-analysis\/dow-industrial-average-moves-back-to-negative-on-the-year-20230307<\/a><\/a><\/p>\n

4. <\/span>“Dow ends slightly lower, stocks finish mixed as higher Fed rate risk, upcoming jobs data worry Wall Street” MarketWatch, 8 Mar. 2023, https:\/\/www.marketwatch.com\/story\/u-s-stock-futures-unable-to-rebound-from-latest-sell-off-as-more-powell-talk-looms-8c9714e9<\/a><\/a><\/p>\n

5. <\/span>“Stocks Mixed As Powell Softens His Tone” Barchart, 8 Mar. 2023, https:\/\/www.barchart.com\/story\/news\/14905134\/stocks-mixed-as-powell-softens-his-tone<\/a><\/a><\/p>\n

6. <\/span>“Stock Market News Today: Stocks Open in the Green after Rise in Jobless Claims” TipRanks, 9 Mar. 2023, https:\/\/www.tipranks.com\/news\/stock-market-news-today-futures-under-pressure-following-powells-double-down<\/a><\/a><\/p>\n

7. <\/span>“Markets Today: Stock Indexes Slightly Higher as Bond Yields Fall” Barchart, 8 Mar. 2023, https:\/\/www.barchart.com\/story\/news\/14882609\/markets-today-stock-indexes-slightly-higher-as-bond-yields-fall<\/a><\/a><\/p>\n

8. <\/span>“Stock market today: Dow slips on Fed fears after fresh signs of tight labor market By Investing.com” Investing.com, 8 Mar. 2023, https:\/\/www.investing.com\/news\/stock-market-news\/stock-market-today-dow-slips-on-fed-fears-after-fresh-signs-of-tight-labor-market-3025453<\/a><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

On March 8th, 2023, U.S. stocks opened cautiously higher after Tuesday\u2019s sell-off induced by Fed Chair Powell\u2019s remarks.[0]<\/a><\/sup> The Nasdaq 100 (NDX) and the Dow Jones Industrial Average (DJIA) were up 0.1% and 0.08% while the S&P 500 (SPX) declined by 0.02%, respectively, at 9:30 a.m.[1]<\/a><\/sup> EST.[1]<\/a><\/sup><\/p>\n

The mixed results came after new numbers on the job market led investors to believe that higher rate hikes are more likely.[2]<\/a><\/sup> February’s private payroll numbers were more robust than anticipated, further emphasizing the economy’s robustness.[2]<\/a><\/sup> Powell reiterated his warning to legislators that the central bank might raise interest rates higher than was previously thought.[3]<\/a><\/sup><\/p>\n

United Natural Foods Inc (UNFI) plunged more than -28% in premarket trading Wednesday after the grocery wholesaler reported fiscal second-quarter profit that missed by a wide margin, as \u201crapidly accelerating inflation\u201d took a bite out of results.[4]<\/a><\/sup> The company reported Q2 adjusted EPS of 78 cents, well below the consensus of $1.43, and cut its full-year adjusted EPS forecast to $3.05-$3.90 from a prior estimate of $4.85-$5.15, weaker than the consensus of $4.97.[5]<\/a><\/sup> US Foods Holding Corp (USFD) and Sysco (SYY) both closed down more than -3% and -1% on the news.[5]<\/a><\/sup><\/p>\n

The February jobs report was more robust than anticipated, leading investors to think that a higher interest rate increase is probable at the upcoming 2023 Federal Open Market Committee (FOMC) gathering set for March 21-22.[6]<\/a><\/sup> The markets are forecasting that the Federal Open Market Committee (FOMC) will increase the interest rate by 0.50% in[1]<\/a><\/sup> The market’s anticipated terminal interest rate is now estimated to be in the range of 5.50% to 5.75%.[1]<\/a><\/sup><\/p>\n

Other news included Tesla (TSLA) closing down more than -3% after Berenberg downgraded the stock to hold from outperform.[7]<\/a><\/sup> Crowdstrike Holdings Inc (NASDAQ:CRWD) gained more than 3% after the cybersecurity firm reported better-than-expected quarterly results, and Shoals Technology (SHLS) gapped down 8.6% in heavy volume after the solar company announced a 24.5 million-share secondary offering of common stock at 24.[8]<\/a><\/sup><\/p>\n

0. <\/span>“U.S. stocks open higher as investors weigh data showing rise in weekly jobless claims” MarketWatch, 9 Mar. 2023, https:\/\/www.marketwatch.com\/story\/u-s-stocks-open-higher-as-investors-weigh-data-showing-rise-in-weekly-jobless-claims-c0e8685e<\/a><\/a><\/p>\n

1. <\/span>“Stock Market News Today \u2013 Indices Finish Mixed as Investors Weigh Economic Data” TipRanks, 8 Mar. 2023, https:\/\/www.tipranks.com\/news\/stock-market-news-today-futures-inch-higher-after-digesting-powells-hawkish-tone<\/a><\/a><\/p>\n

2. <\/span>“Dow opens 100 points higher as Wall Street braces for Friday’s jobs report: Live updates” CNBC, 9 Mar. 2023, https:\/\/www.cnbc.com\/2023\/03\/08\/stock-market-today-live-updates.html<\/a><\/a><\/p>\n

3. <\/span>“Dow Industrial Average moves back to negative on the year” ForexLive, 7 Mar. 2023, https:\/\/www.forexlive.com\/technical-analysis\/dow-industrial-average-moves-back-to-negative-on-the-year-20230307<\/a><\/a><\/p>\n

4. <\/span>“Dow ends slightly lower, stocks finish mixed as higher Fed rate risk, upcoming jobs data worry Wall Street” MarketWatch, 8 Mar. 2023, https:\/\/www.marketwatch.com\/story\/u-s-stock-futures-unable-to-rebound-from-latest-sell-off-as-more-powell-talk-looms-8c9714e9<\/a><\/a><\/p>\n

5. <\/span>“Stocks Mixed As Powell Softens His Tone” Barchart, 8 Mar. 2023, https:\/\/www.barchart.com\/story\/news\/14905134\/stocks-mixed-as-powell-softens-his-tone<\/a><\/a><\/p>\n

6. <\/span>“Stock Market News Today: Stocks Open in the Green after Rise in Jobless Claims” TipRanks, 9 Mar. 2023, https:\/\/www.tipranks.com\/news\/stock-market-news-today-futures-under-pressure-following-powells-double-down<\/a><\/a><\/p>\n

7. <\/span>“Markets Today: Stock Indexes Slightly Higher as Bond Yields Fall” Barchart, 8 Mar. 2023, https:\/\/www.barchart.com\/story\/news\/14882609\/markets-today-stock-indexes-slightly-higher-as-bond-yields-fall<\/a><\/a><\/p>\n

8. <\/span>“Stock market today: Dow slips on Fed fears after fresh signs of tight labor market By Investing.com” Investing.com, 8 Mar. 2023, https:\/\/www.investing.com\/news\/stock-market-news\/stock-market-today-dow-slips-on-fed-fears-after-fresh-signs-of-tight-labor-market-3025453<\/a><\/a><\/p>\n","protected":false},"author":3,"featured_media":1919,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[47],"tags":[],"_links":{"self":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts\/1920"}],"collection":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/comments?post=1920"}],"version-history":[{"count":0,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/posts\/1920\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/media\/1919"}],"wp:attachment":[{"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/media?parent=1920"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/categories?post=1920"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/embarrdowns.com\/wp-json\/wp\/v2\/tags?post=1920"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}