Great Hill Capital chairman Thomas Hayes and Revere Securities portfolio manager Scott Fullman discuss whether the market is about to turn around on ‘The Claman Countdown.’
U.S. stocks picked up momentum midday ahead of the Federal Reserve’s policy statement due at 2pm ET followed by Chairman Powell’s press conference at 2:30 pm ET.
The Dow Jones Industrial Average rose over 300 points or 0.9%, while the S&P 500 and Nasdaq Composite gained 1.5% and 2.2%, respectively.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| I:DJI | DOW JONES AVERAGES | 34683.31 | +385.58 | +1.12% |
| SP500 | S&P 500 | 4435.23 | +78.78 | +1.81% |
| I:COMP | NASDAQ COMPOSITE INDEX | 13920.534067 | +381.24 | +2.82% |
In earnings, Microsoft shares rose over 15% after the software maker’s strong quarter and better-than-expected revenue, which hit $51.7 billion, a 20% jump.
MICROSOFT PROFITS UP 21%, GIVING CUSHION FOR GAMING PUSH
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| MSFT | MICROSOFT CORP. | 304.21 | +15.72 | +5.45% |
Tesla reports after the closing bell with Apple on tap for Thursday.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| TSLA | TESLA INC. | 960.88 | +42.48 | +4.63% |
| AAPL | APPLE INC. | 163.47 | +3.69 | +2.31% |
Boeing is in focus after recording a $4.16 billion loss for the fourth quarter tied to production flaws of its 787 jetliner and compensation for airlines that are still waiting to get their planes. The company also said problems with the 787 will add $2 billion in unusual production costs, double the earlier projection.
The aircraft maker took a charge of $3.5 billion to cover additional delays in delivering copies of its 787 jetliner and compensation for airlines awaiting planes.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| BA | THE BOEING CO. | 197.92 | -6.07 | -2.98% |
Chip stocks are also gaining momentum after Texas Instruments forecast revenue in the first quarter would be as high as $4.9 billion, exceeding analyst estimates.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| TXN | TEXAS INSTRUMENTS INCORPORATED | 182.98 | +9.02 | +5.19% |
| NVDA | NVIDIA CORP. | 237.34 | +14.10 | +6.32% |
Mattel confirmed it has won back the rights to license Disney’s toys around the Princess line and “Frozen” franchise from Hasbro. “The new licensing arrangement builds on the existing licensing relationship between Mattel and Disney for Pixar Animation Studio’s ‘Toy Story‘ and ‘Cars’ franchises, and the recently announced global licensing agreement for ‘Lightyear,’” the company noted.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| DIS | THE WALT DISNEY CO. | 137.32 | +0.80 | +0.59% |
| MAT | MATTEL INC. | 21.39 | +1.78 | +9.10% |
| HAS | HASBRO INC. | 93.49 | -2.09 | -2.19% |
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At 2 p.m. ET investors will get an update on how aggressively the Federal Reserve will tackle inflation. The U.S. central bank will clarify just how fast it plans to tighten credit and potentially slow the economy.
Some on Wall Street worry that on Wednesday, the Fed may signal it plans a half-point increase in its key rate. There is also concern that Fed Chair Jerome Powell could suggest that the central bank will raise rates more times this year than the four hikes most economists are expecting.
BIDEN TASKS FED WITH INFLATION FIGHT
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| USO | UNITED STATES OIL FUND L.P. | 62.43 | +1.46 | +2.39% |
Oil also rose to the $86 per barrel level. Ukraine’s leaders have assured their country that an invasion from neighboring Russia is not imminent but acknowledged the threat is real and received a shipment of U.S. military equipment to shore up their defenses. Moscow has denied it is planning an assault, but it has massed an estimated 100,000 troops near Ukraine in recent weeks and is holding military drills at multiple locations in Russia. That has led the United States and its NATO allies to rush to prepare for a possible war.
In crypto currencies, Bitcoin continued to stabilize trading at the $38K level.
In other economic news, sales of new single-family homes jumped to 811,000 in December well above the 760,000 expected.
In Asia, Japan’s Nikkei 225 slipped 0.4%, Hong Kong’s Hang Seng added 0.2%, while China’s Shanghai Composite rose 0.7%.
FOX Business’ Ken Martin and The Associated Press contributed to this report.