Traders on the floor of the New York Stock Exchange, Aug. 4, 2022.
Source: NYSE
Stock futures were little changed in overnight trading Wednesday after the S&P 500 finished the regular session on the brink of the 5,000 milestone.
Futures on the Dow Jones Industrial Average were up by 13 points. S&P 500 futures and Nasdaq 100 futures were both flat.
Disney shares surged about 6% in after hours trading as the media giant beat quarterly earnings estimates and raised its guidance amid its cost-cutting effort.
Chipmaker and designer Arm saw shares jump a whopping 23% in extended trading after the company reported stronger-than-expected earnings and gave an upbeat profit forecast.
The S&P 500 climbed 0.8% to 4,995.06 Wednesday, as the rally led by technology chugged along. The fourth-quarter earnings season has been stronger than expected, giving investors confidence that the healthy economy could continue driving corporate profits.
Big Tech Meta Platforms surged another 3% Wednesday, while Nvidia and Microsoft rose about 2% each to fresh record highs. The Nasdaq Composite jumped nearly 1% to another all-time closing high, and the blue-chip Dow rallied about 150 points.
“The ‘Big 3’ forces that have been propelling the tape since Nov are still exerting upside pressure, including disinflation, the dovish monetary pivot, and resilient earnings,” Adam Crisafulli, founder of the Vital Knowledge, said in a note.
Investors will monitor fresh jobless claims data on Thursday to gauge the health of the labor market.
On the brink of 5k
At Wednesday’s session high, the S&P 500 hit 4,999.89, putting it at a striking distance of the historic 5,000 threshold.
The S&P 500 first crossed and closed above 4,000 on April 21, 2021. If the large-cap benchmark hits 5,000, it will have taken almost three years to go the last 1,000 points.
S&P 500
— Yun Li
PayPal shares slide 5% on weak guidance
PayPal shares dropped more than 5% in extended trading after the payments company provided guidance for the full year and first quarter that fell just short of expectations.
The company anticipates full-year earnings of $5.10 per share, below the $5.48 analysts expected, according to LSEG. PayPal did beat estimates for fourth-quarter results.
— Yun Li
