Markets Today: Stocks Plunge Amidst Cisco’s Earnings, Walmart’s Cautious Outlook Casts a Powerful Shadow

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Morning Markets Today: 

DecemberE-Mini S&P 500 futures( ESZ23) are down-0.06, and Dec Nasdaq 100E-Mini futures( NQZ23) are down-0.16. 

Stock indicator futures are slightly lower on some disappointing commercial earnings results. A-10 plunge in Cisco Systems in pre-market trading is leading technology stocks lower after it cut its full-time profit cast. 

Also, Walmart is down further than 3 after striking a conservative tone about the outlook for U.S. shoppers. Stock indicator futures recovered from their worst situations as bond yields fell when daily U.S. continuing severance claims rose to a nearly 2- time high, a pacifist factor for Fed policy. 

Stocks also have support after the Senate Wednesday night suggested 87- 11 to authorize a temporary backing measure to forestall a government arrestment. The bill will now be inked by President Biden. The measure will fund some corridors of the government through Jan 19 and others through Feb 2.

Markets Today: Stocks Plunge Amidst Cisco's Earnings, Walmart's Cautious Outlook Casts a Powerful Shadow

Daily original severance claims rose 13,000 to 231,000, showing a weaker labor request than prospects of 220,000. Also, daily continuing claims rose 32,000 to a 2-time high of 1.865 million, showing a weaker labor request than prospects of 1.843 million.

The U.S Nov Philadelphia Fed business outlook check rose 3.1 to 5.9, stronger than prospects of 8.0. 

The U.S. Oct import price indicators-petroleum fell -0.2 m/ m, just above prospects of -0.3 m/m.

On the positive side for stocks, Macy’s is up further than 10 in pre-market trading after reporting Q3 acclimated EPS well above the agreement and raising its full-time acclimated EPS cast. 

Also, DoorDash and BorgWarner are over more than 1 after being upgraded to buy. The requests are blinking a 5 chance for a 25 bp rate hike at the coming FOMC meeting on Dec 12- 13 FOMC and a 0 chance for that 25 bp rate hike at the following FOMC meeting on Jan 30- 31, 2024.

The requests are also blinking a 32 chance for a 25 bp rate cut at the March 19- 20, 2024, FOMC meeting and an 85 chance for that same-25 bp rate cut at the Apr 30- May 1, 2024, FOMC meeting. and European government bond yields moment are lower.

The 10-time T- note yield is down 7.4 bp at 4.457. The 10-time German bund yield is down-4.6 bp at2.598. The 10-time UK gilt yield is down 8.9 bp at 4.138.

Overseas stock requests are lower. The Euro Stoxx 50 is down 0.11. China’s Shanghai Composite Index closed down 0.71. Japan’s Nikkei Stock Index closed down 0.28.

Markets Today: Stocks Plunge Amidst Cisco's Earnings, Walmart's Cautious Outlook Casts a Powerful Shadow

The Euro Stoxx 50 moment is modestly lower as some disappointing commercial earnings results dampen request sentiment. Burberry Group Plc tumbled further than 8 after saying weaker demand for high-end goods may make its deals cast insolvable to attain. 

Also, HelloFresh SE dropped 10 after issuing a profit warning and cutting its full-time deals guidance. Technology stocks are also under pressure as Cisco Systems retreated after saying new product orders are decelerating.

China’s Shanghai Composite moment closed relatively lower. enterprises about China’s casing request counted on property stocks and undercut the overall request after the moment’s news that home prices in October fell at the fastest pace in 8-1/2 times. 

Also, disappointment that the meeting between U.S. President Biden and Chinese President Xi Jinping yielded only modest results counted on Chinese stocks. On the positive side, Chinese airline stocks rallied after both countries agreed to increase direct breakouts coming time significantly. 

China Oct new home prices fell -0.38 m/ m, the biggest decline in 8-1/2 times, and the fifth successive month home prices have fallen. Japan’s Nikkei Stock Index fell back from a 2- 2-month high and unrestricted relatively lower. 

Japanese stocks swung to losses moment as profit-taking passed after Wednesday’s sharp rally. Strength in the yearning counted on exporter stocks. Also, networking stocks retreated after Cisco Systems, the largest maker of computer networking outfits, cut its profit cast for the time.



Markets Today: Stocks Plunge Amidst Cisco's Earnings, Walmart's Cautious Outlook Casts a Powerful Shadow

The Nikkei Stock Index moment originally moved higher on better-than-anticipated trade news for October and a bigger-than-anticipated increase in Sep core machine orders. Japan Oct exports rose 1.6 y/ y, stronger than prospects of1.0 y/y. Also, Oct significances fell-12.5 y/ y, a lower decline than prospects of-12.8 y/y.

Japan Sep core machine orders rose1.4 m/ m, stronger than prospects of0.9 m/m. The Japan Sep tertiary indicator fell-1.0 m/ m, worse than prospects of-0.1 m/ m and the biggest decline in 6 months. Pre-MarketU.S. 

Stock Movers Walmart( WMT) tumbled further than 3 in pre-market trading, despite raising its full-time profit cast, after CEO Rainey said there was a “ sharper dent ” in deals in the last two weeks of October and that they’re “ more conservative on the consumer than they were 90 days agoneat this time. ” Cisco Systems( CSCO) sank further than 10 in pre-market trading after cutting its full-time profit cast to$53.8 billion-$55.0 billion from a previous cast of$57.0 billion-$58.2 billion, well below the agreement of$57.84 billion. 

Cybersecurity stocks fell in pre-market trading after Palo Alto Networks reported Q1 billings of $2.02 billion, weaker than the agreement of$2.08 billion. As a result, Palo Alto Networks( PANW) is down further than-6, Crowdstrike effects( CRWD) is down further than-3, and Zscaler( ZS), Fortinet( FTNT), and SentinelOne( S) are down more than-2. Children’s Place( PLCE) plunged further than 18 in pre-market trading after reporting Q3 acclimated EPS of$3.22, well below the agreement of$3.75.

Alibaba Group Holding( BABA) dropped further than 7 in pre-market trading after calling off a derivation of its pall business, condemning U.S. restrictions on the trade of advanced chips to China. 

Markets Today: Stocks Plunge Amidst Cisco's Earnings, Walmart's Cautious Outlook Casts a Powerful Shadow

Target( TGT) slid further than 1 in pre-market trading after TD Cowen downgraded the stock to request performance from outperform. Macy’s( M) jumped further than 10 in pre-market trading after reporting Q3 acclimated EPS of 21 cents, well above the agreement of zero cents, and raising its full-time acclimated EPS cast to$2.88-$3.12 from a former cast of$2.70-$3.20. DoorDash( DASH) rose further than 1 in pre-market trading after Deutsche Bank reinstated content of the stock with a steal recommendation and a price target of $125. Catalent( CTLT) climbed further than 2 in pre-market trading after Baird upgraded the stock to outperform from neutral with a price target of $53.

BorgWarner( BWA) gained further than 1 in pre-market trading after Guggenheim Securities upgraded the stock to buy from neutral with a price target of $41.   BILL effects( BILL) rose further than 1 in pre-market trading on signs of bigwig buying after an SEC form showed that Director Hornik bought $1 million worth of shares on Monday.

Earnings Reports(11/16/2023):

Applied Accoutrements Inc( AMAT), Bath & Body Works Inc( BBWI), Berry Global Group Inc( BERY), Copart Inc( CPRT), Dolby Laboratories Inc( DLB), Gap Inc The( GPS), Globant SA( GLOB), Macy’s Inc( M), Post effects Inc( POST), Ross Stores Inc( ROST), UGI Corp( UGI), Walmart Inc( WMT), Williams- Sonoma Inc( WSM), Woodward Inc( WWD).

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