The US stock market in awe of the corporate reports

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Russian stock indexes closed the week in positive territory thanks to the growth in the mining, oil and gas and energy industries. By results of trades the Moscow exchange rose 0.32%. The best participant of the session on MICEX Russia was “NLMK” (MCX: NLMK) which was up by 2.34%. RusHydro (MCX: HYDR) added 1.56 percent, and Severstal (MCX: CHMF) – 1,52%. Today we should expect continued growth on these businesses on average by 2.1%.
Shares Safmar Finansovye Investitsii PAO (MCX: SFIN) fell to record lows, losing 4%. The gold futures for June delivery rose 0.11%. Oil prices in may rose by 0.79%, while the June contract for Brent crude gained 0.92 percent. You should also pay attention to the shares of “Yandex” – the company will continue an increase of +1.2%. The leader is “Sberbank”, which will grow by +1.7 percent. Rosseti will increase by 0.5%.
US shares rose in after-hours on Friday, with Industrials, basic materials and industries. At the close of the NYSE, the Dow Jones Industrial Average gained 1.03% while the S&P 500 index rose 0.66% and the NASDAQ Composite – on 0,46%.
JPMorgan Chase (NYSE: JPM) responded positively to the earnings season and reported above expectations. The share price increased by 4.6%. Wells Fargo (NYSE: WFC) fell 2.6%, as its revenues above consensus was overshadowed by the weakness in consumer lending. Investors also had to contend with more bad news. Interim CEO Allen Parker downgraded the Bank’s net interest income with a range from -2% to 2% to the range of -2% to -5%. He cited a lower forecast at the absolute rate, the smoother the curve and tighter spreads on loans.
At the same time, PNC Financial Services (NYSE: PNC) provided a linear income. The company increased its share by more than 3%. Many feared that profits for the first quarter will be one of the most difficult in recent years, but overall optimistic results appeared to cast doubt. Disney (NYSE: DIS) also contributed to the rally in the broad market, rising by 11.5%.
On Thursday, the company announced details about its new streaming service, Disney+. Has been made 52-week high in history – it made $130,90. When this service is unlikely to make a profit for at least five years and will cost $7.99 per month / $69,99 a year. While two thirds of sales of this service are expected on international markets. The subscription price is much lower than that of competitor Netflix (NASDAQ: NFLX) – that fell by 4.5%, crushed by Disney.
Not all of the market showed profit – energy stocks lagged behind, increasing by only 0.18 percent, as oil prices in the U.S. declined slightly after the increase in the number of drilling rigs. Shares of Anadarko (NYSE: APC) surged 32% after Chevron (NYSE: CVX) agreed to buy the company for $33 billion the very same Chevron fell by 4.9%. In the health sector, there is still uncertainty regarding the fate of the law on affordable medical care. There are fears that lawmakers can take steps to control drug prices, and it still affects the sector.
Gaidar Hasanov
“International financial center”