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Below are AI-generated insights on today’s premarket moves, powered by MarketReader technology.

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Thursday, February 8, 2024

The overall market is currently experiencing high macro volatility.

Some of the largest moves in the market today include: S&P 500 Index (US) has experienced a move of +0.8%. Nasdaq 100 Index (US) has experienced a move of +1.0%. Oil (XTI/USD) has experienced a move of +1.4%.

U.S. jobless claims unexpectedly fell to 218,000 last week, suggesting continued labor market strength and potentially easing investor concerns ahead of today’s release of December Wholesale Inventories data.

Meanwhile, China reported a less-than-anticipated drop in producer prices but saw consumer prices fall by the most in over 14 years, indicating persistent deflationary pressures that could affect global markets.

Domestically, investors are also digesting corporate news with Disney’s stock buybacks following strong profits and ARM Holdings’ raised earnings forecasts contrasting PayPal’s cautious outlooks without full revenue guidance.

Additionally, there is anticipation around a $25 billion auction of 30-year bonds after robust demand at recent Treasury auctions despite inflation worries; this comes as political events such as the Supreme Court hearing on former President Trump’s eligibility for reelection loom large over future policy directions.

AI-generated summaries of notable premarket ETF moves:

USD/JPY | USD/JPY $149.44 +0.9%
The movement of USD/JPY’s price (+0.7%) may be influenced by several factors. The Bank of Japan (BOJ) suggests they will not aggressively hike rates, but expect economic recovery with a positive wage-inflation cycle strengthening. Uncertainty over outlook and achieving their price target gradually heightens likelihood for the JPY to move sustainably. BOJ’s Uchida highlights importance of short-term rate path and communication regarding bond buying operations for the JPY as well as market reaction to Chinese inflation data impacting currency correlations in forex markets.

ISHARES CHINA LARGE-CAP ETF | FXI $22.30 -1.5%
The iShares China Large-Cap ETF has declined -1.5% due to weaker-than-expected Chinese inflation, reflecting lower consumer spending. This may have negatively impacted stocks in the ETF sensitive to domestic demand in China. The correlated decline of Alibaba Group Holding Ltd (-2.07%) suggests potential interconnectedness within the Chinese market or specific factors impacting both companies simultaneously

AI-generated summaries of notable premarket stock moves:

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(Even if you don’t have an account, you can still see real-time summaries of the top 6 most unusual asset moves at the moment)

Globe Life Inc | GL $126.00 +2.9%
Financials, Life & Health Insurance
Globe Life Inc’s stock price has increased by +2.9% since the previous close, driven primarily by their strong Q4 earnings report and positive guidance for FY 2024. The company reported higher-than-expected EPS of $2.80 and revenues of $1.4B, surpassing estimates due to improved underwriting and investment returns in the insurance sector during a high-interest rate environment. This solid performance is consistent with Globe Life Inc’s trend of consistently beating estimated EPS results in past quarters. 

Walt Disney Co | DIS $107.25 +8.4%
Communication Services, Movies & Entertainment
Walt Disney Co’s stock price jumped +8.5% since the previous close due to better-than-expected Q1 earnings, with higher EPS of $1.22 and revenue of $23.55B beating estimates by 0.60%. The company also raised its FY24 EPS guidance by at least 20%, announced a $1.5B investment in Epic Games for an equity stake, increased dividend by 50%, and remains confident about future growth opportunities despite slight decrease in Disney+ subscribers. 

PayPal Holdings Inc | PYPL $57.78 -8.5%
Financials, Transaction & Payment Processing Services
PayPal Holdings Inc’s stock price dropped significantly after reporting Q4 earnings that beat expectations. However, the company’s flat profit forecast for 2024 disappointed investors who were hoping for growth under new CEO Alex Chriss. The focus on cost-cutting measures and restructuring plans contributed to the downward movement in PayPal’s stock price. 

Philip Morris International Inc | PM $89.02 -2.6%
Consumer Staples, Tobacco
Philip Morris International Inc’s price moved down significantly (-3.4%) since the previous close, potentially due to disappointing Q4 earnings and lower EPS guidance for FY 2024. Despite growth in smoke-free products, factors like supply chain disruptions and product introductions impacted operating income. The company expects a modest increase in adjusted diluted EPS for FY24. This underperformance may be contributing to weakness within the sector. 

Hershey Co | HSY $189.06 -2.8%
Consumer Staples, Packaged Foods & Meats
Hershey Co’s stock price decreased by -2.6% due to several factors influencing the company. In their Q4 earnings report, Hershey reported sales below estimates with flat revenue and non-GAAP profit compared to last year. Their EPS guidance for 2024 fell short of expectations, leading to a decline in the stock price. The company also declared an increased quarterly dividend but announced workforce cuts and cost-saving measures that could incur pre-tax costs between $200 million-$250 million.Hersheys’ performance analysis shows challenges from rising input prices,but strategic focus on marketing innovation productivity,and transformation are poised sustain market leadership.

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