IN the kickstart video above, I take a technical look at the 3 major currency pairs – the EURUSD, USDJPY and GBPUSD. The greenback is falling vs each led by declines of over 1% vs the JPY.
The USD is lower vs all the major currencies. US yields are lower. Stocks are lower as markets react to Alphabet missing on revenues and AMD data center revenues missing. Both those company shares are sharply lower (-7% and -9% resspectively).and helping to drag down Nasdaq shares.
Looking at the major currency pairs, the snapshot of the USDJPY shows a decline of -1.02%. That is the biggest mover. The USD is also down -0.60% vs the NZD and -0.43% vs the AUD. Trump and Xi did not speak yesterday after 10% tariffs were applied to China (and Hong Kong too).
The EU warned that they would target US big tech with Trump announces tariffs on their goods.
Some of the key earnings from this morning showed:
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Uber Technologies (UBER) Q4 2024: EBITDA $1.842B vs. $1.849B (MISS), Revenue $11.96B vs. $11.77B (BEAT). Shares are down -6.45% in premarket snapshot
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Walt Disney Co (DIS) Q1 2025: EPS $1.76 vs. $1.45 (BEAT), Revenue $24.69B vs. $24.62B (MET).Shares are up 0.88% in the premarket snapshot.
After the close yesterday, Google missed on Revenues and cloud revenue was lower than expectations. AMD beat but data center revenue was less than expectations
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Advanced Micro Devices (AMD) Q4 2024: EPS $1.09 vs. $1.08 (BEAT), Revenue $7.66B vs. $7.53B (BEAT). Share are down -9.08% in premarket snapshot
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Snap Inc (SNAP) Q4 2024: EPS $0.16 vs. $0.14 (BEAT), Revenue $1.56B vs. $1.55B (BEAT). Sharea are near unchanged in premarket.
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Alphabet Inc (GOOGL) Q4 2024: EPS $2.15 vs. $2.13 (BEAT), Revenue $96.469B vs. $96.56B (MISS). Shares are dwn -7.07% in premarket snapshot
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Amgen Inc (AMGN) Q4 2024: EPS $5.31 vs. $5.08 (BEAT), Revenue $9.09B vs. $8.88B (BEAT). Shares are down -0.61% in premarket
US stocks closed lower yesterday with the Nasdaq and the Russell 2000 down over -1.20%. The recap from yesterday showed:
- Dow industrial average rose by 134.13 points or 0.30% at 44556.04
- S&P index rose 43.30 points or 0.72% at 6037.87
- NASDAQ index rose 262.06 points or 1.35% at 19654.02
- Russell 2000 rose 31.7 points or 1.41% at 2290.20
Today, the indices are trading lower:
- Dow industrial average -62 points
- S&P index down -26 points
- Nasdaq index down -170 points
In the US debt market, the yields are higher with the exception of the 2 year
- 2 year yield 4.188%, -2.5 basis points
- 5 year yield 4.270%, -4.6 basis points
- 10 year yield 4.464%, -4.9 basis points
- 30 year yield 4.699%, -4 point basis points
Looking at other markets to start the trading day:
- Crude oil is trading down $-0.82 or -1.13% and $71.88
- Gold is trading up and to new record highs. The current price is up $28.13 or 0.99% at $2869.67. The new all-time high reached $2877.04 today.
- Bitcoin is trading Below the $100,000 level at $98,164, that’s up marginally from the close yesterday
On the economic calendar:
- ADP national appointment will be released at 8:15 AM ET with expectations of 150K versus 122K last month
- US international trade for December is expected to show a deficit of $-96.6 billion versus $-78.2 billion last month. The goods trade balance showed a $-122.11 billion deficit a week or so ago as companies prepare for tariffs to come.
- Canada trade balance for December will also be released with a expected surplus of $0.75 billion. Last month the data showed a modest deficit of $-0.32 billion
- S&P global composite PMI data will be released at 9:45 AM. The preliminary came in at 52.4 for the composite. The service component was at 52.8
- ISM PMI index is expected to come in at 54.3 versus 54.0 last month
This article was written by Greg Michalowski at www.forexlive.com. Source