Equity markets are closed Thursday, and the bond market will close early (2pm) to honor the passing of former President Jimmy Carter.
US equities ended mixed on Wednesday in choppy trading, with the Dow up 0.25%, S&P 500 up 0.16%, Nasdaq down 0.06%, and Russell 2000 down 0.48%. The S&P and Nasdaq struggled to rebound after Tuesday’s decline. Treasuries were mostly firmer, with curve steepening; the 30-year Treasury auction was well received. The dollar index rose 0.4%, with sterling weakness standing out amid fiscal worries. Gold settled up 0.3%, while Bitcoin futures dropped 2.3%. WTI crude fell 1.3%.
Markets grappled with ongoing concerns about Trump 2.0 policy uncertainty, particularly around tariffs, and mixed economic signals. December FOMC minutes revealed cautious sentiment on rate cuts amid strong consumer spending and reduced labor market risks. Fed Governor Waller leaned dovish, but March easing odds remain below 50%. Economic data was mixed, with ADP private payrolls growing by 122K (below the 135K consensus) and initial jobless claims at 201K (below the 215K consensus). Treasury auctions saw strong demand for 30-year bonds, contrasting with weaker 3- and 10-year note auctions earlier in the week.
Company-Specific News by GICS Sector
Energy
- Exxon Mobil (XOM): Highlighted weaker-than-expected Q4 performance in upstream, refining margins, and downstream timing. Estimated a ~$700M earnings impact from lower oil prices. Shares fell 1.7%.
Healthcare
- Sana Biotechnology (SANA): Surged 160.6% on positive clinical results for type 1 diabetes treatment without immunosuppression, reporting no safety issues.
- Eli Lilly (LLY): Medicare to cover Zepbound for sleep apnea, potentially opening the door for broader weight-loss treatment coverage. Shares rose 1.8%.
- InMode (INMD): Dropped 8% on a negative Q4 preannouncement and FY25 revenue guidance below expectations due to headwinds in the aesthetics industry.
Information Technology
- Advanced Micro Devices (AMD): Downgraded by HSBC on concerns about competitiveness of its AI GPU roadmap, leading to a 4.3% decline.
- Palo Alto Networks (PANW): Downgraded by Deutsche Bank on shifting customer preferences, sending shares down 1.5%.
Consumer Discretionary
- Instacart (CART): Up 4.5% on a nationwide same-day delivery partnership with Ulta Beauty (ULTA).
Industrials
- MSC Industrial (MSM): Gained 3.5% on a fiscal Q1 earnings beat, supported by strong November sales.
- Jeld-Wen (JELD): Downgraded by UBS on concerns about the turnaround timeline, with shares falling 3.1%.
Materials
- Arcadium Lithium (ALTM): Climbed 8.2% after receiving CFIUS clearance for acquisition by Rio Tinto.
Financials
- Vir Biotechnology (VIR): Rose 58.2% on promising safety and efficacy data for solid tumor and mCRPC treatments in early trials.
Utilities
- Edison International (EIX): Fell 10.2% amid wildfires in Los Angeles requiring evacuation of over 80,000 residents.
- Constellation Energy (CEG): Reportedly nearing a $30B deal to acquire Calpine Corporation, pressuring shares down 4.6%.
Consumer Staples
- J.M. Smucker (SJM): Declined 1.9% after a downgrade by TD Cowen on concerns over Hostess integration and weaker Pet segment prospects.
- Cal-Maine Foods (CALM): Gained 1% after a Q2 beat, supported by higher egg prices and robust demand.
Communication Services
- eBay (EBAY): Up 9.9% after announcing a partnership to display listings on Facebook Marketplace in the US, Germany, and France.
Real Estate
- WK Kellogg (KLG): Dropped 6.7% following a TD Cowen downgrade over competitiveness in the breakfast cereal market.
Eco Data Releases | Thursday January 9, 2025
No releases scheduled for today
S&P 500 Constituent Earnings Announcements | Thursday January 9, 2025
US equity markets are closed today
Data sourced from FactSet Research Systems Inc.
