Nasdaq, S&P 500, Dow: Ford’s 6% Surge & Snap’s 32.3% Fall Shape Market Mood

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Published: Feb 7, 2024, 13:23 GMT+00:00

Amid Ford's impressive 6% jump and Snap's sharp 32.3% fall, market sentiment sways, underscoring the high stakes of corporate earnings and Federal Reserve decisions.

In this article:

DOW

+0.90%

S&P 500

+0.74%

Key Insights

Ford’s 6% premarket surge reflects positive investor response to dividend boost and EV strategy adjustment.
Snap’s 32.3% drop underscores the advertising challenge against tech giants, affecting sector sentiment.
S&P 500, Dow, and NASDAQ outlooks hinge on corporate earnings beat rates and Fed’s rate cut signals.

Corporate Earnings Stir S&P 500, Dow, and NASDAQ Amid Rate Cut Hopes

U.S. stock index futures were muted, reflecting investor reactions to corporate earnings and the ongoing anticipation for interest-rate cut insights. Ford surged 6% premarket after boosting its dividend and reducing electric vehicle investment, while General Motors rose 1.4%.

Conversely, Snap plummeted 32.3% due to advertising competition, impacting peers like Pinterest, down 3.8%. Uber’s optimistic forecasts didn’t prevent a 1.7% drop. Fortinet soared 9.5% after exceeding profit expectations, and Alibaba gained 1.3% following a share repurchase program expansion.

With most S&P 500 firms beating earnings estimates, market sentiment remains focused on future rate cuts despite the Fed’s hesitancy, affecting indices like the S&P 500, DOW, and NASDAQ.

SPX SP500 Price Forecast

SPX SP500 – Chart

The S&P 500 (SPX)‘s pivot point stands at $4,954.29, whereas, resistance levels are identified at $4,981.09, $5,011.06, and $5,045.10, suggesting potential hurdles in upward movement.

Support, conversely, is found at $4,927.85, with further cushions at $4,899.56 and $4,846.62, indicating areas where declines may halt. The 50-Day and 200-Day Exponential Moving Averages, at $4,893.13 and $4,743.85 respectively, bolster a bullish outlook, contingent on the index maintaining above the pivot.

This analysis underscores the S&P 500’s current stance, with investor eyes keenly on these pivotal levels for future direction.

Dow Price Forecast

DJIA Chart

The Dow on February 7th pivots at $38,399.81, having immediate resistance that lies at $38,555.30, with further hurdles at $38,669.70 and $38,784.81.

These levels delineate potential targets for upward movement. Conversely, support positions are established at $38,296.15, then $38,124.82, and deeper at $38,002.28, offering cushions against declines.

The 50-Day and 200-Day Exponential Moving Averages, positioned at $38,438.95 and $38,105.55 respectively, imply a bullish sentiment as long as the Dow sustains above its pivot. This suggests an anticipation of the index testing the $38,555.30 resistance in the near term.

NASDAQ Price Forecast

NASDAQ – Chart

The NASDAQ on February 7th shows a pivotal moment at a pivot point of $15,637.91. Resistance levels ascend from $15,746.27 to $15,904.66, reaching up to $16,107.50, marking potential ceilings for upward momentum.

Support begins at $15,523.98, with subsequent levels at $15,385.05 and $15,159.98, suggesting areas where price pullbacks may find a floor.

The 50-Day Exponential Moving Average (EMA) at $15,413.25 and the 200-Day EMA at $14,885.62 support a bullish sentiment, provided the NASDAQ remains above the pivot point. This technical outlook indicates an optimistic trend for the index, with a keen eye on these thresholds for direction.

For a look at all of today’s economic events, check out our economic calendar.

About the Author

Arslan Aliauthor

Arslan is a finance MBA and also holds an MPhil degree in behavioral finance. An expert in financial analysis and investor psychology, Arslan uses his academic background to bring valuable insights about market sentiment and whether instruments are likely to be overbought or oversold.

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