Börse Express – New York shares Outlook: price jump at Meta gives tech rally new impetus

NEW YORK (dpa-AFX) – On the US stock market, technology stocks are likely to remain on the upswing on Thursday. The Nasdaq 100 index
was rated 1.7 percent higher at 12,574 points by the trading house IG three quarters of an hour before the start. After yesterday’s interest rate decision, there is still hope in the market that the US Federal Reserve will continue to take a less restrictive course in the fight against inflation. In addition, there was a jump in the price of Meta’s papers for a good mood.

The leading index Dow Jones Industrial on the other hand, the tech values ​​could also lag behind on Thursday. IG expects this stock market barometer to be slightly in the red.

The Fed had again slowed its pace of interest rate hikes in the middle of the week. In order to fight high inflation, further increases were promised. Market analyst Craig Erlam of trading house Oanda wrote that certain comments by Fed Chair Jerome Powell were well received by the markets: “One obvious comment was the statement that the disinflation process had begun.” The price level increase could therefore decrease.

All in all, according to Erlam, there was enough evidence to conclude that monetary tightening was almost complete and market expectations of another 0.25 percentage point hike and perhaps some rate cuts later in the year appear reasonable. Of course, there is still a lot of economic data until the next meeting in March, so that a lot can still change in this time.

More investor confidence in future business development, further share buybacks and cost reductions brought the Meta shares up a good 19 percent in pre-market trading. Analyst Brent Thill from the investment house Jefferies sees plenty of reasons to be optimistic about the new year in the Facebook group’s business figures for 2022. In a weak market environment, the platform performed strongly in terms of sales in the final quarter and growth did not slow down after adjusting for currency effects.

The Deutsche Post competitor Fedex
continues to turn the screw on costs. The number of management positions is to be reduced by more than ten percent, wrote CEO Raj Subramaniam in a statement to the workforce. This step is necessary in order to remain competitive in a rapidly changing environment. Fedex shares rose a good three percent premarket.

The pharmaceutical company Merck & Co should go into reverse gear in the current year after a strong increase in sales and profits in 2022. The board referred to the decreasing Corona tailwind. The shares fell more than one percent premarket./la/jha/

 ISIN  US2605661048  US6311011026  US78378X1072

AXC0217 2023-02-02/14:57

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