NEW YORK (awp international) – US stock markets were expected to open softer on Friday following the release of price data. About three-quarters of an hour before trading began, brokerage IG valued the Dow Jones Industrial down about 0.3% to 33,684 points. Before the release of US producer prices, the main index was still moderately positive. This indicates a weekly loss of a good two percent for the stock market barometer. The tech-heavy Nasdaq 100 is also expected to fall about 0.3% on Friday.
In the United States, producer price inflation eased less than expected. Producer prices increased by 7.4% in November compared to the same month last year. Analysts had expected an average rate of 7.2%. In the previous month, the rate was still 8.1%. The data could lead investors to question the effectiveness of the US Federal Reserve’s interest rate hikes in curbing inflation. They also do not suggest that the reins on interest rates will be relaxed in the near future.
Among individual stocks, Broadcom shares are worth a look, which recently rose 2.8% ahead of market. The semiconductor company posted strong results in its fiscal fourth quarter and expects fiscal first-quarter revenue of $8.9 billion, higher than the consensus. Additionally, Broadcom noted that demand from enterprise customers and the data center industry remains strong.
Netflix shares gained 2.5% ahead of market after US bank Wells Fargo upgraded the streaming service’s stock from ‘Equal Weight’ to ‘Overweight’ and raised its price target from $300 to $ 400. In his study released on Friday, analyst Steven Cahall is very optimistic for 2023 and expects lower customer churn and more stable subscriber numbers.
Lululemon shares fell 7.4% ahead of market after the release of company data. The sports and yoga apparel maker topped expectations for sales and earnings per share in its latest fiscal quarter, but gross margin fell short of analysts’ average estimate.
DocuSign shares are up more than 10% in premarket trading. The software company specializing in electronic signatures reported adjusted earnings per share for the fiscal third quarter that nearly quadrupled the average analyst estimate./edh/jha/
