Stock Market Today: Market Awaits Jobs Report as Tech Earnings Shake Up Sentiment
Market Indexes Hold Steady Ahead of Crucial Economic Data
As of Friday, February 7, 2025, the stock market is poised for a cautious opening as investors eagerly await the release of the January jobs report. The S&P 500, Nasdaq Composite, and Dow Jones Industrial Average are showing minimal movement in pre-market trading, reflecting the market’s anticipation of this crucial economic indicator.
Why is the market up today? Yesterday’s trading session saw mixed results, with the S&P 500 and Nasdaq Composite making modest gains of 0.4% and 0.5% respectively, while the Dow Jones Industrial Average experienced a slight dip of 0.3%. The S&P 500 closed at 6,083.57, the Nasdaq Composite at 19,791.99, and the Dow at 44,747.63.
Jobs Report in Focus
The Bureau of Labor Statistics is set to release the January nonfarm payrolls data at 8:30 a.m. ET. Economists polled by Dow Jones anticipate job growth of 169,000, a significant decrease from December’s 256,000 additions. This report is crucial for understanding the current state of the labor market and could significantly influence market sentiment and Federal Reserve policy decisions.
Tech Earnings Shake Up After-Hours Trading
After the closing bell on Thursday, several major companies reported their quarterly results, causing ripples in after-hours trading:
1. Amazon (AMZN): Despite beating earnings and revenue expectations, Amazon’s shares declined 4.1% due to weaker-than-expected revenue guidance for the first quarter.
2. Pinterest (PINS): The social media platform saw its stock surge 18.5% after reporting an 18% year-over-year revenue growth and a nearly 3% increase in monthly active users.
3. E.l.f. Beauty (ELF): The cosmetics retailer cut its full-year guidance, citing challenges from LA wildfires and reduced TikTok makeup tutorials, leading to a decline in its stock price.
Upcoming Market Events
Investors should keep an eye on these upcoming events that could impact market movements:
1. Consumer Sentiment: The preliminary Consumer Sentiment report for last month is due today, offering insights into consumer spending patterns.
2. Wholesale Inventories: December’s Wholesale Inventories report will be released, providing data on business inventory levels.
3. Earnings Reports: Companies including Fortive (FTV), Kimco Realty (KIM), Telus (TU), and Newell Brands (NWL) are scheduled to release their quarterly numbers today.
Major Stock News
Several stocks are making headlines and could see significant movement today:
1. Eli Lilly and Co. (LLY): Reported strong Q4 2024 results, with adjusted earnings per share of $5.32, beating estimates and rising 114% year-over-year.
2. Philip Morris International Inc. (PM): Q4 adjusted earnings per share increased 14% year-over-year, surpassing analyst expectations.
3. XPO Inc. (XPO): Exceeded earnings estimates with quarterly adjusted earnings of $0.89 per share, compared to $0.77 a year ago.
Global Market Outlook
Asian markets showed mixed performance, with the Hang Seng Index, Shanghai Composite, and Shenzhen Component indices posting gains, while Japan’s Topix and Nikkei indices declined. European markets are expected to open lower, influenced by the cautious sentiment ahead of the U.S. jobs report.
Conclusion
As we navigate through this pivotal trading day, the stock market news today centers around the anticipated jobs report and its potential impact on Federal Reserve policy. Investors are closely monitoring tech earnings and upcoming economic data releases. The market news today underscores the delicate balance between economic growth and inflationary pressures, which continue to shape market sentiment and drive stock performance.
Stay tuned for updates as the market news today unfolds, potentially answering the question on many investors’ minds: Why is the market up today? The jobs report and corporate earnings will likely provide crucial insights into the market’s direction in the coming weeks.
