Twitter and Intel Earnings Carry Nasdaq 100. APAC Shares to Open Combined

NASDAQ 100, HANG SENG, ASX 200 INDEX OUTLOOK:

• Dow Jones, S&P 500 and Nasdaq 100 indexes closed +0.07%, +0.20% and +0.66% respectively
• Each Twitter and Intel beat EPS estimates, however Intel’s ahead steering dissatisfied traders
• Asia-Pacific markets are positioned to open combined. Japanese markets are shut for a vacation

Twitter, Intel, Jobless Claims, Asia-Pacific at Open:

Wall Road equities edged towards all-time highs on Thursday as traders digested sturdy company earnings amid revitalized reflation hopes. Asia-Pacific markets nonetheless, could proceed to path behind US friends because of the unfold of the Delta variant of Covid-19 within the area.

The US earnings season has fared properly to date, with round 86% of S&P 500 firms beating analysts’ EPS forecasts. 22 out of 25 firms reported earnings on Thursday have delivered optimistic surprises, together with Twitter and Intel. Here’s a fast replace:

Twitter:

• EPS at $0.20, versus $0.064 estimate (189% greater)
• Income at $1.19 billion, versus $1.06 billion estimate (11.8% greater)
• The resumption of dwell occasions and elevated model commercial boosted 2Q outcomes amid reopening from Covid lockdowns. Pent-up demand amongst giant advertisers might persist in 2H

Intel:

• EPS at $1.28, in comparison with $1.065 estimate (20% greater)
• Income at $18.53 billion, in comparison with $17.84 billion estimate (4% greater)
• Intel’s share worth declined 2% after the corporate issued cautious steering on gross margins in Q3 as a consequence of provide constraints
• Whereas PC and server shipments could also be a brilliant spot, progress within the semiconductor phase stays lagging behind opponents resembling Nvidia and AMD

In the meantime, weekly preliminary US jobless claims information fell wanting expectations. Some 419ok unemployment claims have been filed final week, in comparison with a 350ok estimate. The earlier week’s determine was revised as much as 368ok from 360ok. A slower-than-expected restoration within the labor market could serve to assuage tapering fears as Fed officers monitor each inflation and employment figures to set financial coverage.

US Weekly Jobless Claims

Supply: Bloomberg, DailyFX

Asia-Pacific markets look set to finish the week on the again foot. Futures in Australia, mainland China, Hong Kong, Taiwan, Singapore and India are within the pink, whereas these in South Korea, Malaysia and Thailand are greater. Japanese markets are shut for a public vacation.

Trying again to Thursday’s shut, Four out of 5 Dow Jones sectors ended greater, with 46.7% of the index’s constituents closing within the inexperienced. Supplies (+1.26%) and data know-how (+1.08%) have been among the many greatest performers, whereas power (-1.00%) and financials (-0.99%) trailed behind.

Dow Jones Sector Efficiency 22-07-2021

Supply: Bloomberg, DailyFX

Nasdaq 100 Index Technical Evaluation

The Nasdaq 100 index is trying to breach a key resistance degree at 14,950 for a second time. A profitable try could open the door for additional upside potential, whereas a pullback could result in a check of the 20-Day SMA line for quick assist. The MACD indicator shaped a bearish crossover and trended decrease, suggesting that upward momentum could also be fading.

Nasdaq 100 Index – Day by day Chart

Cling Seng Index Technical Evaluation:

The Cling Seng Index seems set to rebound from a direct assist degree of 27,150, probably forming a “Double Backside” chart sample. The general development stays bearish-biased nonetheless, because the SMA strains have shaped a “Demise Cross” and trended decrease. The MACD indicator is about to kind a bullish crossover beneath the impartial midpoint, suggesting that near-term promoting strain could also be depleting.

Cling Seng Index – Day by day Chart

ASX 200 Index Technical Evaluation:

The ASX 200 index is buying and selling in a decent vary between 7,230-7,370, ready for contemporary catalysts for a breakout. The general development stays bullish-biased, as advised by the consecutive greater highs and better lows shaped over the previous few months. A significant resistance degree will be discovered at round 7,500. The MACD indicator is about to kind a bullish crossover, suggesting that bullish momentum could also be constructing.

ASX 200 Index – Day by day Chart

— Written by Margaret Yang, Strategist for DailyFX.com

To contact Margaret, use the Feedback part under or @margaretyjy on Twitter