Tuesday, January 21, 2014

Economic Journal - Tuesday, 1/21/2014

(As of 7:25 am PST)
 
Stocks are moving higher in early trade as investors looked to upbeat earnings and China news for direction.  Some big names have reported early this morning including Dow components Verizon, Travelers, and Johnson & Johnson before the opening bell.  Verizon beat earnings estimates, rising in pre-market trade before falling 1.5%.  Travelers Insurance posted record profits in the 4th quarter also beating analysts estimates.  Johnson and Johnson also beat on profits.  Despite the strong results, the 3 Dow stocks traded lower after the opening bell, causing the index to lag the Nasdaq and S&P500.  A lack of economic data in the US had investors looking overseas to developments in China.  News that China’s central bank has injected liquidity into large commercial banks reassured investors, sending Asian markets higher as well as most European indexes.  Gold is flat and oil higher while interest rates are unchanged.  It’s a very light week for new economic data which means we’ll be locked in to earnings announcements and other global news that may impact markets.   

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