A stock market update is an overview of the news and events impacting the global financial markets. These include news on the US markets, world markets, stocks, commodities and currencies. The news can come from anywhere including the business world, government agencies and the media. A stock market update is important for those who are invested in the financial markets because it outlines the key information needed to make informed investment decisions.
A major reason for the recent stock market decline was disappointing earnings and elevated levels of uncertainty. Disappointing earnings can cause investors to reassess future profit growth forecasts which in turn can lead to lower valuations for the company’s shares. Uncertainty can also drive down valuations because it makes it harder to know if the share price will increase or decrease in value.
The recent tax and spending legislation passed by Congress could be a major positive for the market. However, the prospect of significantly higher tariffs could dampen some of the positive effects of the tax cuts.
The broader market was up about 0.6% early Monday and the S&P 500 index reached an intraday high of 2,788. Micron Technology (MU) was up 2% after Citi raised its price target for the semiconductor manufacturer to $175 per share. Furniture maker Wayfair (W) dropped 7% after reports that the Trump administration may impose tariffs on the company’s foreign-made products. Opendoor Technologies (ODO) was up more than 7% after the online real estate platform named former Shopify executive Kaz Nejatian its new chief executive.
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