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30.07.2021: Forex Analysis & Reviews: Weak economic data did not prevent the growth of US stock indicators

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The Dow Jones Industrial Average rose 153.6 points (0.44%) to 35,084.53 points. During the trades, it reached a session record at the level of 35171.52 points. Standard & Poor's 500 gained 18.51 points (0.42%), ending trading at 4419.15 points. During the session, the indicator rose to 4429.97 points. Nasdaq Composite added 15.68 points (0.11%) at the end of trading and amounted to 14778.26 points.

Facebook Inc. stock quote decreased yesterday by 4%. The American company, which owns the world's largest social network of the same name, doubled its net profit and revenue by 56% in the second quarter.

Ford Motor Co. have risen in price by 3.8%. The American automaker unexpectedly posted a net profit in the second quarter of 2021, although the figure was half of the year earlier.

PayPal Holdings fell 6.2%. The American payment system in the 2nd quarter of 2021 reduced its net profit by 23%, but increased revenue, while the company's forecast for the current quarter did not meet the expectations of experts.

American MasterCard Inc. added 1.4% in price. One of the largest payment systems in the world in the 2nd quarter of this year increased its net profit by 46%.

The market value of Comcast Corp. increased by 0.2%. The largest US Internet service provider and cable TV operator increased its net profit in the 2nd quarter of 2021 by 25.1%, increased its revenue by 20.4%, while the results exceeded market expectations.

Shares of the American Qualcomm Inc. jumped 6%. One of the world's largest manufacturers of semiconductor components more than doubled its net profit in the third quarter of the current fiscal year.

Capitalization of Merck & Co. decreased by 1.8%. The US-based pharmaceutical company cut its net income by about half in the second quarter of 2021, with an adjusted figure in line with forecasts and a revenue that exceeded market expectations.

Hilton Worldwide Holdings gained 3.8%. The American hotel chain returned to net income in the 2nd quarter of 2021, with the adjusted figure exceeding market expectations, while the revenue fell short of forecasts.

Hershey Co. increased by 1.1%. The American chocolate maker increased its net income by 12% in the second quarter, on an adjusted figure and revenue that beat analysts' expectations.

Keurig Dr Pepper Inc. lost 1.1% in price. The American manufacturer of soft drinks, tea, coffee, as well as coffee machines and components in the 2nd quarter increased its net profit by one and a half times.

Capitalization of Uber Technologies Inc. fell 3.1% on reports that Japan's SoftBank Group Corp. sells a third of its stake in an American company.

Didi Global Inc. jumped 11.2% in New York trading, but price increases slowed after the operator of China's largest online taxi service denied media reports that it could become a private company again. The rise in quotations during the preliminary trades reached 45%.

The shares of the American manufacturer of electric trucks Nikola Corp. plunged 15.2% on news that company founder Trevor Milton was accused of securities fraud. According to the indictment issued by the Manhattan District Attorney's Office, Milton misled investors about the company's products and technologies.

Robinhood Markets Inc., the operator of the stock market trading platform, fell below its IPO during its debut trading. Robinhood yesterday held an IPO on the Nasdaq stock exchange for $ 2.1 billion. The company and its shareholders sold a total of 55 million shares at a price of $ 38. Thus, the placement took place at the lower border of the previously announced price range - $ 38-42. At the opening of the market on Thursday, quotations were also $ 38, but by the end of trading they dropped to $ 34.82.

Investor optimism regarding the corporate reporting season in the United States and the Federal Reserve's (Fed) promise to adhere to a soft monetary policy outweighs the risks associated with the increase in the incidence of coronavirus, writes Trading Economics.

The US economy grew 6.5% in the second quarter at an annualized rate, preliminary data from the US Department of Commerce show. GDP in the 1st quarter, according to revised data, grew by 6.3%. Earlier it was reported an increase in this indicator by 6.4%.

The number of Americans applying for unemployment benefits for the first time last week decreased by 24 thousand - to 400 thousand people, according to a report by the US Department of Labor. A week earlier, the number of requests was 424 thousand, and not 419 thousand, as previously reported. This was the highest rate in the last 2 months.

The decrease in the number of applications suggests that the spread of the new COVID-19 delta strain has not yet had a significant negative impact on the economy, MarketWatch notes.

The Federal Reserve said following the July 27-28 meeting that the American economy continues to recover despite the renewed increase in the incidence of COVID-19 and the central bank does not intend to rush to curtail incentives.

Thomas Frank,
Chuyên gia phân tích của InstaForex
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