Russian forces invade Ukraine – how are world markets reacting? 🌎
Thursday, 24th February 2022 by Gotrade
Hey Gotraders,
I am sure you have heard by now that Russia has officially invaded Ukraine earlier this morning. Grim news indeed.
Let’s take a look at how the global markets have responded. The figures below are as at the time of writing.
Dow futures are down 2.27%
S&P 500 futures are down 2.18%
Nasdaq futures are down 2.78%
Asian markets are down - Nikkei is down 1.81%, Shanghai is down 1.70%, HSI is down 3.21%
European markets are down - DAX is down 4.58%, FTSE is down 2.92%, CAC is down 4.60%
Gold has jumped to its highest level in more than a year
Bitcoin dropped over 8%
Prices of oil are up 7%
Why is this important? Jim Cramer seems to think that there will be an EPIC “snapback rally” if either inflation or the Russia-Ukraine situation eases up.
“For the market, it’s a two-front war: The one in Ukraine and the one where businesses are now in trouble if they don’t raise prices aggressively. ... Neither is intractable…. We get a break in either one of these - inflation or Russian aggression - then you’re going to get a snapback rally of epic proportions, the kind of rally we haven’t seen since 2020 when the kids stopped playing Call of Duty and started day-trading”- Jim Cramer.
It is always wise to have some cash as part of your portfolio for when opportunities arise.
📉 Twitter mistakenly took down posts on Russian military 🤦♂️
Twitter (TWTR) mistakenly took down around a dozen accounts that were posting about Russian military movements. The posts were taken down due to Twitter’s rules against synthetic and manipulated media, not because other users were complaining about misinformation or because it was a bot campaign.
“We’ve been proactively monitoring for emerging narratives that are violative of our policies, and, in this instance, we took enforcement action on a number of accounts in error… We’re expeditiously reviewing these actions and have already proactively reinstated access to a number of affected accounts” - Twitter.
Shares of Twitter closed at $32.76, down 23.21% year-to-date. Shares are down a further 4.21% in extended trading at the time of writing.
📉 Shares of eBay are down over 8% after earnings ⏬
Shares of eBay (EBAY) are down over 8% in extended trading after their earnings call. They met their revenue target of $2.61 billion as expected. Earnings beat analysts’ estimates. So, what happened?
Well.. they reported disappointing guidance. Analysts were expecting Q1 earnings of $1.08 per share, and revenue of $2.61 billion. eBay said they expected earnings of $1.01 to $1.05 per share and revenue to come in between $2.43 billion and $2.48 billion. Yikes!
The number of annual active buyers and sellers declined 9% and 8% respectively during the quarter.
Shares of eBay closed at $54.59, down 1.02% for the day. Shares were down a further 8.22% in extended trading at the time of writing.
Top movers & shakers 🎢
What else is making headline news 📰
Estee Lauder (EL) reportedly suspends executive John Demsey over Instagram post.
Gas is key in the Russia-Ukraine conflict — and supply could be disrupted around the world.
New Peloton (PTON) CEO says he’s not focused on raising prices, sees ‘very bright future’ ahead.
Google (GOOG) relaxes mandates, opens amenities as it prepares for workers to return.
Bipartisan lawmakers want Biden to tell Europe to stop ‘unfairly’ targeting U.S. tech companies.
Barclays (BCS) freezes ex-CEO's $29 million bonus as regulators probe links to Jeffrey Epstein.
Popular companies releasing earnings this week 💰
Thursday: Coinbase (COIN), Square (SQ), Moderna (MRNA), Beyond Meat (BYND), Nikola (NKLA), Main Street Capital (MAIN), AbCellera (ABCL), Osisko Gold (OR), BridgeBio Pharma (BBIO), Amwell (AMWL), Provention Bio (PRVB), Alibaba (BABA), Intuit (INTU), American Tower (AMT), Dell (DELL), Vale (VALE), Newmont (NEM), Dr Pepper (KDP), VMware (VMW), Autodesk Inc. (ADSK), Monster (MNST), American Electric Power (AEP), Occidental (OXY), CB Richard Ellis (CBRE), Public Service Enterprise (PEG), Telefonica (TEF), Edison International (EIX), Etsy (ETSY), Discovery (DISCK), Quanta Services (PWR), AES (AES), Plug Power (PLUG), American Homes (AMH), Iron Mountain (IRM), Enel Americas (ENIA), Morningstar (MORN), Carvana (CVNA), Universal Health (UHS), AEGON (AEG), Gaming & Leisure Properties (GLPI), CubeSmart (CUBE), NRG Energy (NRG), Norwegian Cruise (NCLH), Opendoor (OPEN), Farfetch (FTCH), DigitalOcean (DOCN)
Friday: Berkshire Hathaway (BRK.B), Anheuser-Busch (BUD), CIBC (CM), Sempra Energy (SRE), Li Auto (LI), Icahn Enterprises (IEP), Evergy (EVRG), Pinnacle West Capital (PNW), Qurate Retail (QRTEA), Cronos Group (CRON)
A company’s market value may fluctuate considerably around the time that the earnings report is expected to be published. Stock prices may rise or fall according to analysts' speculative estimates, released prior to the actual earnings announcement.
The earnings season can be a time of great opportunity since better-than-expected figures could cause a company’s stock to greatly increase in value. Worse-than-expected results could have the opposite effect.
That’s all from us for now.
Signing out,
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