Amazon and Apple Earnings Reports Help Stock Market Tick Upward
The impact of tariffs has companies worried, but both Apple and Amazon posted positive earnings reports.
Quick overview
- U.S. stocks are rising, with the Nasdaq gaining 1.52% and positive earnings from Amazon and Apple contributing to the upward trend.
- Amazon's stock increased by 3.13% after reporting significant growth in its advertising business, although its future guidance was slightly tempered.
- Apple's stock rose 0.39% following its earnings report but fell 3.24% in premarket trading due to concerns over high tariff expenses.
- The Chamber of Commerce is urging Trump to reconsider heavy tariffs, warning of potential irreparable harm to the U.S. economy and small businesses.
U.S. stocks are still climbing after a week of economic reports and Magnificent Seven quarterly earnings reports, which is good news for those worried about an impending recession.
The Nasdaq climbed the most on Thursday with a 1.52% gain. The S&P 500 added 0.63%, and the Dow Jones gained 0.21% as trading continued to improve across all stock indices. These indices were given a boost by promising earnings reports from Amazon (AMZN) and Apple (AAPL).
Quarterly Reports from Major Stocks
Amazon stock jumped 3.13% after the company issued its quarterly report, and the company showed significant growth in its advertising business, which increased by 19%. The company managed to beat estimates for both the top and bottom lines, however, its guidance for the current quarter was pulled back slightly with tempered expectations.
Apple managed to beat the estimates from Wall Street with its quarterly earnings report, and the company’s stock gained 0.39% on Thursday. In Friday’s premarket trading, however, the stock price fell 3.24%. The company is looking at massive tariff expenses around $900 million, and their Services division did not meet expectations.
Where Is the Stock Market Headed
The current week may end a little low for the stock market as earnings reports and economic reports are digested. Tariffs will continue to impact companies across the stock market, with many fearing higher tariffs in the near future, after the 90-day pause on new tariffs is over.
Even if the stock market manages to climb back up to where it was at the beginning of the year before Trump’s tariffs took effect, it will likely shoot back down as soon as the tariff pause is done. The Chamber of Commerce is asking Trump for a reprieve from heavy tariffs, with their request aimed particularly to help small businesses which will suffer the most from the taxes.
This request notes that irreparable harm could happen to the U.S. economy if a reprieve is not granted, and it speaks of the fears of many businesses about how they will be impacted by Trump’s ongoing trade war with China and his plans to tax imports heavily until tariffs have evened out.
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account
Related Articles
Comments
Sidebar rates
Related Posts
Save
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals