empty
07.02.2022 02:25 PM
US premarket on February 7: US stock market starts week slightly down

US stock index futures traded slightly lower on Monday morning after the S&P index showed its best week since January 1, 2022. This was supported partially by quarterly earnings reports and a strong US jobs report for January of this year which has exceeded expectations of economists. Dow Jones index futures contracts decreased by 51 points or 0.16%. The S&P 500 and Nasdaq 100 futures were down only slightly.

As for Friday's regular trading session, the S&P and Nasdaq Composite rose, showing the fifth positive session in the last six trading days. The Dow index fell by 0.06% but managed to show an increase of 1.05% for the week.

This image is no longer relevant

Investors will continue to monitor the reports to be released this week, although their volume is gradually declining. Among the Dow Jones components, Disney and Coca-Cola are of interest. Amgen, Take-Two Interactive, and On Semiconductor will release their statements today.

At the moment, 56% of S&P 500 companies have released their quarterly earnings reports, with 79% beating estimates and 77% beating earnings expectations. Inflation news will be more important. The US Department of Labor on Thursday will release data on the Consumer Price Index for January. Inflation is expected to increase by 7.2% on a yearly basis, which is the fastest hike since February 1982.

Against this backdrop, the US stock market is preparing for a response from the Federal Reserve. At the moment, markets are estimating a roughly 35% chance that the Federal Reserve will raise its key short-term interest rate by half a percentage point, or 50 basis points, as early as March 2022.

As for government bond yields, they were almost unchanged on Monday after rising sharply on the back of an unexpectedly strong January 2022 US nonfarm payrolls report. The yield on the 10-year bond is currently around 1.92%. According to the US Labor Department, 467,000 jobs were created in January, far more than economists had expected.

This image is no longer relevant

As for the premarket, there is high activity in Peloton stock, which rose on Monday after reports that Amazon and Nike may buy the manufacturer of interactive fitness equipment. The stock is already up by 25%.

Spotify slumped by 1.3% after the company said it disapproved of scandalous podcast host Joe Rogan for his racist statements, but would not remove his podcasts from the website. A number of American and non-American artists have previously asked Spotify to remove their music in protest against Rogan.

As for last week's gainers and fallers: Amazon stock jumped by 13.5% on Friday, and Snap stock skyrocketed by 58.8%. Facebook-Meta plummeted by 26% on Thursday after its quarterly report.

In general, investors continue to sell news and the market becomes more selective. There will be no more new cheap money, so high volatility will gradually return to normal. For now, however, the bear market will remain so, as it needs to find a firm bottom before the next jump to new all-time highs.

This image is no longer relevant

As for the technical picture of the S&P500

Today we may see another decline to $4,449, which may lead to increased demand and an attempt by buyers of the index to reverse the market and break through $4,536, which they failed to do last Friday. That would take the pair down to $4,598. A breakthrough that range would open a path to $4,665 and $4,722. If the price falls below $4,449, the pressure may return very quickly. In that case, we might see a decrease to $4,378.

Jakub Novak,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

Stock market on July 7: S&P500 and NASDAQ drop

Last Friday was a public holiday in the US, so trading was not conducted. However, today, at the opening of the Asian session, index futures declined while the US dollar

Jakub Novak 13:41 2025-07-07 UTC+2

Stock market on July 4: S&P 500 and NASDAQ hit fresh all-time highs

US stock indices closed higher yesterday. The S&P 500 rose by 0.83%, while the Nasdaq 100 added 1.02%. The Dow Jones Industrial Average advanced by 0.77%. During today's Asian trading

Jakub Novak 12:59 2025-07-04 UTC+2

Update on US stock market on July 4

S&P500 Snapshot of major US stock indices on Thursday: Dow: +0.8% NASDAQ: +1% S&P 500: +0.8% S&P 500 closes at 6,279, within a trading range of 5,900 to 6,400

Jozef Kovach 12:47 2025-07-04 UTC+2

Update on US stock market on July 3. SP500 and NASDAQ update their highs

The S&P 500 rose by 0.47%, while the Nasdaq 100 gained 0.94%. The industrial Dow Jones, however, slipped by 0.02%. Asian stock indices posted modest gains ahead of the upcoming

Jakub Novak 13:15 2025-07-03 UTC+2

US stock market: S&P 500 hits new record high

S&P500 Snapshot of major US stock indices on Wednesday: * Dow: +0.0% * NASDAQ: +0.9% * S&P 500: +0.5% * S&P 500 closed at 6,227, trading within a range

Jozef Kovach 13:15 2025-07-03 UTC+2

US equities: bulls steady, broader market leads

S&P 500 Overview on July 2 US market: bulls hold their ground, broader market leads The main US indices on Tuesday: Dow +0.9%, NASDAQ -0.8%, S&P 500 -0.1%. S&P

Jozef Kovach 13:04 2025-07-02 UTC+2

Update on US stock market on July 2. SP500 and NASDAQ enjoy buoyant demand

At the close of trading yesterday, US stock indices ended the day mixed. The S&P 500 declined by 0.11%, while the Nasdaq 100 fell by 0.82%. In contrast

Jakub Novak 12:48 2025-07-02 UTC+2

US market holds near highs

S&P 500 Overview on July 1 US market pauses at highs Major US indices on Monday: Dow +0.6%, NASDAQ +0.5%, S&P 500 +0.5%, S&P 500: 6,204, trading range: 5,700–6,300

Jozef Kovach 11:53 2025-07-01 UTC+2

Update on US stock market on July 2. SP500 and NASDAQ going on with steady growth

At the end of yesterday's trading, US stock indices closed higher. The S&P 500 rose by 0.52%, while the Nasdaq 100 gained 0.47%. The Dow Jones Industrial Average strengthened

Jakub Novak 09:52 2025-07-01 UTC+2

Update on US stock market on June 30. SP500 notches up new peak at 6,200. Inflation reports indicate stagflation

S&P500 The US stock market is ahead of a week of big news. The S&P 500 is eyeing 6,200 Snapshot of major US stock indices on Friday: Dow +1%, NASDAQ

Jozef Kovach 11:17 2025-06-30 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.