Shares rebound from low when investors respond to recent developments on customs; Dow becomes positive

Manufacturing extension threatened by higher tariffs

51 minutes ago

The manufacturing sector had its best month of more than two years in January. However, the improvement was not enough to reassure economists’ concerns about the effects of President Donald Trump’s trade policy in the manufacturing industry.

The Institute of Supply Management Manufacturing Sector Calchasing Managers Index for January moved over the 50% line for the first time in 26 months, indicating financial expansion in the sector.

The reading of 50.9% comes in higher than last month’s result of 49.2% and is slightly more than predictions from economists who were examined by The Wall Street Journal and Dow Jones NewSwires.

But the results are not included in Trump’s relocation to the collection of tariffs in Canada and China, which begins Tuesday and Customs in Mexico next month. The three countries represent approx. 40% of US imports.

“The manufacturing sector continued its positive momentum in January, but we expect this to be short -lived because of the trade war initiated by President Trump this weekend,” said Matthew Martin, senior US economist at Oxford Economics. “Our original modeling suggests significantly lower demand for goods, higher inflation and higher interest rates – all of which will weigh on the beginning recovery in the production.”

AndTerry Lane

Goldman -Inalysts say tariffs could be 5% blows for the S&P 500

1 hour 59 minutes ago

Goldman Sachs analysts modeled how tariffs could affect US markets, estimated that taxes can reduce the S&P 500’s fair value by approx. 5%.

Tariffs, they explained, will either shrink American profit margins by raising input costs or, if higher costs are transferred to consumers, slow sales. “We estimate that every 5PP increase in the US Toldrate would reduce the S&P 500 EPS by approx. 1-2%. As a result, if maintained, the tariffs this weekend announced that our S&P 500 EPS forecasts with approx. 2-3%, ”the analysts wrote in a note on Sunday.

In addition, duty is expected to support the US dollar strength. The international sales account for approx. 28% of S&P 500’s revenue and a stronger dollar eats in the value of this sale. However, the analysts note that the dollar’s influence on earnings may be limited, given that Canada and Mexico account for less than 2% of S&P 500’s sales.

The tariffs have reinforced financial and political uncertainty and threatened to undermine Wall Street’s appetite for risk. According to Goldman, the US economic political uncertainty index jumped on Friday to 502, its highest level since March 2020. Historically, this level of uncertainty has translated into a 3% reduction in the S&P 500’s forward P/E ratio.

As tariffs could both stake inflation and weigh economic growth, their influence on the Treasury is expected, especially on the long -term bonds that have the greatest effect on equities, to be minimal.

AndColin Laidley

What Wall Street thinks of Palantir prior to earnings Monday

3 hours 18 minutes ago

Palantir Technologies (PLTR) is set to report results in the fourth quarter after the market closes Monday, with analysts largely skeptical of whether the analysis software supplier’s stock can maintain its recent momentum.

None of the 13 analysts covering the stock track of visible alpha, expect the stock to rise further, with their consensus price of $ 50 is approx. 40% below its current level.

The stock fell 0.5% on about $ 82 in noon Monday. Palantir shares have received almost 400% over the past 12 months as demand increased for the company’s AI products.

Wedbush analysts who are more bullish on the stock than others who were examined by visible alpha, recently raised their price target to $ 90 from $ 75, saying they believe Palantir “has a path to become the next Oracle or Salesforce in the coming years, ”added they believe Wall Street is underestimating the revenue potential of Palantir’s artificial intelligence platform.

However, others like Jefferies, who on Thursday maintained a “underperform” rating and price targets of $ 28, have suggested that the stock deals with such a high prize that “any signs of breaking growth can cause concern.”

Palantir is expected to report revenue in the fourth quarter of almost $ 775 million, an increase of 27% year-over-year and a $ 83.51 million or 3 cents earnings. Share, down from $ 96.91 million or 4 cents per Stock, a year earlier. Earnings after adjustment are expected to rise 35% to $ 273.79 million or 11 cents per year. Stock.

In the third quarter, Palantir reported better than expected results and raised his revenue guidance for the last quarter of the year.

AndAndrew Kessel

Shares to see in February

3 hours 54 minutes ago

Shares increased in January, increased by encouraging inflation data, optimism about President Donald Trump’s pro-business agenda and the announcement of a major AI-Infrastructure Investment.

But the month was not without its road holes. The Trump administration broke the markets on the last day of the month with its plan to move forward with tariffs against China, Canada and Mexico, three of America’s biggest trading partners. Plus, technological investors were captured by the release of a surprisingly effective Chinese AI model that raised questions about the American models’ competitiveness and wisdom in Silicon Valley’s massive expenses.

Among the shares that investors will keep an eye on this month: NVIDIA (NVDA), Palantir (PLTR), Applovin (app), Allstate (All) and Oil Majors ExxonMobil (XOM) and Chevron (CVX).

Read the full article here.

AndColin Laidley

Constellation Brands sink as customs rates can hit beer sales

4 hours 32 minutes ago

Among the companies that feel the impact of the tariffs announced over the weekend is alcoholic beverages giant Constellation Brands (STZ).

The company’s shares that import model or Corona beer from Mexico were down almost approx. 2% in the latest trade after falling as much as 8% earlier in the session.

The potential impact of the sanctions led to Piper Sandler downgrading the stock to “neutral” from “overweight” and cutting the price target to $ 200 from $ 245, according to reports.

The sale of Mexican beer has been a major driving force for Constellation Brands’ recent results. Its Modelo is especially overtaken by Anheuser-Busch Inbev’s (Bid) Bud Light as the US’s best-selling beer in 2023.

Last month, Constellation Brands reported an increase of 3% years over years in beer sales in his accounting officer in the 2025 results, but wine and liquor income fell 14%. It also lowered its year -round prospects and warned that it looks more “normalized expenses” of consumers in the future.

Constellation Brands share sank to their lowest level of more than four years this morning.

AndBill McColl

Bitcoin levels to see when the price falls on customs news

5 hours 31 minutes ago

Bitcoin (BTCUSD) has fallen over concern over the potential effects of US tariffs imposed on products coming from Canada, Mexico and China.

Cryptocurrency’s award has cut out two peaks around the same level between December and January, potentially forming a double top, a classic card pattern that signalizes a lower turn.

Investors should monitor crucial support levels on Bitcoin’s chart around $ 92,000, $ 87,000 and $ 74,000, while also monitoring a key area near $ 106,000.

Bitcoin traded about $ 96,000 recently, down from last week’s heights of about $ 106,000.

Read the full technical analysis piece here.

AndTimothy Smith

Larger indexes on the track for lower open

6 hours 39 minutes ago

Futures tied to Dow Jones Industrial Average fell 1.3%.

The S&P 500 futures were 1.5%.

Nasdaq 100 futures fell 1.7%.