Stock Market Live May 28: S&P 500 (VOO) Set to Open Higher
This article will be updated throughout the day, so check back often for more daily updates. Never underestimate the power of low expectations. President Trump spooked investors last week when he threatened to impose a 50% tariff on imports from the European Union — then elated investors on Tuesday when he postponed imposition of the […] The post Stock Market Live May 28: S&P 500 (VOO) Set to Open Higher appeared first on 24/7 Wall St..
This article will be updated throughout the day, so check back often for more daily updates.
Never underestimate the power of low expectations.
President Trump spooked investors last week when he threatened to impose a 50% tariff on imports from the European Union — then elated investors on Tuesday when he postponed imposition of the tariff.
Confusing things further, the President told investors Friday that he was “not looking for a deal” with the recalcitrant EU, only to turn around Tuesday and say, no, in fact, he actually is planning to “quickly establish meeting dates” to discuss lowering tariff barriers and “open up the European Nations for Trade with the United States of America.”
The stock market roared ahead, with the Vanguard S&P 500 ETF (NYSEMKT: VOO) gaining 2%.
Today, the market looks to extend those gains as the Voo trades about 0.1% higher pre-market. It remains to be seen what new rabbits the President might pull out of his hat today. Meanwhile, investor focus may be switching to earnings…
Earnings
Abercrombie & Fitch (NYSE: ANF) leads off earnings reports today, announcing it has beaten expectations with $1.59 per share earned in Q1, $0.20 better than expected. The stock is up more than 28% pre-market.
Macy’s (NYSE: M) reported a smaller earnings beat, $0.16 per share in Q1, where analysts expected only $0.15. Macy’s stock is up almost 2%.
The bad news: Both companies cut guidance after reporting their beats. Abercrombie says Q2 earnings will fall below consensus and range between $2.10 per share and $2.30. Full year earnings will probably also miss the mark, ranging from $9.50 to $10.50. Macy’s warned that Q2 earnings could be as little as half the $0.33 Wall Street is expecting. For the full year, the company set a range from $1.60 to $2, well short of analyst forecasts.
Neither company is an S&P 500 component. That doesn’t mean their weak guidance won’t end up weighing on the index today.
Analyst Calls
In analyst action this morning, Baird just upgraded credit rater and S&P 500 component Fair Isaac Corporation (NYSE: FICO) to outperform with a $1,900 price target. Despite regulatory concerns, Baird declared: “We consider FICO Scores the best financial model we’ve seen,” and probably a product the market cannot do without.
The post Stock Market Live May 28: S&P 500 (VOO) Set to Open Higher appeared first on 24/7 Wall St..
