S&P 500 rises as stocks end mixed after Fed signals rate hike path
Retail sales jumped 3.8% in January
National Retail Federation CEO Matt Shay discusses the surge in retail sales and weighs in on inflation and labor shortages.
U.S. stocks ended the session mixed after Federal Reserve officials noted red-hot inflation and a tight labor market will likely warrant faster-than-expected rate hikes.
The Dow Jones Industrial Average fell over 57 points or 0.16%, the Nasdaq Composite slipped 0.11%, while the S&P 500 pushed out a small gain. All three of the major averages closed well off the lows of the session after the details from the Fed's last meeting were released. Earlier, retail sales jumped 3.8% in January, month over month after unexpectedly falling 2.5% in December based on the revision. Excluding the automotive component, spending increased 3.3% in January, a rebound from December’s 2.8% drop.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| I:DJI | DOW JONES AVERAGES | 43305.83 | -83.77 | -0.19% |
| SP500 | S&P 500 | 5908.52 | +14.90 | +0.25% |
| I:COMP | NASDAQ COMPOSITE INDEX | 18923.154241 | +131.35 | +0.70% |
Investors also continued to monitor tensions between Russia and Ukraine after NATO reported that Russia was not easing its military presence around Ukraine.
INFLATION'S GRIP TIGHTENS IN MOUNTAIN STATES, MIDWEST AS CONSUMER PRICES SURGE HIGHER
Oil remained at $93 per barrel, giving a lift to ExxonMobil and Chevron.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| USO | UNITED STATES OIL FUND - USD ACC | 72.07 | +2.32 | +3.33% |
| XOM | EXXON MOBIL CORP. | 118.69 | -1.65 | -1.37% |
| CVX | CHEVRON CORP. | 160.76 | +0.97 | +0.61% |
In earnings, Airbnb shares rose after the company reported a rebound in business, with most bookings at the travel rental company coming in for four days or longer.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| ABNB | AIRBNB INC. | 131.59 | -0.60 | -0.45% |
Robolox shares fell after reporting a 25-cent loss missing the 13-cent profit Wall Street was expecting. Revenue of $770 million also fell short of Wall Street estimates.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| RBLX | ROBLOX CORP. | 52.18 | +1.15 | +2.25% |
Shopify tumbled after disclosing revenue growth will slow in 2022 after jumping 57% in 2021 as COVID lockdowns drove business.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| SHOP | SHOPIFY INC. | 105.88 | -2.61 | -2.41% |
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Kraft Heinz saw its shares rise after delivering a better-than-expected quarter and said revenues this fiscal year will be as much as $6 billion, higher than Wall Street's $5.8 billion estimate.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| KHC | THE KRAFT HEINZ CO. | 31.07 | -0.07 | -0.22% |
After-the-bell earnings include reports from Dow member Cisco Systems, insurer AIG, chipmaker Nvidia and semiconductor equipment maker Applied Materials.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| CSCO | CISCO SYSTEMS INC. | 57.31 | -0.15 | -0.26% |
| AIG | AMERICAN INTERNATIONAL GROUP INC. | 76.31 | +0.54 | +0.71% |
| NVDA | NVIDIA CORP. | 144.09 | +3.94 | +2.81% |
| AMAT | APPLIED MATERIALS INC. | 170.73 | +1.85 | +1.10% |
In other news, shares of Trump SPAC Digital World Acquisition rose as the platform readies a kickoff.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| DWAC | NO DATA AVAILABLE | - | - | - |
WHOLESALE PRICES JUMP AGAIN – FURTHER EVIDENCE OF RED-HOT INFLATION
Bitcoin traded around $44,000.
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FOX Business' Ken Martin and The Associated Press contributed to this report.