Facebook stock prices can be found on the Nasdaq Stock Market in New York.
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wall street rally
Wall Street ended on a positive note Thursday. Major indexes regained gains from the previous session, but fell sharply in the previous session after the US Federal Reserve signaled that a March interest rate cut was unlikely. The Dow Jones Industrial Average (30 stocks) hit a new high and closed higher, wiping out the previous day’s losses. The S&P 500 rose 1.25%, and the tech-heavy Nasdaq also rose.
Rapid rise in meta
Shares in Facebook’s parent company Meta soared after the company received better-than-expected results and its first-ever dividend. The results showed that the company’s online advertising business continues to recover from a difficult 2022. Part of Meta’s financial recovery was also driven by Chinese retailers.
Apple’s China woes
Apple reported fiscal first-quarter profits that beat revenue and profit expectations. However, sales in China, one of its major markets, fell by 13% and the stock price fell in after-hours trading. Apple’s outlook also suggests weak iPhone sales.
Amazon bullish
Amazon offered an optimistic outlook for the first quarter after the company reported fourth-quarter results that easily beat expectations. Amazon Web Services’ fourth quarter sales he increased 13%, matching Wall Street forecasts. Shares soared 7% in after-hours trading.
[Pro] Ford rises to the top
Morgan Stanley analyst Adam Jonas said the investment bank named Ford the top choice among U.S. automakers. He added that cutting back on planned spending on electric vehicles could actually help Ford impress Wall Street investors.
It was a hugely profitable day for Big Tech companies.
Three “Magnificent 7” results dominated the headlines: Meta, Amazon, and Apple.
Wall Street appears to have been particularly impressed by the performance of Facebook’s parent company Meta.
Meta shares rose 15% after the social media giant missed analyst expectations. Fourth-quarter earnings of $5.33 per share and revenue of $40.11 billion exceeded expectations. The company also announced its first-ever dividend payment, pegged at 50 cents.
Investors also rejoiced as Amazon’s earnings easily exceeded Wall Street expectations. The e-commerce giant also gave a solid outlook for the current quarter. Shares rose 7% in extended trading.
“This fourth quarter was a record holiday shopping season, capping off a strong 2023 for Amazon,” CEO Andy Jassy said in a statement. “As we enter 2024, our team is rapidly achieving results and we have a lot to be excited about in front of us.”
But Apple didn’t receive the same treatment despite their impressive results.
It also exceeded expectations and reported an increase in sales for the first time in a year. However, the tech giant’s shares fell more than 2% in extended trading after sales in China fell by 13%. Apple’s outlook, which suggests weak iPhone sales, may also have disappointed investors.
Well, this marks the end of earnings season for big tech companies.
Investors’ focus will shift to other indicators as January’s U.S. jobs report is released on Friday, looking for clues about the strength of the labor market and the broader economy.
—CNBC’s Jonathan Vanian contributed to this report.