5 things you should know before the stock market opens on Wednesday, January 31 | Top Vip News

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Here is the most important news investors need to start their trading day:

Nasdaq-100 futures fall, Alphabet and Microsoft shares fall after results

1. Read the tea leaves

Wall Street waits with bated breath to hear what The Federal Reserve will say Wednesday on interest rates. He S&P 500 closed almost flat on Tuesday before the announcement, while the Dow Jones Industrial Average rose 0.3% and the Nasdaq Composite fell 0.6%. Investors are not necessarily expecting a big change in rates at this meeting. In fact, the federal funds futures market has priced in a 97% chance that the central bank will leave rates unchanged. Instead, they are more interested in the post-meeting statement the Fed will release and what it means for the future of the bank’s policy. For now, follow the live market updates.

2. Not good enough

European telecommunications companies argue that large Internet companies, mainly American, have built their businesses thanks to multibillion-dollar investments they have made in Internet infrastructure.

Blessed Zawrzel | Nurfoto | fake images

It was fine, just is not sufficient. Both Alphabet and microsoft saw its shares sell off in extended trading on Tuesday despite reporting revenue and earnings that beat expectations. Alphabet Shares fell about 6% as the company reported disappointing advertising revenue of $65.52 billion fell short of the $65.94 billion StreetAccount analysts were forecasting. YouTube also fell short of expectations, but Google Cloud was a bright spot, expanding 26% in the fourth quarter compared to a year earlier. microsoft Meanwhile, shares initially fell more than 2%, although they recovered some of those losses. Microsoft said in a statement that its revenue increased 17.6% year over year, although its outlook was somewhat rosy. Its Intelligent Cloud segment exceeded analyst expectations and revenue from Azure and other cloud services grew 30%.

3. Boeing explosion

A person walks past an unpainted Boeing 737-8 MAX parked at Renton Municipal Airport, next to the Boeing factory in Renton, Washington, on Jan. 25, 2024.

Jason Redmond | AFP | fake images

boeing reported a smaller loss than expected for the last three months of the year, but its future is still unknown. The company reported an adjusted per-share loss of 47 cents versus the 78 cent loss analysts had expected. Aircraft demand and deliveries increased during the same period. But the report comes weeks after a door plug exploded on a Boeing 737 Max 9 flying at 16,000 feet, leaving a gaping hole in the side of the plane. The company did not provide an outlook for 2024. But investors are eager to hear from the plane maker how the explosion could impact the industry while the incident is under federal investigation. “While we often use this time of year to share or update our financial and operational goals, now is not the time for that,” Boeing CEO Dave Calhoun said in a message to employees.

4. UPS down

A United Parcel Service delivery truck in San Francisco, California.

fake images

UPS is eliminating 12,000 jobs. Chief Executive Carol Tomé said the layoffs will save the shipping giant around $1 billion in costs and that 2023 was a “unique, and quite frankly, difficult and disappointing year.” UPS shares fell more than 8% on Tuesday as the company missed Wall Street’s revenue estimates. UPS also reported a drop in domestic and international shipment volume, with Tomé citing weakness in Europe as well as turmoil in the Red Sea region and the Panama and Suez canals contributing to the decline.

5. Too much?

Tesla and SpaceX CEO Elon Musk reacts during a conversation with British Prime Minister Rishi Sunak in London on November 2, 2023.

Kirsty Wigglesworth | Reuters

A Delaware judge overturned Elon Musk’s $56 billion tesla compensation on Tuesday, agreeing with a plaintiff that Musk’s pay package was inappropriately set by the board. The compensation plan Tesla awarded to Musk in 2018 was unprecedented, and the judge noted it was the largest in public company history. It also made Musk the richest person on the planet. But Chancery Court Chancellor Kathaleen McCormick said in a 200-page ruling that Tesla did not demonstrate “that the compensation plan was fair” or provide much evidence that its members had even negotiated with Musk. She said the plaintiff in the case has the right to termination. Tesla shares fell about 3% in after-hours trading after the decision was announced.

— CNBC’s Brian Evans, Ashley Capoot, Ari Levy, Jordan Novet, Leslie Josephs, Laya Neelakandan, Dan Mangan and Lora Kolodny contributed to this report.

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