5 things to know before the stock exchange opens on Friday 29. April

Here are the key news, trends and analyzes that investors need to start their trading day:

1. Technology pushes the Wall Street premarket; data show that inflation is still high

Traders on the floor of the NYSE, April 28, 2022.

Source: NYSE

2. Amazon falls on ugly forecast and lowest growth since dot-com bust

Andy Jassy, ​​CEO of Amazon and then CEO of Amazon Web Services, speaks at the WSJD Live Conference in Laguna Beach, California, October 25, 2016.

Mike Blake | Reuters

Amazon fell about 10% in the advance market, following its announcement late Thursday of weaker-than-expected first-quarter earnings and lower forecasts. Revenue for the quarter increased by 7% year-on-year to $ 116.4 billion, which is in line with expectations. It was the slowest sales growth for some quarters since the dot-com bust in 2001 and the second consecutive quarter with single-digit percentage growth.

  • The Amazon Web Services cloud was strong again. But not strong enough to support the e-commerce side of the business, which received $ 6 billion in additional costs due to rising inflation, lower labor productivity and redundant fulfillment capacity.

3. Apple falls after warning of a massive hit due to supply constraints

Tim Cook, CEO of Apple Inc., will speak at the Peek Performance Virtual Event in New York, USA, on Tuesday, March 8, 2022.

Gabby Jones | Bloomberg | Getty pictures

Apple fell 1% in Friday’s advance market, the morning after the warning that supply constraints related to Covid could hurt sales by between 4 and 8 billion dollars in the third quarter. The guidance overshadowed strong financial results for the second quarter, including earnings, revenue and gross margin.

  • While analysts looked for a little more out of the Services segment, it still reported record revenues. Product sales had a record in March. Investors also received a 5% dividend increase and a $ 90 billion buyback approval. At the end of the quarter, Apple had a net cash position of $ 73 billion.

Musk sells about $ 4 billion in Tesla shares when he goes to buy Twitter

Elon Musk sold Tesla shares worth about $ 4 billion in the days following his $ 44 billion bid to take Twitter privately, according to registrations with the Securities and Exchange Commission. The bulk of the CEO’s sales were made on Tuesday, the registrations showed. Tesla shares fell 12% that day, but rose less than 1 percentage point on Wednesday.

When the submissions went public Thursday night, Musk wrote on Twitter, “No further TSLA sales scheduled for today.” Tesla’s share rose more than 1.5% in Friday’s advance market. Twitter shares climbed nearly 1% to more than $ 49 each, below the $ 54.20 cash offer from Musk.

5. Chevron, Exxon falls despite reporting strong earnings at high energy prices

Gas prices are displayed at a Chevron station June 14, 2021 in Los Angeles, California.

Mario Tama | Getty pictures

Shares of Chevron fell 1% in Friday’s advance market, after the oil giant reported that profits more than quadrupled during the first quarter on higher oil and gasoline prices. Chevron’s revenue rose nearly 70% to $ 54.37 billion. West Texas Intermediate crude oil futures rose to $ 130.50 in early March, a price last seen in 2008 when Russia’s invasion of Ukraine sparked fears of supply. Prices have since cooled, but are still above $ 100, which increases the energy companies’ operations.

Gas prices will be displayed on a petrol pump at an Exxon station in Washington on Tuesday, March 8, 2022.

Bill Clark | Cq-roll Call, Inc. | Getty pictures

Shares of Exxon Mobil fell 1% in the pre-market after the company’s Friday announcement that it took a cost of $ 3.4 billion after tax in the first quarter related to the Sakhalin-1 business in Russia. Earnings doubled to $ 5.5 billion in the quarter. However, profit fell from $ 8.87 billion in the fourth quarter. Revenue increased by more than 50% to $ 90.5 billion, even though it was below expectations.

– CNBC Tanaya Macheel, Jeff Cox, Annie Palmer, Jeff Marks, How Leswing, Zev Fima, Lora Kolodny, Christine Wang and Pippa Stevens contributed to this report.

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