Monday 16 April 2012

The US giants’ earnings – reflection of believe and disappointment

The first quarter’s earnings of the dominating US companies will be released this week and investors’ sentiments will determine further trends of the markets. Will the earnings be strong enough to feed public – public investors, and support the new heights of Americas Stock Indexes? Or will the indexes sag down reflecting investors’ disappointments along with new reproaches on insufficient stimulus?

The Dow Jones Industrial Average, the S&P 500 Index and the NASDAQ Composite Index reached new heights in March and the beginning of April. The highest value of the Dow Jones Industrial Average was 13297.11, the S&P 500 Index reached 1422.38 and the NASDAQ Composite Index reached 3123.03, reflecting the best performances since the financial meltdown in 2009. However, the last week showed weakness of optimism; therefore investors’ disappointment may send ripples through the markets.

According to the Reuters, the Citigroup will disclose the first quarter results on Monday, the performance of the Goldman Sachs, the Intel, the Yahoo, the IBM will be released on Tuesday, data of the eBay and industrial companies such as Halliburton and Textron will be presented on Wednesday, the Bank of America, the Morgan Stanley, the Microsoft will provide their financial statements on Thursday and Friday will reveal the GE and the Honeywell results.

So, what will triumph: believe in bright perspective of the companies or disappointment of the current economy state?

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