Big banks reported better-than-expected quarterly results, and Wall Street’s main indexes are set for a strong open on Thursday. This helped investors look away from inflations and focus on their investments.
These Banks and Firms Topped Market Expectations
Lenders Bank of America (NYSE:BAC), Wells Fargo (NYSE:WFC), and Citigroup (NYSE:C) were helped by the release of reserves to cover loan losses.
Morgan Stanley (NYSE:MS) also reported a more significant quarterly profit. It closed more deals and scored a record of $1.27 billion from advisory business.
S&P 500 and Nasdaq ended higher on Wednesday. Facebook Inc. (NASDAQ:FB), Microsoft (NASDAQ:MSFT), Amazon (NASDAQ:AMZN), Tesla (NASDAQ:TSLA), Apple (NASDAQ:AAPL), and Alphabet (NASDAQ:GOOGL) also pointed to a high open.
Chevron (NYSE:CVX) gained 0.9% and Exxon Mobil (NYSE:XOM) gained 1.3% as Brent crude reached 84% per barrel.
Additionally, UnitedHealth Group Inc. (NYSE:UNH) increased 2.8%. On the other hand, Domino’s Pizza (NYSE:DPZ) reported a 3.6% drop – a result of the lack of deliveries.
Based on this data, investors are looking at a good earning season. As David Swank, the Hood River Capital Management portfolio manager, stated, “…the valuations are not too bad.”
Overall, corporate America will likely report strong quarterly profit and growth. Still, companies have to manage rising costs, supply chain disruptions, and labor shortages.