Here Are 3 Hot Things to Know About Stocks Right Now
- The Dow Jones Industrial Average rose, led by JPMorgan Chase (JPM - Get Report) , which posted first-quarter earnings that topped analysts' forecasts.
- Chevron (CVX - Get Report) fell 5% after announcing it would buy Anadarko Petroleum (APC) for $33 billion in cash and stock. Anadarko soared 32%.
- Walt Disney (DIS - Get Report) climbed after unveiling its Disney+ streaming service. In addition, CEO Bob Iger said he plans to step down at the end of 2021 when his current contract ends.
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However, Loewengart added that "we're destined to see more than a few disappointments in the coming weeks."
"The earnings landscape does remain pretty uncertain and key fundamental indicators like retail sales and housing data have been showing pockets of weakness," he said.
Wells Fargo (WFC - Get Report) fell 2.6% to $46.49 after Chief Financial Officer John Shrewsberry told investors on a conference call that net lending revenue, one of the biggest earnings drivers, might drop this year.
He cited a potential increase in deposit rates, the sale of loans with high interest rates and the current state of U.S. markets, featuring a reduced gap between yields on short-term and long-term bonds. Since banks often rely on bond markets as a gauge for pricing loans and deposits, the result could be a smaller lending margin.
The factors look "a little bit softer," Shrewsberry said