Updated from 8:53 a.m. EDT(At 4:10 p.m. EDT)
Trust me when I say the week will only get busier after that. Our weekly "Coming Week" piece, which will be posted on Saturday, will dive further into all the earnings reports scheduled for release the rest of the week and the current expectations for growth (or lack thereof). The economic calendar is pretty quiet on Monday, as the March read on leading economic indicators is the lone report due out. And that's it! Here's to a wonderful weekend. (At 7:32 a.m. EDT)
Citigroup's stock is jumping nearly 13% in the premarket session, but I'm not convinced that champagne corks should be popping yet. Are investors really that happy that Citigroup exceeded painfully low analyst estimates? Is a massive short-squeeze still carrying on? General Electric also reported better-than-expected earnings, beating the Thomson Reuters average estimate of 21 cents a share by a nickel. However, GE's first-quarter profit was down 35% from a year ago on a sharp drop in financial-service related revenue. GE said its capital finance division earned $1.1 billion in the quarter and "remains on track" to be profitable for the year, which is good news for those who feared reports were true that GE Capital will be required to raise new capital in the near term. However, profit at GE Capital fell 58% from a year ago, leading me to wonder just how strong the division is right now. Additionally, the company's NBC Universal division saw profit fall 45%. Shares of GE were up 3.5% early, though, so it appears that's of no concern to investors. Listen, my intent isn't to be a wet blanket on the good news. In all likelihood, I'm missing what everyone is cheering about. Send me an email to share your thoughts. I'd love to hear from you on both earnings reports.
After rallying 5% in Thursday's after-hours session, Google shares were lately down 0.6% before Friday's opening bell. The Internet giant reported a profit of $5.16 a share, compared to expectations for earnings of $4.93 a share. After deducting traffic acquisition costs, Google recorded $4.07 billion in revenue, roughly in line with estimates. So what happened to the rally in shares from last night? RealMoney.com contributor Bob Faulkner said that a comment by Google's management team on the conference call about how the second and third quarters were seasonally weak, and that they noted the company is still in "uncharted territory" is why the stock's gains deteriorated.