Week Ending February 7th, 2024 
Market Moves 
Weekly Recap

• The NASDAQ led in gains. Stocks closed higher on Tuesday led by the tech heavy NASDAQ. The Dow Jones Industrial Average gained around 0.3%, while the benchmark S&P 500 rose roughly 0.7%. The Nasdaq Composite soared nearly 1.4%.
• Tariffs weighed on investors' minds. One of the biggest headlines to start the week was China's instant retaliation to US President Donald Trump's additional tariffs. Investors now worry over the potential risks of a trade war. China slapped tariffs of 15% on US coal and liquified natural gas, starting Feb. 10, alongside 10% duties on imports of crude oil, farm equipment, and some autos.
• WTI crude oil futures dropped 0.8%
• Yields dropped. The yield on the 2-year Treasury note dropped to 4.21%, while the 10-year yield was down to 4.51%.
• Alphabet shares tumbled. The parent company of Google’s Q4 earnings report beat on earnings per share and came in roughly on revenue. Google is under hot water as China opened an antitrust investigation into the company.
• Snap beat profit estimates. The social media app saw strength in its advertising platform in its recent quarter. Shares rose more than 14% in extended trading on Tuesday. 
• AMD posted an earnings beat and upbeat forecast. The chipmaker beat expectations on the top and bottom line and provided a better-than-anticipated Q1 forecast.
• Chipotle earnings met estimates, but shares dropped. The Mexican burrito restaurant chain reported a smaller-than-expected rise in fourth-quarter comparable sales on Tuesday. Shares were down 3% in extended trade after it also forecast dull annual comparable sales growth.
• Merck's sales forecast for 2025 disappointed. Shares of Merck slid on Tuesday after the drugmaker surprised Wall Street with a lower-than-expected 2025 sales forecast due partly to a pause in shipments of one of its top-selling products to China.

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“The U.S.’s unilateral tariff increase seriously violates the rules of the World Trade Organization,” China’s State Council Tariff Commission said in a statement. “It is not only unhelpful in solving its own problems, but also damages normal economic and trade cooperation between China and the U.S.”

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Most Active Stocks

• Palantir Technologies (PLTR)
• Snap (SNAP)
• Spotify Technologies (SPOT)
• Grab Holdings (GRAB)
• Alphabet (GOOGL)
• Advanced Micro Devices (AMD)
• Merck & Co. (MRK)
• PayPal Holdings (PYPL)
• Chipotle Mexican Grill (CMG)
• Tesla (TSLA)

Weekly Notables

Snap Soars on Earnings

Snap shares soared as much as 15% in after-hours trading on Tuesday after the company beat on both the top and bottom lines and guided to first quarter revenue that was ahead of expectations. The company expects revenue in the current quarter to come in between $1.33 billion and $1.36 billion. That's ahead of the $1.33 billion Wall Street was waiting for.

The company also sees daily active users reaching about 459 million, also ahead of the expected 458 million.

Palantir Shares Soar 24% to Record High

Palantir surged 24% to a record high after reporting stronger-than-expected fourth-quarter results and guidance driven by AI. Co-founder and CEO Alex Karp said the momentum within its commercial and government segments was “unlike anything that has come before.” The company reported 64% growth in its U.S. commercial revenue, while U.S. government revenue rose 45% year over year.

Earnings Spotlight: Walt Disney Company
Disney releases its Q1 2025 results early today. FactSet expects the company to report a 19% increase in earnings to $1.14 per share adjusted on almost 5% revenue growth to $24.67 billion. Analysts see entertainment revenue rising 11% to $11.09 billion. Experiences revenue is expected to increase 2% to $9.29 billion. FactSet predicts a 2% decline in sports revenue to $4.7 billion. The company recently announced a sports streaming deal with FuboTV.