The Stock Exchanges in New York Started Trading With Small Profits on Tuesday

The stock exchanges in New York started trading with small profits on Tuesday. Investors on Wall Street are again processing different quarterly results from large companies.

 

There was also news about the telecom merger between Sprint and T-Mobile US and the market is responding to the bi-annual testimony of Fed-presenter Jerome Powell for the congress.

Shortly after the opening bell, the Dow-Jones index was 0.3 percent higher at 29,369 points. The broad-based S&P 500 rose 0.5 percent to 3367 points, and technology grant Nasdaq won 0.5 percent to 9678 points.

Toymaker Hasbro, among others, opened the books. The share won 6 percent after strong sales in the festive period. Under Armor lost almost 16 percent in value.

The sportswear brand boosted its sales in the last quarter of 2019, but frightened investors with the forecast that revenues would fall this year. Among other things, the company expects weakness in the American home market and China affected by the new coronavirus.

Telecom company Sprint shot up more than 74 percent in the first trading minutes. A court in New York sees no objection to the takeover of the company by the American branch of T-Mobile, whose share increased by more than 10 percent. This makes the fusion almost complete. Several American states tried to prevent the merger in court from competition concerns.

Powell explained the monetary policy of the Federal Reserve for American people representatives. He said that the current interest rate policy is appropriate.

At the same time, he indicated that the American umbrella organisation of central banks is closely monitoring the economic impact of the new coronavirus. Last week, the Fed already labelled the epidemic in China as a new risk to the US economy.