Stock Groups

5 things to know before the stock market opens Thursday, Jan. 6


These are the top news, trends, and analyses that traders need in order to get started with trading.

1. Wall Street appears steady following Wednesday’s Fed-driven stock sell-off

Jan. 3, 2022, Traders at the NYSE

Source: NYSE

Dow futures crept higherHowever, Nasdaq futures fell on Thursday after a significant sell-off by the Federal Reserve. This was the first trading session drop of the year for Wall Street. Minutes of the Fed’s December meeting showed that central bankers were preparing to withdraw economic support faster than expected.

2. Fed sets the wheels in motion to begin reducing its huge balance sheet

Jerome Powell, Chairman Federal Reserve Board, waits to begin a hearing before Senate Banking, Housing and Urban Affairs Committee, Capitol Hill, November 30, 2021, Washington, DC.

Alex Wong | Getty Images

At its December meeting the Federal Reserve began to plan for reducing the balance of its bonds. Its members stated that such a reduction would be likely to begin sometime after central banks raise interest rates. That’s according to minutesFrom the Wednesday meeting.

  • The Fed is expected to raise interest rates starting in March. That would indicate that balance sheet cuts could occur before the summer.
  • The Fed declared plans to reduce its bond purchase volume after the December meeting.
  • The new year will see the first meeting of central bankers on January 26-27. Traders are eager to find out if the Fed alters its plans as Covid cases have risen due to the micron variant.

3. An investor receives data about jobless claims one day before December’s employment report

The job fair was closed by a job seeker who left the airport-related job at Logan International Airport, Boston, Massachusetts on December 7, 2021.

Brian Snyder | Reuters

4. Walgreens shares rise on earnings; Bed Bath & Beyond’s stock takes a hit

Walgreens in Oakland, Calif.

San Francisco Chronicle | San Francisco Chronicle | Hearst Newspapers via Getty Images

Dow stock Walgreens Boots AlliancePremarket shares rose by 3% after Walgreens reported on Thursday better-than expected fiscal first quarter earnings and revenues. Walgreens’ full-year outlook was also increased as more customers visited its locations for Covid vaccines testing and other services. Closed Wednesday, shares of the company closed at $54, an increase close to 1%. Stock has gained 30 percent over the last twelve months to close Wednesday at $54, bringing its market value up to nearly $46.7 million.

Customer shopping in a Bed Bath & Beyond store

Courtesy: Bed Bath & Beyond

Bed Bath & BeyondPremarket shares dropped nearly 2% after Home Goods Retailer, Inc. missed analyst expectations. Bed Bath & Beyond reported a loss when analysts had expected a break-even result. The revenue was lower than expected. The company’s CEO said a lack of inventory due to supply chain bottlenecks cost Bed Bath & Beyond about $100 million.

5. The CDC supports Pfizer booster shots in children between 12 and 15 as omicron surges

Atlanta, Georgia is home to the Centers for Disease Control and Prevention headquarters.

Reuters| Reuters

For children aged 12-15 years old, you are eligible now PfizerAnd BioNTechCovid booster shots are given to students as an additional protection in the face of an unusually high number of cases of infection. The Centers for Disease Control and Prevention, Wednesday recommendedFor younger adolescents, boosters should be given at the latest five months after receiving their second dose. Children infected by Covid in the United States are being hospitalized more frequently than ever before. This is because omicron spreads the disease to other people. According to the American Academy of Pediatrics, Covid has been infected with at least 7.8 millions children since 2001. According to CDC data more than 1,000 children have been killed by the virus.

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