US stock markets lean on tech and finance

Published:  16 Apr at 4 PM

As reported by Market Watch, the American stock market’s recent drop may cause a full-fledged correction during the days ahead while the first-quarter earnings season goes into full swing. However, earnings may also be the vehicle for a rebound.

Phil Orlando, who is chief equity market strategist for Federated Investors, says earnings will begin kicking into gear. So far, he says, there have been four bellwethers which have all been beaten with good guidance.

Since everyone is beating the numbers, earnings are likely to be less key than future guidance, says Doug Roberts, who is chief investment strategist at Channel Capital Research.

Those already reporting symbolise the industrial, technology and financial services, key elements of the market economy, added Orlando. So, the market has kicked off to quite a good start, he explained, listing aluminium manufacturer Alcoa Inc. AA -3.15% , Google Inc. GOOG -4.06%  as well as banks Wells Fargo & Co. WFC -3.47% and J.P. Morgan Chase & Co. JPM -3.64% .

Technology and finance are expected to be well representative of the over 90 S&P 500 firms reporting results. On the technology front, Wall Street will be hearing from firms including Intel Corp. INTC -1.37%, eBay Inc. EBAY -0.93%, Qualcomm Inc. QCOM -2.43%, IBM -1.23%  and Yahoo Inc. YHOO -1.23%.