Halliburton and Kimberly-Clark are among the many corporations that reported better-than-expected quarterly outcomes on Monday morning. Their shares rose 1.6% and 5.3%, respectively.
Up to now, nearly all of company earnings studies have topped expectations. FactSet knowledge exhibits 76.5% of the S&P 500 corporations which have posted earnings have surpassed analyst estimates. Analysts got here into the season with low expectations for the season, forecasting a 4.2% drop in earnings.
“Contemplating the bar has been set very low for first-quarter earnings, the chances are any surprises could possibly be on the upside,” mentioned Bruce Bittles, chief funding strategist at Baird, in a be aware. “Traditionally, shares have performed greatest when earnings positive factors have been modest versus when earnings development has been sturdy.”
The broader market additionally fell after the South China Morning Put up reported China’s policy-making committee will pursue structural adjustments to its economic system, moderately than add stimulus. Chinese language shares closed sharply decrease in a single day, with the Shanghai Composite dropping 1.7% whereas the Shenzhen A Shares index declined 1.5%.
Wall Road additionally targeted on the oil market as U.S. crude rose 2.2% after the Trump administration mentioned it is not going to enable the acquisition of Iranian oil by some international locations. The transfer might take about 1 million barrels per time out of the oil market. Vitality shares rose together with oil costs. The Vitality Choose Sector SPDR Fund (XLE) traded 1% greater, led by Marathon Oil and Apache.
On the info entrance, present dwelling gross sales for March are anticipated at 10 a.m. ET.
—CNBC’s Holly Ellyatt contributed to this report.