Dow Jones futures rose slightly Friday morning, along with S&P 500 futures and Nasdaq futures, while the Bitcoin price plunged below $50,000 overnight. Intel stock, Snap (SNAP) and Apple supplier Skyworks Solutions (SWKS) were key movers on news.
The stock market rally reversed lower Thursday on widespread reports that President Joe Biden will propose nearly doubling the top capital gains rate on the wealthy to 43.4%.
While the negative reversal is never good to see, the Dow Jones, S&P 500 and Nasdaq didn’t suffer too much damage from the Biden capital gains tax hike plan. However, the Bitcoin price continued to retreat from record highs.
Intel (INTC), Snapchat parent Snap, Mattel (MAT) and BJ’s Restaurants (BJRI) headlined key earnings reports after hours. Apple (AAPL) supplier Skyworks bought a Silicon Labs (SLAB) division to expand deeper into automotive chips.
Intel, Snap Earnings Movers
Snap, Intel, Mattel and BJ’s Restaurants all beat earnings views.
Intel stock fell 2.5% before Friday’s open, amid weak data center chip sales and mixed Q2 guidance. Shares declined 1.8% to 62.57 on Thursday, undercutting the 50-day line.
Snap stock rallied 5% overnight, signaling a move back above its 50-day line. Shares fell 2.1% to 57.09 on Thursday. Snap stock has a 65.96 cup-with-handle base buy point. Pinterest (PINS), Facebook (FB) and Twitter (TWTR) all climbed slightly overnight. FB stock dipped just below a buy point Thursday while PINS and TWTR are consolidating but are currently below their 50-day lines. All three social giants report earnings next week.
Mattel stock jumped 5% in premarket trade. The could push MAT stock over a 21.97 flat-base entry. Shares closed up 0.1% to 20.88. Mattel stock has been finding support at its 50-day line for several weeks.
BJ’s stock climbed 3% in extended action. Shares of the pizza and brew pub chain rose 2.1% to 60.42 on Thursday, rebounding from the 21-day and 50-day lines. BJ’s stock has a 63.52 flat-base buy point, but could have an early entry with a positive post-earnings move.
Skyworks Buys Silicon Labs Unit
Skyworks stock popped 4% to 190 while SLAB stock surged 12% to 162.50. It will buy Silicon Labs’ Infrastructure & Automotive business for $2.75 billion cash, deepening its exposure to autos and especially electric vehicles. Skyworks has primarily been a wireless chip maker and a key Apple iPhone supplier. But the auto chip business is a fast-growing business.
SWKS stock has a 194.59 handle buy point. Skyworks closed down 1.7% to 183.42, but found support at its 50-day line.
SLAB stock has a 163.53 buy point, but a gap above the 50-day line and a trend line could offer an early entry Friday. Shares fell 2.2% to 144.65 on Thursday.
As for Apple stock, shares fell 1.2% to 131.94 on Thursday. AAPL stock has a 145.09 cup-base buy point, but is working on a possible handle or three-weeks-tight, or perhaps both.
Apple, Skyworks and Silicon Labs all report earnings next week.
Bitcoin Price Breaks $50,000
Early Friday, Bitcoin traded just above $49,000. Overnight the Bitcoin price tumbled below $48,000 to its lowest levels since early…
Read More News: Bitcoin Dives Below $50,000; Futures Rise, 6 Key Movers