Nasdaq ends on 15-year high; Investors eye earnings
The Nasdaq ended Thursday’s session on a 15-year high as results from Amazon, Google and Microsoft were released. AT&T also reported its results and Comcast advanced on news that it may drop its bid for Time-Warner. IBM was another tech winner following its results Monday. Asian markets have ended the week mixed as investors took profits and earnings season began in some areas. Tokyo and Shanghai were lower having led the pack this week; Australia was the day’s top performer. In Europe there is expectation in the air as finance ministers meet to talk about Greece; however some reports suggest there is little hope of consensus. Earnings have boosted markets together with a report showing greater sentiment among Germany’s businesses.
US stock futures are trending higher. Oil is mixed (Brent trending up to $65.42, WTI trending down to $57.59 at 5.50am ET). Gold is trending lower.
Durable goods orders at 8.30am ET
American Airlines, Steve Madden and Xerox are among the companies reporting results today.
Amazon’s cloud business will overtake retail by 2025
Amazon is known predominantly as an online retailer but its future has little to do with selling goods and more about selling space. Along with other players such as Microsoft, Amazon is growing its cloud based services division and has reported break-out figures for it for the first time. The Amazon Web Services business generated $5.16 billion in revenue last year and $1.56 billion so far this year. CNBC reports that Morningstar believes AWS could be a $15-20 billion business in the next three years and Amazon’s chief technology officer said that the division could overtake the retail part of the business in the next ten years.
Apple Watch is out; today’s the day you can actually wear one
After its pre-sales a few weeks ago Apple Watch has finally gone on sale for real. The global launch saw some die-hard tech fans in Japan queuing for the product but Reuters reports that overall it has been a soft launch. The product is still only available to be bought and taken away from select stores in selected cities such and is not yet available in Apple Stores. Analysts expect sales to reach 20 million units.