Stock Market Futures Rebound Despite Intensifying Sanctions On Russia
U.S. stock futures seem to be making a recovery in early morning trading today. This comes at a time when global headwinds continue to pile up across the board and are weighing in on stocks. Evidently, this is becoming increasingly apparent as most of the major stock indexes are still down by over 10% year-to-date. Between geopolitical unrest and accelerating efforts to reprimand Russia on the economic front, strategists suggest investors go on the defensive.
Speaking on this is Wheelhouse’s chief investment officer, Ann Berry. She argues, “I don’t think we’ve seen the bottom yet. And I’d like to be more optimistic, but the reason I say this is, when it comes to oil [and] other commodities, we’re still seeing shocks make their way through the system.” While investors plan their next move carefully in an already shaky market, companies continue to make plays in the stock market today. As of 6:41 a.m. ET, the Dow, S&P 500, and Nasdaq futures are trading higher by 1.34%, 1.47%, and 1.85% respectively
Energy Stocks Continue To Push Higher As Oil Prices Stay Elevated
While the broader stock market continues to see volatility, oil stocks are riding the wave. In particular, some of the traditional energy stocks in the U.S. market are seeing a surge in their share prices. Namely, the likes of Chevron (NYSE: CVX), and ExxonMobil (NYSE: XOM). Both of these oil giants are looking at gains of 43% and 38% year-to-date respectively. Meanwhile, shares of Shell (NYSE: SHEL) popped 2.7% after the company announced it was stopping all spot purchases of Russian crude oil. It seems that the ongoing conflict between Russia and Ukraine continues to fuel investor interests in oil and gas companies.
As you can imagine, another key factor behind the momentum in energy stocks now is rising oil prices. Day in and out, this topic continues to steal the headlines across the stock market as global supply concerns grow. This came after the U.S. banned Russian oil imports and Britain said to phase them out by the end of the year. Shortly after, Putin signed a decree to restrict imports and exports until the end of the year. Both of which would be adding pressure on the world’s oil reserves to perform in the long run.
In the larger scheme of things, global oil prices are now up by a whopping 60% year-to-date. Alongside this is fears over deceleration in global economic growth and stagflation. With no quick resolutions to the oil crisis, investors may want to take advantage by putting up a list of the best oil stocks to buy right now.
[Read More] Best Oil Stocks To Buy Today? 4 For Your Watchlist
McDonald’s, Starbucks, And Coca-Cola Join Others Exiting Russia
With the U.S rolling out more sanctions on Russia, its major consumer brands suspend business in Russia amid mounting public pressure. McDonald’s (NYSE: MCD) on Tuesday said that the U.S. fast-food chain will temporarily close all restaurants in Russia. Such a move will put 850 chains in Russia on pause. However, the company reassured its employees that it will continue to pay salaries to those affected. Coca-Cola (NYSE: KO) and Starbucks (NASDAQ: SBUX) followed shortly after.
“We serve millions of Russian customers each day who count on McDonald’s,” McDonald’s CEO Chris Kempczinski said in a statement. “At the same time, our values mean we cannot ignore the needless human suffering unfolding in Ukraine. We understand the impact this will have on our Russian colleagues and partners, which is why we are prepared to support all three legs of the stool in Ukraine and Russia,” Kempczinski added.
Starbucks went a step further than McDonald’s, saying it would suspend all Russian business activity, including shipment of its products. Similar to McDonald’s, Starbucks said that Kuwait-based Alshaya Group, which operates at least 100 Starbucks cafes, would still support its nearly 2,000 staff in Russia “who depend on Starbucks for their livelihood.”
[Read More] Top Wheat Stocks To Buy Amidst Potential Shortages? 3 In Focus
Google Set To Acquire Mandiant In $5.4 Billion All-Cash Deal
In other news, things continue to develop in the tech world as well. Namely, Alphabet (NASDAQ: GOOGL) subsidiary Google is now planning to purchase Mandiant (NASDAQ: MNDT). This would provide an update on the report from earlier this week from The Information. In detail, Google is acquiring the cybersecurity firm via a $5.4 billion all-cash deal. Moreover, this news follows a previous report suggesting that its cloud computing rival Microsoft (NASDAQ: MSFT) was eyeing Mandiant as well. Speaking of its rivals, Google would be getting a boost against its industry peers on the cybersecurity front via this deal.
For one thing, the prominence of hybrid work and the ongoing geopolitical conflicts are currently creating more opportunities for cyberattacks. So much so that analysts over at Mordor Intelligence note that demand for cybersecurity solutions will likely spike. To be precise, they estimate that the global security software market could more than double to $35.25 billion through 2026. Through this acquisition, Google’s cloud division will be receiving a significant upgrade on the cloud security front. This is apparent as Mandiant boasts global expertise in the field. To point out, the company first discovered the SolarWinds (NYSE: SWI) government hack last year. After considering all of this, investors looking to jump on cloud computing trends could be considering GOOGL stock now.
[Read More] 4 Top Dividend Stocks To Watch In March 2022
MongoDB Surges Following Q4 Earnings And Revenue Beats And Strong Forecasts
Elsewhere, MongoDB (NASDAQ: MDB) appears to be gaining traction in the stock market following its latest quarterly financial update. After yesterday’s closing bell, the software firm raked in a total revenue of $266.49 million and a loss per share of $0.09 for the quarter. For reference, this is versus Wall Street estimates of $243.42 million and a $0.23 loss per share. Regarding year-over-year comparisons, MongoDB’s revenue is up by a whopping 55.8%. Additionally, its subscription and services revenues are up by 58% and 17% respectively over the same period. As a result of all this, MDB stock is currently trading higher by over 13% in pre-market trading today.
In the larger scheme of things, it is also important to note MongoDB’s full-year performance as well. Throughout the year, the company’s Atlas cloud database solution appears to be its best performer. According to MongoDB, its annual Atlas revenue jumped by 85% over the previous fiscal year. This adds up to an annualized revenue of over $1 billion. Explaining the company’s current success is CEO Dev Ittycheria. He highlights, “Our success is being driven by the fact that our modern application data platform dramatically reduces friction in the development process to make it incredibly easy for developers to build compelling applications that create a competitive advantage.”
For the current quarter, MongoDB is guiding for revenue of between $263 million to $267 million. This would top consensus analyst forecasts of $253.59 million. With the company’s current momentum, it is no wonder that MDB stock is gaining attention today.
If you enjoyed this article and you’re interested in learning how to trade so you can have the best chance to profit consistently then you need to checkout this YouTube channel. CLICK HERE RIGHT NOW!!
