Netflix, Inc. (NASDAQ: NFLX) shares jumped nearly 8.5% on Friday before settling at their highest level since April 19, 2022, when shares plunged after the company reported its first loss in net paid subscriber adds in a decade.
U.S. stocks may get off to a nervous start on Wednesday, as apprehensions concerning fourth-quarter earnings and the state of the economy continue to weigh down.
Trading in the U.S. index futures suggests a weak start to the week after stocks rose solidly in the week ended Jan. 13. The negative sentiment underlines caution among traders as they look forward to the fourth-quarter earnings reports for trading cues.
Last week’s big bank earnings marked the unofficial start of the reporting season, and quarterly earnings from the biggest Wall Street firms relayed a mixed message.
US stocks look set to start Friday’s session on a nervous note as the recent gains introduce caution amid traders. The trading direction could also hinge on the earnings reports from big banks and the results of the University of Michigan's consumer sentiment survey.
The outlook for the American economy has been largely gloomy in recent months due to rising interest rates, weak consumer spending, and inflation reaching a four-decade high. Most economists predict some kind of recession in 2023.