Major US stock indexes rose significantly against the background of strong quarterly reports of US companies and the rise in prices of shares of technology firms.

So, General Motors showed adjusted quarterly earnings of $ 1.87 per share, which was significantly above the analysts' average forecast of $ 1.25. The automaker's revenue also exceeded forecasts, helped by higher prices in North America. And Facebook’s quarterly earnings of $ 1.76 per share exceeded the analysts ’average forecast by $ 0.32. Meanwhile, social network revenue was slightly below market expectations, as well as the number of new users. However, the latest Facebook report showed better spending than expected.

Investors also reacted positively to data from Automatic Data Processing (ADP), which showed that the growth rate of employment in the US private sector accelerated in October, contrary to experts' forecasts. According to the report, in October the number of employed increased by 227 thousand people compared with September, at the level of 218 thousand, which was revised from 230 thousand. Analysts had expected that the number of employees would increase by 189 thousand

Most of the components of DOW finished trading in positive territory (22 out of 30). The growth leader was the shares of Visa Inc. (V, + 3.87%). Walmart Inc. shares turned out to be an outsider. (WMT, -2.04%).

Almost all sectors of the S & P showed an increase. The technological sector grew the most (+ 2.5%). Only the utility sector declined (-0.7%)

At the time of closing:

Dow 25,115.76 +241.12 +0.97%

S & P 500 2,711.74 +29.11 +1.09%

Nasdaq 100 7,305.90 +144.25 +2.01%

U.S. stock-index futures surged on Wednesday, pointing to a higher open, as solid quarterly results from General Motors (GM) and Facebook (FB) lifted market sentiment.  

Global Stocks:

(company / ticker / price / change ($/%) / volume)

General Electric (GE) upgraded to Buy from Neutral at UBS

American Intl (AIG) upgraded to Buy from Hold at Deutsche Bank

Facebook (FB) added to Analyst Focus List at JP Morgan

eBay (EBAY) reported Q3 FY 2018 earnings of $0.56 per share (versus $0.48 in Q3 FY 2017), beating analysts’ consensus estimate of $0.54.

The company’s quarterly revenues amounted to $2.649 bln (+6% y/y), generally in line with analysts’ consensus estimate of $2.650 bln.

EBAY rose to $29.49 (+7.55%) in pre-market trading.

Baidu.com (BIDU) reported Q3 FY 2018 earnings of $2.77 per share (versus $3.89 in Q3 FY 2017), beating analysts’ consensus estimate of $2.53.

The company’s quarterly revenues amounted to $4.110 bln, beating analysts’ consensus estimate of $4.016 bln.

BIDU fell to $182.60 (-0.42%) in pre-market trading.

General Motors (GM) reported Q3 FY 2018 earnings of $1.87 per share (versus $1.32 in Q3 FY 2017), beating analysts' consensus estimate of $1.25.

The company's quarterly revenues amounted to $35.791 bln (+6.4% y/y), beating analysts' consensus estimate of $34.848 bln.

GM rose to $36.80 (+9.72%) in pre-market trading.

Facebook (FB) reported Q3 FY 2018 earnings of $1.76 per share (versus $1.59 in Q3 FY 2017), beating analysts' consensus estimate of $1.44.

The company's quarterly revenues amounted to $13.727 bln (+32.9% y/y), generally in-line with analysts' consensus estimate of $13.821 bln.

FB rose to $153.55 (+5.01%) in pre-market trading.

A positive start to trading on the stock markets of Europe is expected, as the improved mood on Wall Street yesterday and in Asian trading today helps to lift the mood in the futures market.