The NASDAQ opened higher on Thursday, July 16th, as investors cheered a Greek bailout approval and strong corporate earnings. European stocks climbed and bond yields fell on Thursday after the Greek’s parliament approved a proposed bailout plan. Eurozone stocks rose 1.5% to 3,676 points and Germany’s DAX rose 1.6% to 11,722 points. Federal Reserve Chair Janet Yellen insisted the U.S. is on track to raise interest rates this year. Amid her comments, the U.S. dollar gained 0.6% to $1.09 per euro, the strongest since May 28th. The NASDAQ climbed nearly one percent to 5,135.79 at the beginning of the trading session. As of 10:00 a.m. E.T., all the U.S. indices were trading higher from the previous close.
Top Market News Today
ECB Agrees to Extra Emergency Funding for Greek Banks
The European Central Bank has allowed Greek banks to draw down more emergency funding, increasing the maximum allowance by 900 million euros ($972 million) per week. ECB President Mario Draghi said capital controls are the responsibility of the Greek government.
Dollar Hits a Six-Week High
On Wednesday, Janet Yellen’s comments increased the possibility for a rate hike this year. Amid the news, the U.S. dollar surged against all major currencies. The Canadian dollar hit its lowest level since 2009 after the Bank of Canada cut interest rates for the second time this year.
U.S. Jobless Claims Resume Downward Trend
According to the U.S. Labor Department, the number of Americans filing new applications for unemployment benefits fell more than expected last week. Initial claims for state unemployment benefits dropped 15,000 to a seasonally-adjusted 281,000 for the week ended July 11th. Also Read: NASDAQ: Here’s Why Stocks Are Heading Higher Today
Stocks to Watch
Netflix, Inc. (NASDAQ/NFLX)
Netflix reported a quarterly profit of six cents per share, beating analysts’ estimates by two cents. Shares of the movie streaming company soared over 10% on the announcement.
Google Inc. (NASDAQ/GOOGL)
BMO Capital Markets upgraded shares of Google to “outperform” from “market perform,” due to the upbeat outlook for the next quarters. Google’s stocks were up 1.03% to $566.00 in pre-market trading, ahead of the company’s second-quarter earnings results. Google will report its financials after the market closes today.
eBay Inc. (NASDAQ/EBAY)
The company reported an adjusted 76 cents per share, beating estimates by four cents. On top of that, the company also announced an addition of $1.0 billion to its share buyback program.