Figures released today revealed that consumer confidence in the United States rose to a 14-month high this month.
The data from the Chicago Board Index showed that confidence rose to a reading of 121.7 in April, which is the highest level since February 2020.
This comes as the U.S. continues its rampant coronavirus vaccination programme, leading to the re-opening of large segments of the economy.
As a result, today’s reading blew past the forecasted increase of 113.0, and many now believe that upcoming retail sales figures could show even further growth in consumer spending.
Both the NASDAQ and S&P 500 neared record highs as a result of the news before trading off later in the session.
Tesla shares down despite record earnings
Tesla’s share price was down on Tuesday despite reporting strong revenue figures in its latest earnings call.
The company’s investment in Bitcoin helped spur revenue growth which easily beat expectations, coming in at $10.39 billion vs. $10.29 billion expected.
Overall, revenue was up 74% from a year ago, with Tesla’s earnings per share increasing to 93 cents versus the expected sum of 79 cents.
Despite this, some have criticized Musk, as they believed that Tesla had pumped and dumped its Bitcoin holdings, which it made $101 million from in Q1.
However, the company’s founder refuted, claiming that, “No, I have not sold any of my Bitcoin. Tesla sold 10% of its holdings essentially to prove liquidity of Bitcoin as an alternative to holding cash on the balance sheet”.
$TSLA was down 3.83% as of writing.
BP demand outlook helps Oil prices rebound
Oil prices rebounded on Tuesday as strong earnings from British Petroleum helped ease demand concerns.
The oil company reported that it recorded its best quarter since the beginning of the pandemic, with profits hitting over $3 billion.
BP added that it expects oil demand to recover further this year, led by growth in the United States and China as a result of vaccination programmes.
WTI crude fell to start the week, as COVID-19 cases in India rose significantly, however today’s news has increased optimism for oil producers.
Brent crude hit an intraday of $68.10.
Quote of the day – “We want to perceive ourselves as winners, but successful traders are always focusing on their losses.”– Peter Borish
Senior Market Analyst