Treasuries See Further Downside Even As Russia-Ukraine Crisis Intensifies

Alere Inc. Q4 Earnings Summary

Below are the earnings highlights for Alere Inc. (ALR):

Earnings: -$10.74 million in Q4 vs. $2.90 million in the same period last year.
EPS: -$0.34 in Q4 vs. $0.09 in the same period last year.
Revenue: $181.04 million in Q4 vs. $285.89 million in the same period last year.

Extra Space Storage Inc. Q4 Profit Increases, beats estimates

Extra Space Storage Inc. (EXR) announced a profit for its fourth quarter that increased from the same period last year and beat the Street estimates.

The company’s bottom line totaled $268.43 million, or $2.00 per share. This compares with $156.06 million, or $1.19 per share, in last year’s fourth quarter.

Excluding items, Extra Space Storage Inc. reported adjusted earnings of $269.86 million or $1.91 per share for the period.

Analysts on average had expected the company to earn $1.40 per share, according to figures compiled by Thomson Reuters. Analysts’ estimates typically exclude special items.

The company’s revenue for the quarter rose 20.9% to $427.38 million from $353.49 million last year.

Extra Space Storage Inc. earnings at a glance (GAAP) :

-Earnings (Q4): $268.43 Mln. vs. $156.06 Mln. last year.
-EPS (Q4): $2.00 vs. $1.19 last year.
-Analyst Estimate: $1.40
-Revenue (Q4): $427.38 Mln vs. $353.49 Mln last year.

EBay Announces FY22 Outlook

E-commerce giant eBay Inc. (EBAY) on Wednesday provided outlook for fiscal 2022. The company expects earnings per share between $3.15 and $3.35 for full-year 2022. Excluding items, earnings per share are expected between $4.20 and $4.40.

On average, 27 analysts polled by Thomson Reuters expect the company to post earnings of $4.51 per share for the year ahead.

Annual revenues are expected between $10.3 billion and $10.5 billion while analysts were looking for revenues of $11.0 billion in fiscal 2022.

Apple Withdraws Compulsory Mask Requirements At Select U.S. Stores

IPhone maker Apple Inc. (AAPL) said on Wednesday that customers will no longer be required to wear masks in many Apple stores across U.S. states like Ohio, Kansas, Kentucky, North Carolina, Georgia, and other states, as per reports. The rule, however, does not apply to Apple store employees, who need to continue wear masks, irrespective of their vaccination status.

According to reports, the company has also updated its website indicating the stores which require masks. When searching for a store using the company’s retail store locator, the site will let you know if masks are “required,” “recommended,” or “optional” for vaccinated customers at specific locations.

Masks are still mandatory in states with more strict restrictions like Hawaii, Oregon, and Washington. In some stores in places like New York and Connecticut, face masks are required only for un-vaccinated customers.

Other than lifting mask requirements, reports say that the company has also started its in-store classes, known as Today at Apple. Classes are available at select places and include courses on making music with Garageband, editing and shooting photos on an iPhone, and making videos with iMovie. While some classes began this week, the others start in March.

Since the start of the COVID-19 pandemic, Apple has kept on changing its mask policy according to local guidance. In November, the company began slowly reducing dependency on masks and then brought them back in Decembers, when the Covid numbers started increasing once again.

Oil Futures Settle Modestly Higher

Crude oil futures settled modestly higher on Wednesday, with investors weighing the impact of the Russia-Ukraine crisis on oil supplies, the likelihood of Iranian crude to the market, and the latest data on U.S. crude inventories.

West Texas Intermediate Crude oil futures ended higher by $0.19 or about 0.2% at $92.10 a barrel.

Supply worries eased somewhat after it became clear the first wave of U.S. and European sanctions on Russia for sending troops into eastern Ukraine would not disrupt oil supplies.

According to the U.S. State Department, the sanctions that are being imposed today, as well those that could be imposed in the near future, are not targeting and will not target oil and gas flows.

Meanwhile, traders looked ahead to weekly inventory reports from the American Petroleum Institute (API) and U.S. Energy Information Administration (EIA).

The API’s report is due later today, while the EIA will release the inventory data Thursday morning.

Treasuries See Further Downside Even As Russia-Ukraine Crisis Intensifies

After ending the previous session modestly lower, treasuries saw some further downside during the trading day on Wednesday.

Bond prices climbed off their early lows but still ended the day in negative territory. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, rose by 2.9 basis points to 1.977 percent.

The continued weakness among treasuries came despite intensifying concerns about a potential Russian invasion of Ukraine.

Increases by other safe havens like gold and the U.S. dollar may have reduced the appeal of bonds ahead of an increase in interest rates by the Federal Reserve as soon as next month.

Meanwhile, traders largely shrugged off the results of the Treasury Department’s auction of $53 billion worth of five-year notes, which attracted above average demand.

The five-year note auction drew a high yield of 1.880 percent and a bid-to-cover ratio of 2.49, while the ten previous five-year note auctions had an average bid-to-cover ratio of 2.40.

On Thursday, the Treasury is due to finish off this week’s series of announcements of the results of its long-term securities auctions by revealing the results of this month’s auction of $50 billion worth of seven-year notes.

Trading on Thursday may also be impacted by reaction to reports on weekly jobless claims, new home sales and GDP, while traders are likely to keep an eye on the latest developments in Ukraine.