Traders work on the floor of the New York Stock Exchange during afternoon trading on January 22, 2024 in New York City. The Dow Jones and S&P both hit all time highs with the Dow Jones closing over 38,000 points for the first time ever as stocks continue to rise.
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Futures tied to the tech-heavy Nasdaq 100 climbed Tuesday evening after Netflix reported its subscriber count reached a new record in the fourth quarter.
Nasdaq 100 futures rose 0.21%, while S&P 500 futures gained 0.15%. Dow Jones Industrial Average futures were little changed.
Netflix shares surged 8% in extended trading. The streaming company added more than 13 million new subscribers in the fourth quarter, bringing its total subscriber count to an all-time high of 260.8 million. Revenue also topped analysts’ estimates, and the company issued earnings guidance for the current quarter that beat Wall Street’s forecasts.
Netflix’s subscriber increase “indicates the ongoing strength in the scaling of the ad-tier business, particularly scaling up at the end of last year, and also the momentum the company’s building and its crackdown on password sharing,” Jamie Lumley, senior analyst at Third Bridge Group, said on “Closing Bell: Overtime” on Tuesday.
The streaming giant’s gains build upon mega-cap tech’s strong gains in 2024, which have fueled the S&P 500 to record highs and confirmed a new bull market.
To be sure, the Dow pulled back 0.25% during Tuesday’s main trading session following disappointing earnings reports and guidance from several blue-chip companies. Meanwhile, the S&P 500 gained 0.29% to reach an all-time closing high. The Nasdaq Composite added 0.43%.
On the economic front, traders will be looking toward U.S. manufacturing and services data for January. Fourth quarter gross domestic product will also be released later in the week.
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