US stock markets were broadly higher overnight after the release of a better than expected retail sales result which saw growth of 1.7% in October.
However, analysts are suggesting a significant portion was due to higher prices and the bring-forward of some Christmas spending.
Home Depot & Walmart report
Despite this, shares in home improvement group Home Depot (NYSE: HD) gained over 5% after reporting same-store sales growth of 5.5% in its global stores and 9% revenue growth in the third quarter. Cost of sales increased by nearly 10%, sending margins lower but shareholders were clearly impressed.
Big box retailer Walmart (NYSE: WMT) fell by more than 2% after reporting a similar level of improvement, with revenue up 9.8%. It was a similar story for margins, which are being impacted by increased costs in the supply chain.
US stock markets bounce back
The Dow Jones underperformed, gaining 0.2%, with the S&P 500 and Nasdaq up 0.4% and 0.8%, respectively, as tech continues to dominate.
Roblox continues its run
Emerging technology platform Roblox (NSYE: RBLX), which allows users to create online games, gained over 7% after suggesting that each of its core markets were as large as US$200 billion globally and highlighted the massive opportunity in the metaverse.
After going public earlier this year, Roblox shares have now surged around 50% in the last couple of weeks following a bumper Q3 earnings report.
US stock market movers
Here’s how other popular US stocks performed on Tuesday.
- Peloton (NASDAQ: PTON) up 15.5%
- Qualcomm (NASDAQ: QCOM) up 7.9%
- Tesla (NASDAQ: TSLA) up 4.1%
- Robinhood (NASDAQ: HOOD) down 3.1%
- MercadoLibre (NASDAQ: MELI) down 5.6%
- Activision (NASDQ: ATVI) down 6.1%
Back home on the ASX, the S&P/ASX 200 (ASX: XJO) is set to follow US markets higher at the open this morning. For a round-up of the latest news, check out my ASX 200 morning report.