Key Takeaways
- US jobless claims unexpectedly rose, with initial claims hitting 227,000 and continuing claims reaching 1.862 million, both surpassing analyst estimates.
- China's smartphone sales plummeted 23% year-over-year in January 2026, though Apple (AAPL) defied the trend amidst a market led by Huawei.
- FedEx (FDX) provided an optimistic outlook, projecting Q3 adjusted EPS above consensus and setting ambitious 2029 revenue targets of approximately $98 billion.
- Alnylam Pharmaceuticals (ALNY) surpassed Q4 earnings estimates, reporting adjusted EPS of $1.28 against an IBES estimate of $1.12.
US Jobless Claims Point to Labor Market Shifts
The latest weekly data on US jobless claims revealed an unexpected uptick, suggesting a potential softening in the labor market. Initial jobless claims for the week ending February 7, 2026, came in at 227,000, higher than the estimated 223,000 and the revised previous figure of 232,000.
Continuing jobless claims for the week ending January 31, 2026, also rose to 1.862 million, exceeding the estimated 1.850 million and the previous week's 1.844 million. These figures indicate a slight increase in unemployment applications and a larger pool of individuals remaining on unemployment benefits, which could signal a cooling trend in the employment sector.
China's Smartphone Market Sees Significant Decline
China's smartphone market experienced a substantial downturn in January 2026, with sales falling 23% year-over-year, according to Counterpoint data. This significant slump is attributed to a tough comparison with the previous year's subsidy-driven surge and a shift in the timing of the Lunar New Year.
Despite the overall market contraction, Huawei emerged as the leader, while Apple (AAPL) managed to buck the prevailing negative trend. The performance highlights the intense competition and evolving consumer preferences within the world's largest smartphone market.
FedEx Delivers Strong Outlook and Long-Term Targets
Logistics giant FedEx (FDX) offered an encouraging financial update, forecasting its Q3 adjusted earnings per share (EPS) to be above analysts' consensus. Analysts had anticipated a Q3 adjusted profit of $3.99 per share.
Looking further ahead, FedEx outlined ambitious long-term targets for 2029, aiming for revenue of approximately $98 billion, operating income of $8 billion, and adjusted free cash flow of $6 billion. These projections underscore the company's confidence in its strategic initiatives and future growth prospects.
Alnylam Pharmaceuticals Exceeds Q4 Expectations
Alnylam Pharmaceuticals (ALNY) reported a strong performance for the fourth quarter, with adjusted EPS of $1.28, comfortably beating the IBES estimate of $1.12. The company's Q4 adjusted net income reached $169.753 million, with adjusted operating income at $203.35 million.
Net income for the quarter stood at $111.543 million, alongside operating income of $131.718 million. The positive results suggest robust operational execution and demand for Alnylam's product portfolio.
Other Market Observations
In political news, Peter Navarro stated that former President Trump desires Jamie Dimon to lower credit card rates, and also commented on Mexico and Canada being used as "staging areas for China," citing significant flaws in the USMCA agreement. Separately, Ghana is reportedly considering an overhaul of its domestic cocoa pricing as futures prices experience a significant plunge.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.