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Market Update

The number of job openings declined by 62,000 to 8.79 million in November, the U.S. Bureau of Labor Statistics reported Wednesday.

The number of job openings declined to the lowest level since March 2021, fell for the third consecutive month in a row, and decreased from a record high of 12 million in March 2022.

In November, the number of hires decreased by 363,000 to 5.5 million, total separations declined by 292,000 to 5.3 million, and quits edged down by 157,000 to 3.5 million.

During the month, job openings declined in transportation, warehousing, and utilities by 128,000 and in federal government by 58,000, but job openings expanded in wholesale trade by 63,000.

Across the nation, job openings fell in the South by 128,000, in the Northeast by 29,000, and in the West by 7,000, but increased in the Midwest by 102,000.

03 Jan, 2024

U.S. Movers: Apple, Cal-Maine Foods, Ford Motor, Metal Platforms, Walgreens

Scott Peters
04 Jan, 2024
New York City

Walgreens Boots Alliance increased 0.1% to $25.60 after the pharmacy operator reported fiscal first-quarter earnings and revenues that were ahead of market expectations.

Revenue in the quarter increased by 10%. $36.7 billion from $33.4 billion, net loss attributable to shareholders shrank to $67 million from $3.7 billion, and diluted loss per share declined to 8 cents from $4.431 a year ago.

In the quarter, operating loss improved to $39 million compared to an operating loss of $6.2 billion in the year-ago quarter because of lapping the $6.5 billion pre-tax charge for opioid-related claims and litigation recorded in the year-ago quarter.

Adjusted operating income was $687 million, a decrease of 33% on a constant currency basis reflecting softer U.S. retail market trends, partly offset by improved profitability in the U.S. market and growth in international operations.

The U.S. retail pharmacy segment sales increased 6.4% to $28.9 billion, and comparable sales increased 8.1% from the year-ago quarter, respectively.

Comparable prescriptions filled in the quarter increased 1.3% from the year-ago quarter, while excluding immunizations, they increased 1.8%, impacted by lower market growth due to a weaker flu and respiratory season and Medicaid redeterminations.

Total prescriptions filled in the quarter, including immunizations adjusted to 30-day equivalents, were 311.6 million, steady compared to the quarter a year ago.

The retailer cut the quarterly dividend by 48% to 25 cents from 48 cents a year ago to strengthen its balance sheet and improve its cash position.

The company reiterated its fiscal 2024 adjusted earnings per share estimate of between $3.20 and $3.50.

Cal-Maine Foods dropped 5.2% to $52.05 after the egg producer reported fiscal second-quarter results.

Revenue plunged in the quarter after the average selling price per dozen fell to $1.70 from $2.70 and the number of dozne eggs sold increased to 288.2 million from 284.0 million, respectively, in the previous year.

Revenue in the quarter dropped to $523.2 million from $801.7 million, net income declined to $16.6 million from $198.3 million, and diluted earnings per share dropped to 35 cents from $4.07 a year ago.

Apple declined 1.2% to $182.0 after an analyst at Piper Sandler lowered his views on the tech giant.

Meta Platforms increased 0.1% to $344.80, and chief executive Mark Zuckerberg sold more than $400 million in the company's share at the end of last year as a part of a trading plan that was previously announced.

Ford Motor Company decreased 0.01% to $11.70, and the company announced a price increase for some of its electric F-150 Lightning pickup trucks.

Wall Street Attempt to Rebound, Middle East War Fears Lift Crude Oil Prices

Barry Adams
04 Jan, 2024
New York City

Stocks struggled to advance in Thursday's trading, and Treasury yields edged slightly higher as investors debated the rate path.

The S&P 500 index and the Nasdaq Composite lacked direction in early trading, and investors debated interest rate paths, economic health, and labor market conditions.

Investors curbed their enthusiasm for rate cuts after the Fed's minutes suggested that policymakers are not in any hurry to lower rates until clear evidence of a sustained decline in inflation emerges.

While policymakers appear to agree that interest rates are near their peak levels in the current tightening cycle, rates could also go higher if the economic data suggest the need.

Investors' enthusiasm about a possible rate cut powered a nine-week rally in the S&P500 index and the Nasdaq Composite, but in the new year, investors are recalibrating the rate path outlook.

Private Sector Expands In December, ADP Report

The private sector added payrolls at a faster-than-expected pace in December, highlighting the resilient U.S. labor market.

Private payrolls in the U.S. increased 164,000 in December, higher than a downwardly revised 101,000 in November, ADP reported Thursday.

The leisure and hospitality sector led the increase with an addition of 59,000, followed by increases in the construction sector by 24,000 and financial services by 18,000.

The closely watched nonfarm payroll data from the U.S. Labor Department is scheduled to be released on Friday, and economists are looking for the economy to add at least 160,000, according to a survey conducted by Ticker.com, following the increase of 199,000 in November.

Initial Weekly Jobless Claims Declined

The latest weekly jobless claims report showed a decline in layoffs, but labor market conditions remain tight.

Initial jobless claims declined from 18,000 to 202,000 for the week ended December 30, the U.S. Labor Department reported Thursday.

The four-week moving average, which smooths out week-to-week volatility, declined by 4,750 to 207,750.

Continuing claims for the week ending in the previous week eased by 31,000 to 1.855 million.

U.S. Indexes and Yields

The S&P 500 index decreased 0.01% to 4,746.15, and the Nasdaq Composite dropped 0.4% to 14,473.12.

The yield on 2-year Treasury notes increased to 4.35%, 10-year Treasury notes inched higher to 3.95%, and 30-year Treasury bonds eased to 4.10%.

WTI crude oil increased $0.85 to $73.55 a barrel, and natural gas prices increased 11 cents to $2.78 a thermal unit.

Gold decreased $5.07 to $2,045.76 an ounce, and the yellow metal price traded down for the second day after investors dialed back rate-cut optimism.

The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 102.32.

U.S. Stock Movers

Walgreens Boots Alliance increased 0.1% to $25.60 after the pharmacy operator reported fiscal first-quarter earnings and revenues that were ahead of market expectations.

Cal-Maine Foods dropped 5.2% to $52.05 after the egg producer reported fiscal second-quarter results.

Apple declined 1.2% to $182.0 after an analyst at Piper Sandler lowered his views on the tech giant.

Meta Platforms increased 0.1% to $344.80, and chief executive Mark Zuckerberg sold more than $400 million in the company's share at the end of last year as a part of a trading plan that was previously announced.

Ford Motor Company decreased 0.01% to $11.70, and the company announced a price increase for some of its electric F-150 Lightning pickup trucks.

Europe Movers: Energy Stocks, Evotec, JD Sports, Next, Nordex, Telefonica

Inga Muller
04 Jan, 2024
Frankfurt

European market indexes rebounded from three-week lows, and investors reviewed the latest updates on business activity indexes in Spain and Italy.

Consumer price inflation accelerated in France to 3.7% in December from 3.5% in November, and the regional data from Germany suggested that inflation is likely to accelerate in the nation.

The DAX index increased 0.3% to 16,594.26, the CAC-40 index rose 0.4% to 7,437.45, and the FTSE 100 index inched higher by 0.1% to 7,690.09.

The yield on 10-year German bonds decreased to 2.06%; French bonds inched higher to 2.61%; the UK gilts edged up to 3.69%; and Italian bonds advanced to 3.75%.

Energy stocks advanced after the crude oil price extended a 3-day gain amid rising tensions in the Middle East and growing violence in the Red Sea lanes, which prompted worries about supply disruptions.

U.S. President Joe Biden warned that the U.S. Navy fleet will attack Houthi installations unless rebels stop attacking merchant cargo ships traveling through Red Sea lanes.

The joint statement included support from the U.S., Japan, the UK, and Germany.

Telefonica SA rose 1% to €3.68 after the Spanish telecom operator signed an agreement with a trade union to lay off up to 3,421 staff.

The company will also take a charge of €1.3 billion linked to its layoff plan.

Nordex SE increased 2.2% to €10.04 after the company said it received an order to supply 106 MW of wind turbines from Spanish electricity producer Capital Energy.

The company did not disclose any financial details related to the order.

Evotec SE dropped 19% to €17.36 after the German biotech company said chief executive Werner Lanthaler stepped down from the office for personal reasons.

Next plc advanced 4.7% to €17.36 pence after the retailer lifted its profit outlook after sales in the pre-Christmas period were ahead of the company's expectations.

The company increased its full-year pre-tax profit estimate by £20 million to £905 million, up 4.0% from a year ago.

The retailer lifted its after-tax earnings per share estimate to 569.9 pence from the previous estimate of 557.7 pence released in November.

JD Sports Fashion PLC plunged 23.7% to 118.35 pence after the specialty retailer lowered its full-year profit estimate.

The retailer estimated profit before tax and adjusted items between £915 million and £935 million for the full-year ending on February 3.

The company added organic sales in the 22-week period ending on December 30 increased 6% and comparable sales were 1.8%, both were below management's expectations.

European Stocks Rebound, French Inflation Accelerated In December

Bridgette Randall
04 Jan, 2024
Frankfurt

European markets advanced in Thursday's trading, and investors reviewed the latest batch of economic releases.

France's consumer price inflation accelerated to 3.7% in December from 3.5% in the previous month, the statistical agency reported Thursday.

Spain's private sector activity expanded for the first time in three months in December.

The HCOB Spain Composite PMI increased to 50.4 in December from 49.8 in November, S&P Global reported in its monthly update.

Italy's private sector activity contracted at a softer pace in December, S&P Global reported in a separate report today.

The HCOB Italy Composite PMI increased to 48.6 from 48.1 in November, indicating a contraction in private sector activities for the seventh month in a row.

UK net mortgage approvals increased by 50,067 in November, the Bank of England reported Thursday.

Net mortgage approval rose to a five-month high, but the increase remained muted due to the rising mortgage rates and elevated home prices in the nation.

The effective interest rate, reflecting the mortgage rate paid by the borrower, increased by 9 basis points to 5.34%.

Investors also reviewed the latest minutes of the meeting released by the U.S. Federal Reserve.

Rate-setting committee members appeared to conclude that interest rates are nearing peak rates in the current tightening cycle, but participants were not sure if and when rates would need to be lowered.

Committee members noted that economic growth is moderating, inflation is easing but still remains above the preferred level, and labor market conditions are weakening but still remain tight.

Most participants appeared to support the view that future economic data will provide more insights about the appropriate level of interest rates and whether higher rates are needed in the long term.

Europe Indexes and Yields

The DAX index increased 0.3% to 16,594.26, the CAC-40 index rose 0.4% to 7,437.45, and the FTSE 100 index inched higher by 0.1% to 7,690.09.

The yield on 10-year German bonds decreased to 2.06%; French bonds inched higher to 2.61%; the UK gilts edged up to 3.69%; and Italian bonds advanced to 3.75%.

The euro edged lower to $1.095, the British pound inched lower to $1.272, and the U.S. dollar eased to 84.91 Swiss cents.

Brent crude increased $0.74 to $78.99 a barrel, and the Dutch TTF natural gas increased by €0.85 to €33.65 per MWh.

Europe Stock Movers

Energy stocks advanced after the crude oil price extended a 3-day gain amid rising tensions in the Middle East and growing violence in the Red Sea lanes, which prompted worries about supply disruptions.

U.S. President Joe Biden warned that the U.S. Navy fleet will attack Houthi installations unless rebels stop attacking merchant cargo ships traveling through Red Sea lanes.

The joint statement included support from the U.S., Japan, the UK, and Germany.

Telefonica SA rose 1% to €3.68 after the Spanish telecom operator signed an agreement with a trade union to lay off up to 3,421 staff.

The company will also take a charge of €1.3 billion linked to its layoff plan.

Nordex SE increased 2.2% to €10.04 after the company said it received an order to supply 106 MW of wind turbines from Spanish electricity producer Capital Energy.

The company did not disclose any financial details related to the order.

Evotec SE dropped 19% to €17.36 after the German biotech company said chief executive Werner Lanthaler stepped down from the office for personal reasons.

Next plc advanced 4.7% to €17.36 pence after the retailer lifted its profit outlook after sales in the pre-Christmas period were ahead of the company's expectations.

JD Sports Fashion PLC plunged 23.7% to 118.35 pence after the specialty retailer lowered its full-year profit estimate.

Movers: Adani Ports, Bajaj Finance, Dhampur Sugar, IEX, Jio Financial, LIC, ONGC, RVNL

Arun Goswami
04 Jan, 2024
Mumbai

Stocks rebounded in Mumbai trading, powered by a rise in financials and power companies.

The Sensex index decreased 329.62 points to 71,686.22, and the Nifty index eased 91.20 points to 21,608.55.

On the Mumbai stock exchange, 224 stocks traded at their 52-week highs and 5 stocks traded at their 52-week lows.

ONGC increased 2.2% to ₹213.40 after the oil exploration company won 7 of the 10 oil and gas exploration blocks auctioned by the central government.

Oil India, Sun Petrochemicals, and a consortium of Reliance Industries and BP plc won rights to explore one block each.

Adani Ports rose 1.7% to ₹1,112.80, and the company board approved the sale of non-convertible debentures and raised as much as ₹5,000 crore.

Bajaj Finance rose 3.5% to ₹7,647.95 after the company reported a surge in new customers, loan advances, and assets under management in the quarter ending in December.

The company added 38.5 lakh customers to 80 crore, assets under management, up 35% to ₹3.11 lakh crore, and new loans issued surged 26% to 0.98 crore.

Jio Financial Services rose 1.2% to ₹237.0 after the company and the U.S.-based Blackrock Financial filed an application to launch mutual funds in India.

Indusind Bank rose 2.8% to ₹1,646.0 after the company reported strong loan and deposit growth in the December quarter from the previous quarter.

Loans increased 4% to 3.27 lakh crore, and deposits rose 13% to 3.69 lakh crore.

Maruti Suzuki decreased 0.7% to ₹10,009.80 after the company said it plans to appeal the demand of ₹173.9 crore from the Gujarat GST authority.

Power companies were in focus after NTPC, Power Grid, Torrent Power, and Gujarat Industries Power signed non-binding agreements with the state of Gujarat to build power plants ahead of the launch of the annual Vibrant Gujarat summit.

NTPC increased 3.5% to ₹317.0, Torrent Power soared 10% to ₹1,038.85, Power Grid gained 1.4% to ₹240.90, and Gujarat Industries Power added 2.3% to ₹188.35.

Dhampur Sugar Mills decreased 0.4% to ₹268.60 after the company said it plans to repurchase 10 lakh of its shares at a price of ₹300 per share.

Life Insurance Corporation of India added 0.4% to ₹842.35 after the company received GST collection notices from Telangana, Gujarat, and Uttarakhand totaling ₹667.5 crore.

Indian Energy Exchange gained 2.7% to ₹167.50 after the company said trading volume jumped 16.9% from a year ago to 28,326 million units, or MU.

Electricity trading volume in December rose 8.7% from a year ago to 8,655 MU, and total energy trading volume advanced 14.9% from a year ago to 9,707 MU.

Rail Vikas Nigam gained 0.5% to ₹186.15 after the company signed a preliminary non-binding agreement to finance projects worth as much as ₹35,000 crore over the next five years.

India Stocks Rebound, Asian Markets Extend Losses

Arjun Pandit
04 Jan, 2024
Mumbai

Stocks in Mumbai rebounded after declining for four days in a row, and Asian markets lacked direction for the third day this week.

The Sensex and the Nifty indexes advanced as much as 0.4% in early trading, and investors awaited the start of the earnings season next week.

Market sentiment in Asia was weak for the third consecutive day this week after the Federal Reserve's minutes of the meeting held in December showed policymakers agreed that interest rates may be near their peaks in this tightening cycle.

Committee members agreed that a total of 75 basis point rate cuts are likely in 2024, but they were not sure about the timing.

The hawkish tone of the Fed's meeting dragged market indexes lower on Wall Street for the second day in a row this week.

Asian Markets Extend Losses

Asian markets were on the defensive following the release of the Fed's minutes of meetings, and committee members said that economic developments will determine the future rate path.

Benchmark indexes in Hong Kong declined 0.5% and in mainland China fell 1.5%, and domestic and foreign investors continued to sell stocks on the persistent growth worries.

Property developers drifted lower in Hong Kong and mainland trading after new and existing home sales declined in December and in 2023.

Caixin purchasing managers' index of the services industry increased to 52.9 in December from 51.5 in the previous month, indicating that the industry expanded for the 12th month in a row.

Market indexes in Tokyo declined 0.6% after the financial markets reopened for the first time in 2024; the KOSPI index in Seoul declined 0.2%; and the ASX 200 index decreased 0.3% following weak metal prices.

India Indexes and Yields

The Sensex index decreased 329.62 points to 71,686.22, and the Nifty index eased 91.20 points to 21,608.55.

On the Mumbai stock exchange, 224 stocks traded at their 52-week highs and 5 stocks traded at their 52-week lows.

The yield on the 10-year Indian government bonds held firm at 7.21%, and the Indian rupee hovered near ₹83.30 against the U.S. dollar.

The gold price increased by 0.34% to ₹62,756 per ten grams, and silver rose by 0.2% to ₹72,465 per kilo.

Crude oil increased by 0.4% to ₹6,094 per barrel, and natural gas rose by 0.9% to ₹225.0 per thermal unit.

India Stock Movers

ONGC increased 2.2% to ₹213.40 after the oil exploration company won 7 of the 10 oil and gas exploration blocks auctioned by the central government.

Oil India, Sun Petrochemicals, and a consortium of Reliance Industries and BP plc won rights to explore one block each.

Adani Ports rose 1.7% to ₹1,112.80, and the company board approved the sale of non-convertible debentures and raised as much as ₹5,000 crore.

Bajaj Finance rose 3.5% to ₹7,647.95 after the company reported a surge in new customers, loan advances, and assets under management in the quarter ending in December.

The company added 38.5 lakh customers to 80 crore, assets under management, up 35% to ₹3.11 lakh crore, and new loans issued surged 26% to 0.98 crore.

Jio Financial Services rose 1.2% to ₹237.0 after the company and the U.S.-based Blackrock Financial filed an application to launch mutual funds in India.

Power companies were in focus after NTPC, Power Grid, Torrent Power, and Gujarat Industries Power signed non-binding agreements with the state of Gujarat to build power plants ahead of the launch of the annual Vibrant Gujarat summit.

NTPC increased 3.5% to ₹317.0, Torrent Power soared 10% to ₹1,038.85, Power Grid gained 1.4% to ₹240.90, and Gujarat Industries Power added 2.3% to ₹188.35.

Dhampur Sugar Mills decreased 0.4% to ₹268.60 after the company said it plans to repurchase 10 lakh of its shares at a price of ₹300 per share.

Life Insurance Corporation of India added 0.4% to ₹842.35 after the company received GST collection notices from Telangana, Gujarat, and Uttarakhand totaling ₹667.5 crore.

Job Openings Declined to a 31-month Low

Brian Turner
03 Jan, 2024
New York City

The number of job openings declined by 62,000 to 8.79 million in November, the U.S. Bureau of Labor Statistics reported Wednesday.

The number of job openings declined to the lowest level since March 2021, fell for the third consecutive month in a row, and decreased from a record high of 12 million in March 2022.

In November, the number of hires decreased by 363,000 to 5.5 million, total separations declined by 292,000 to 5.3 million, and quits edged down by 157,000 to 3.5 million.

During the month, job openings declined in transportation, warehousing, and utilities by 128,000 and in federal government by 58,000, but job openings expanded in wholesale trade by 63,000.

Across the nation, job openings fell in the South by 128,000, in the Northeast by 29,000, and in the West by 7,000, but increased in the Midwest by 102,000.

Sell Mode Drives Trading On Wall Street, FOMC Minutes Show Rate Path Uncertain

Barry Adams
03 Jan, 2024
New York City

Stocks remained under pressure for the second day this week, and investors curbed their enthusiasm for rate cuts amid economic uncertainties and elevated inflation.

Investors reviewed the latest Fed's rate-setting committee meeting minutes, the job opening report for November, and ISM's manufacturing industry survey for December.

The Fed's meeting confirmed that policymakers agreed that rate cuts are likely in 2024, but members were not sure if and when those rate cuts would take place.

The S&P 500 index and the Nasdaq Composite declined for the second day in a row, and Treasury yields edged slightly higher.

Tech stocks led the decliners after AI-driven, cloud computing, and cyber security stocks traded down on valuation worries following the surge in 2023.

Investors also dialed down rate-cut optimism and sold tech winners in 2023 after the 10-year Treasury yield approached 4%.

Market participants are worried that the Federal Reserve may not lower rates as early as March, despite the steady decline in inflation over the last ten months and softening labor market conditions.

Labor market conditions are easing but remain tight, supporting wage gains that are not consistent with the Fed's goal of lowering inflation to 2%.

Job Openings Declined to a 31-month Low

The number of job openings declined by 62,000 to 8.79 million in November, the U.S. Bureau of Labor Statistics reported Wednesday.

The number of job openings declined to the lowest level since March 2021, fell for the third consecutive month in a row, and decreased from a record high of 12 million in March 2022.

In November, the number of hires decreased by 363,000 to 5.5 million, total separations declined by 292,000 to 5.3 million, and quits edged down by 157,000 to 3.5 million.

During the month, job openings declined in transportation, warehousing, and utilities by 128,000 and in federal government by 58,000, but job openings expanded in wholesale trade by 63,000.

Across the nation, job openings fell in the South by 128,000, in the Northeast by 29,000, and in the West by 7,000, but increased in the Midwest by 102,000.

U.S. Manufacturing Activities Extended the Longest Decline in Two Decades

The Manufacturing Purchasing Managers' Index improved slightly to 47.4 in December from 46.7 in November, the Institute for Supply Management reported Wednesday.

The index indicated that factory activities shrank for the 14th consecutive month, extending the longest period of declining activity since 2000 and 2001.

The index for production rebounded to 50.3 from 48.5, but new orders fell to 47.1 from 48.3, employment edged higher to 48.1 from 45.8, and inventories continued to shrink with the index easing to 44.3 from 44.8.

U.S. Indexes and Yields

The S&P 500 index decreased 0.4% to 4,722.15, and the Nasdaq Composite dropped 0.7% to 14,663.76.

The yield on 2-year Treasury notes increased to 4.34%, 10-year Treasury notes inched higher to 3.96%, and 30-year Treasury bonds eased to 4.11%.

WTI crude oil increased $2.10 to $72.50 a barrel, and natural gas prices decreased 10 cents to $2.67 a thermal unit.

Gold decreased $24.81 to $2,033.99 an ounce, and the yellow metal price traded down for the second day after investors dialed back rate-cut optimism.

The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 102.43.

U.S. Stock Movers

PGT Innovations increased 3.5% to $41.70 after the window and door maker received an unsolicited offer from Miter Brands for $41.50 a share.

PGT agreed to a $41 per share offer from Masonite International on December 18.

Bloomin' Brands increased 2.6% to $28.01 after the owner of Outback Steakhouse added two board members, as agreed with activist investor Starboard Value.

Walt Disney decreased 0.03% to $90.66, and activist investor ValueAct Capital agreed to support the company's latest slate of board members, giving the management a leg up against activist investor Trian Partners.

Cryptocurrency-focused stocks traded down after Bitcoin declined 5.5% to $42,395.60.

Marathon Digital Holdings dropped 10.5% to $20.58, and Coinbase Global declined 7.5% to $146.0.

Apple declined 0.7% to $184.09 and extended its loss for the second day after falling 3.6% in the previous session following a downgrade by Barclays analysts.

BYD Class H shares in New York traded down 2.5% to $26.85 despite the company ramping up sales of its new energy vehicles in 2023 to 3 million.

BYD produced 1.6 million battery-powered passenger cars and 1.4 million hybrid cars.

Tesla still leads the battery-powered vehicle segment with 1.8 million vehicles in 2023.

European Markets Turned Lower Second Consecutive Day

European markets lacked direction, and investors reviewed the latest economic reports from around the world.

Germany's jobless rate edged slightly higher to 5.9% in December from the revised 5.8% in the previous month, the Federal Employment Agency reported Wednesday.

The jobless rate advanced to the highest since May 2021 and increased for the eleventh month in a row by 5,000 to 2.703 million.

The number of unemployed increased by 186,000 from the previous year, but the jobless rate ranged from 3.4% in Bavaria to 6.0% in Brandenburg to 9.2% in Berlin.

Europe Indexes and Yields

The DAX index decreased 1.4% to 16,538.39, the CAC-40 index fell 1.6% to 7,411.86, and the FTSE 100 index inched lower by 0.5% to 7,682.33.

The yield on 10-year German bonds decreased to 2.05%; French bonds inched lower to 2.59%; the UK gilts edged up to 3.64%; and Italian bonds advanced to 3.73%.

The euro edged lower to $1.092, the British pound inched lower to $1.262, and the U.S. dollar eased to 85.43 Swiss cents.

Brent crude decreased $2.12 to $78.02 a barrel, and the Dutch TTF natural gas increased by €2.22 to €32.80 per MWh.

Europe Stock Movers

Maersk increased 4.4% to DKK 13,475.0 after the company announced its plan not to resume shipping through the Red Sea lanes "until further notice."

ASML Holding declined 1.9% to €651.80 and extended its loss from the previous session after the Dutch government halted shipments of advanced chipmaking equipment to China.

Atos SE decreased 4.8% to €6.65 after the company said it plans to initiate due diligence talks with Airbus with a potential sale of its big data and security unit.

Ryanair Holdings plc decreased 4.4% to €18.29 after the budget airline said the number of online travel platforms had suspended selling its flights in early December.

The budget airline said the removal of its flights is not likely to affect its financial outlook and passenger count, but the move has affected its load factor in December and January by "1% to 2%."

The online travel platforms, including Kayak, Booking.com, and Kiwi, dropped the company's flights following the Irish court granting the airline a permanent injunction against the screenscraper Flightbox for "unlawfully scraping Ryanair content" and distributing it to online travel platforms.

The budget airline also announced that its December traffic increased by 9% to 12.54 million, but the load factor declined to 91% from 92% a year ago.

Wizz Air Holdings declined 3.4% to 2,142.0 pence, and the budget carrier said December traffic increased 18% from a year ago to 4,964,857.

U.S. Movers: Bloomin Brands, Coinbase, PGT Innovations, Marathon Digital, Walt Disney

Scott Peters
03 Jan, 2024
New York City

Stocks declined for the second day this week after investors recalibrated their rate-cut expectations amid ongoing economic uncertainties.

The S&P 500 index decreased 0.5% to 4,718.48, and the Nasdaq Composite dropped 0.6% to 14,679.88.

The yield on 2-year Treasury notes increased to 4.34%, 10-year Treasury notes inched higher to 3.96%, and 30-year Treasury bonds eased to 4.11%.

PGT Innovations increased 3.5% to $41.70 after the window and door maker received an unsolicited offer from Miter Brands for $41.50 a share.

PGT agreed to a $41 per share offer from Masonite International on December 18.

Bloomin' Brands increased 2.6% to $28.01 after the owner of Outback Steakhouse added two board members, as agreed with activist investor Starboard Value.

Walt Disney decreased 0.03% to $90.66, and activist investor ValueAct Capital agreed to support the company's latest slate of board members, giving the management a leg up against activist investor Trian Partners.

Cryptocurrency-focused stocks traded down after Bitcoin declined 5.5% to $42,395.60.

Marathon Digital Holdings dropped 10.5% to $20.58, and Coinbase Global declined 7.5% to $146.0.

Apple declined 0.7% to $184.09 and extended its loss for the second day after falling 3.6% in the previous session following a downgrade by Barclays analysts.

BYD Class H shares in New York traded down 2.5% to $26.85 despite the company ramping up sales of its new energy vehicles in 2023 to 3 million.

BYD produced 1.6 million battery-powered passenger cars and 1.4 million hybrid cars.

Tesla still leads the battery-powered vehicle segment with 1.8 million vehicles in 2023.

Wall Street Stocks Under Pressure After Investors Dialed Back Rate-cut Enthusiasm

Barry Adams
03 Jan, 2024
New York City

Stocks were under pressure for the second day this week, and investors curbed their enthusiasm for rate cuts amid economic uncertainties and elevated inflation.

The S&P 500 index and the Nasdaq Composite declined for the second day in a row, and Treasury yields edged slightly higher.

Tech stocks led the decliners after AI-driven, cloud computing, and cyber security stocks traded down on valuation worries following the surge in 2023.

Investors also dialed down rate-cut optimism and sold tech winners in 2023 after the 10-year Treasury yield approached 4%.

Market participants are worried that the Federal Reserve may not lower rates as early as March, despite the steady decline in inflation over the last ten months.

Labor market conditions remain tight, supporting wage gains that are not consistent with the Fed's goal of lowering inflation to 2%.

Investors are awaiting the release of the Fed's December meeting minutes, the job opening report for November, and ISM's manufacturing industry survey for December.

U.S. Indexes and Yields

The Nasdaq index was up 44.2% in 2023 before Friday's trading, its best annual gain since 2003.

The S&P 500 index decreased 0.5% to 4,718.48, and the Nasdaq Composite dropped 0.6% to 14,679.88.

The yield on 2-year Treasury notes increased to 4.34%, 10-year Treasury notes inched higher to 3.96%, and 30-year Treasury bonds eased to 4.11%.

WTI crude oil increased $0.51 to $70.89 a barrel, and natural gas prices decreased 3 cents to $2.60 a thermal unit.

Gold decreased $15.70 to $2,043.34 an ounce, and the yellow metal price traded down for the second day after investors dialed back rate-cut optimism.