Boris Petrov
07 Apr, 2022
New York City
Two leading Europe-based independent oil tankers companies agreed to merge in a fragmented industry. Frontline and Euronav have been in discussion for at least five months and shipping rates are only now perking up after hitting the low in the second-half of 2021. The $4.2 billion merger will create the largest oil tanker company with 69 VLCCs and 57 Suezmaxes and 20 Aframax tankers.
Barry Adams
07 Apr, 2022
New York City
Broad market indexes turned negative in early trading but small cap index edged up slightly higher as investors digested Fed officials' discussion about rate outlook and a plan to sell U.S. bonds. Crude oil edged higher to just below $97 and international oil hovered near $102 a barrel. Utilities and consumer products companies were in favor as investors looked for safe haven stocks.
Scott Peters
07 Apr, 2022
New York City
Berkshire Hathaway acquired about 11% stake or 121 million shares for $4.2 billion in HP Inc, according to regulatory filings. Warren Buffett has stepped up his investment activities after acquiring Alleghany Insurance for $11.6 billion last month. In recent years the famed investor has taken substantial investments in Apple and IBM after shunning tech companies for decades.
Barry Adams
07 Apr, 2022
New York City
Seasonally adjusted weekly initial claims of unemployment were 166,000 in the week ending April 2, the lowest since November 1968. The claims declined 5,000 from the previous week's claims of 171,000, revised down 31,000 The 4-week moving average was 170,000, down 8,000 from the previous week's revised average. The seasonally adjusted insured unemployment rate was 1.1% in the previous week.
Barry Adams
06 Apr, 2022
New York City
U.S. stock indexes in steady decline touched the lows just ahead of the release of the monetary policy meeting minutes. Indexes trimmed losses after the release of the Fed's plan to shrink a bloated portfolio of U.S. bonds but the Nasdaq Composite led the losers with more than 2% loss. Pre-earnings rally was on hold as the dollar advanced to a 11-month high and the U.S. 10-year yield rose to 2.6%.
Brian Turner
06 Apr, 2022
New York City
Fed officials are leaning towards a higher rate increases and have agreed on a plan to shrink holdings of $9 trillion of U.S. bonds. After years of denying rising inflation as transitory, Fed officials are ready to roll over $60 billion of U.S. treasury bonds and $35 billion of mortgage securities a month phased over three months beginning in May starting with the shortest term holdings.
Barry Adams
06 Apr, 2022
New York City
U.S. ramps up pressure on Russian banks and state enterprises by placing a full block on the U.S. dollar denominated transactions. Moreover, President Biden's administration also placed personal sanctions on two adult daughters of President Putin, Prime Minister Mishustin and former president Medvedev. Biden's executive order also ban all new investments in Russia by Americans.
Scott Peters
06 Apr, 2022
New York City
The Simply Good Foods said fiscal second quarter ending in December increased 28.7% to $296.7 million and net income in the quarter was $18.5 million compared to a loss of $26.2 million in a year ago period. Gross profit margin declined to 36.6% from 39.1%. Full fiscal year sales increase outlook was revised higher to a range of 13% to 15% from 12% to 14% estimated in three months ago.
Hossain Akhtar
06 Apr, 2022
New York City
Rising interest rates are wreaking a havoc in mortgage industry and may indicate a slowing housing market in the coming months. Total mortgage volume declined another 6% last week and plunged 41% from a year ago. Applications dropped 10% in the week and plunged 62% from a year ago. The average 30-year contract interest rate increased to 4.9% last week from 3.36% a year ago.
Barry Adams
06 Apr, 2022
New York City
Stocks of Spirit Airlines, Frontier Group, and JetBlue turned lower after the unsolicited bid raised uncertainty for at least few months. Rivian gained 1.6% after the EV maker said it is on track to meet its production goal of 25,000 units in the year. Simply Good Foods gained 4% after the healthier snack maker lifted sales outlook. Intel fell 1% after it suspended its operations in Russia.
Barry Adams
06 Apr, 2022
New York City
U.S. stock futures are pointing to another loss of at least 1% at the opening as bond yields continue to march upwards. 10-year U.S. bond is trading at 2.65% ahead of the release of minutes of meetings this afternoon. Tech stocks are leading the losers and energy stocks are in focus ahead of the Congressional hearing today. Oil inched higher to $103.30 a barrel after dipping in Tuesday.
Boris Petrov
05 Apr, 2022
New York City
JetBlue Airways has made an unsolicited $3.63 billion bid for Spirit Airlines. The all-cash offer values the discount carrier at roughly 40% higher than the current merger agreement with Frontier at $2.9 billion. The Justice Department is currently suing JetBlue for its alliance with American Airlines. A Spirit-Frontier merger will build a nationwide network of a ultra low-cost service.
Barry Adams
05 Apr, 2022
New York City
U.S. indexes fell 1% and Nasdaq Composite dropped 2.2% after a dovish Fed Governor said that the central bank needed an aggressive approach in tackling inflation. 10-year U.S. bond closed at 2.55%, a 3-year high, and 5-year at 2.70%. Inflation worries drove the market sentiment and tech stocks took the hit. The 30-year mortgage rate crossed 5% for the first time since 2011 and two days in 2018.
Scott Peters
05 Apr, 2022
New York City
MarketAxess Holdings dropped 9% after the fixed income trading platform reported its total credit monthly average daily volume fell 3% from a year ago. The combined daily U.S. high grade and high yield volume fell 6% but total credit trading volume in the month increased to $894.6 billion, second best monthly record.
Scott Peters
05 Apr, 2022
New York City
Carvana plunged 9% after an RBC Capital analyst downgraded the stocks and highlighted that the company is expanding at a faster pace than the sales growth. The online auto retailer is expected to sell about 550,000 vehicles in 2022 against the expanded capacity of 3.3 million. Moreover, the recent Adesa car auction service may face integration risks.
