Market Update
U.S. Movers: Costco, Delta Air Lines, MicroStrategy, PepsiCo, Pfizer, PriceSmart, WD 40 Company,
Scott Peters
11 Jul, 2024
New York City
Costco Wholesale declined 3.5% to $853.66 after the warehouse membership club operator raised annual subscription fee in the U.S. and Canada by $5 and premium membership by $10.
MicroStrategy jumped 7.2% to $1,400.36, and the largest corporate holder of bitcoin announced a 10-to-1 stock split on Thursday.
The company announced two classes of stock, Class A and Class B, to make its stock more accessible to investors and employees.
Delta Air Lines declined 5.8% to $44.11, and the international air carrier reported weaker-than-expected quarterly results.
The airline said net income in the second quarter dropped 30%, despite revenue reaching a record high.
The company also estimated a lower-than-expected increase in revenue in the current quarter and estimated earnings per share in the third quarter to range between $1.74 and $2.0.
Pfizer jumped 0.5% to $28.45, and the drugmaker said it will continue making its daily weight-loss pill following encouraging data in early-stage trials.
PepsiCo decreased 0.6% to $162.16 after the snack and beverage company reported mixed quarterly results.
Revenue increased 0.8% to $22.5 billion from $22.3 billion, net income advanced to $3.1 billion from $2.8 billion, and diluted earnings per share rose to $2.23 from $1.99 a year ago.
WD 40 Company increased 2.8% to $225.90, and the lubricant maker reported better-than-expected fiscal third quarter results.
PriceSmart edged slightly higher to $78.27 after the membership warehouse retail chain reported fiscal third-quarter results that were ahead of market expectations.
U.S. Treasury Yields Edged Lower After Consumer Inflation Eased In June
Barry Adams
11 Jul, 2024
New York City
Benchmark indexes hugged the flatline, and U.S. Treasury yields edged lower after the release of June consumer price inflation data.
The S&P 500 index and the Nasdaq Composite inched slightly lower after consumer price inflation dropped to a three-year low level, but prices are still rising faster than the 2% target set by the U.S. Federal Reserve.
Consumer price inflation eased for the third month in a row to 3.0% from 3.3% in May, the lowest since June 2023, the U.S. Bureau of Labor Statistics reported Thursday.
Core inflation, which excludes volatile food and energy prices, eased to an annual pace of 3.3% in June from 3.4% in May and extended its decline after peaking at 6.6% in September 2022.
Treasury yields also eased after the release of the June inflation data, and traders upped their bets that the Federal Reserve is more likely to cut rates after its September policy meeting.
High-growth tech stocks, home builders, and home renovation retailers edged higher in the hopes that lower interest rates would spur more demand.
Nvidia, Broadcom, Qualcomm, Home Depot, Lowe's, D.R. Horton, Lennar, and NVR advanced more than 1% in early trading.
U.S. Indexes and Treasury Yields
The S&P 500 index increased 0.1% to 5,640.04, and the Nasdaq Composite fell 0.1% to 18,646.76.
The yield on 2-year Treasury notes edged higher to 4.52%, 10-year Treasury notes increased to 4.18%, and 30-year Treasury bonds edged lower to 4.39%.
WTI crude oil decreased $0.29 to $81.81 a barrel, and natural gas prices edged down 3 cents to $2.29 a thermal unit.
Gold decreased by $36.27 to $2,408.85 an ounce, and silver rose 65 cents to $31.50.
The dollar index, which weighs the U.S. currency against a basket of foreign currencies, edged lower to 104.23.
U.S. Stock Movers
Costco Wholesale declined 3.5% to $853.66 after the warehouse membership club operator raised annual subscription feel in the U.S. and Canada by $5 and premium membership by $10.
MicroStrategy jumped 7.2% to $1,400.36, and the largest corporate holder of bitcoin announced a 10-to-1 stock split on Thursday.
The company announced two classes of stock, Class A and Class B, to make its stock more accessible to investors and employees.
Delta Air Lines declined 5.8% to $44.11, and the international air carrier reported weaker-than-expected quarterly results.
The airline said net income in the second quarter dropped 30%, despite revenue reaching a record high.
The company also estimated a lower-than-expected increase in revenue in the current quarter and estimated earnings per share in the third quarter to range between $1.74 and $2.0.
Pfizer jumped 0.5% to $28.45, and the drugmaker said it will continue making its daily weight-loss pill following encouraging data in early-stage trials.
PepsiCo decreased 0.6% to $162.16 after the snack and beverage company reported mixed quarterly results.
Revenue increased 0.8% to $22.5 billion from $22.3 billion, net income advanced to $3.1 billion from $2.8 billion, and diluted earnings per share rose to $2.23 from $1.99 a year ago.
WD 40 Company increased 2.8% to $225.90, and the lubricant maker reported better-than-expected fiscal third quarter results.
PriceSmart edged slightly higher to $78.27 after the membership warehouse retail chain reported fiscal third-quarter results that were ahead of market expectations.
Europe Movers: Hugo Boss, Fielmann, John Wood, Severn Trent, Suedzucker
Inga Muller
11 Jul, 2024
Frankfurt
Political turmoil in France shows no sign of abating, with the potential to drag down the euro amid well-entrenched divisions among three political blocs with no clear majority.
The DAX index increased by 0.3% to 18,452.74; the CAC-40 index rose by 0.4% to 7,607.24; and the FTSE 100 index rose by 0.2% to 8,211.63.
The yield on 10-year German bonds edged higher to 2.54%. French bonds inched higher to 3.20%; the UK gilts inched higher to 4.16%; and Italian bonds increased to 3.86%.
Hugo Boss increased 1.4% to €39.92, and Frasers Group increased its stake in the fashion company.
Suedzucker AG fell 6.3% to €12.81 after the sugar producer reported a first-quarter profit decline of 45% from a year earlier.
Fielmann Group AG increased 3.3% to €43.05 after the German eyewear company reported positive first-half results and estimated an improved operating earnings margin in 2024 and 2025.
Severn Trent rose 4.2% to 2,727.0 pence after the water management and distribution company said its financial performance is in line with management expectations.
The company also confirmed its capital investment plan for the current year to range between £1.3 billion and £1.5 billion.
John Wood Group decreased 0.9% to 205.20 pence after the oil service company reported a 6% decline in the first half ending in June.
Euro In Focus as Sharp Divisions Keep French Parties From Forming the Next Government
Bridgette Randall
11 Jul, 2024
London
European markets advanced for the second day in a row after falling in three previous sessions as investors attempted to look beyond the brewing political crisis in France.
Benchmark indexes in Paris, London, and Frankfurt edged up more than 0.3%, and France's political turmoil shows no sign of easing.
President Emmanuel Macron's Renaissance party appears to be heading for a division, and the newly formed Popular Front is heading for infighting as lawmakers haggle to agree on a new government.
Moreover, President Macron's letter published in regional newspapers reiterated that "no one" won the snap election and urged parties to form a "broad" coalition, confirming sharp divisions among members of parliament.
France's hung parliament has forced parties of various ideologies to set aside their differences to form a coalition government.
The Centrist-Renaissance party and its Ensemble bloc (168 seats) are likely to form an alliance with Les Republicains (66 seats), and five independent candidates, totaling 239, could form a minority government in France's 577-member parliament.
French political turmoil is likely to worsen in the weeks ahead as the nation prepares for the Summer Olympics, but the ongoing political crisis also stokes fears of France weakening its influence in the European Union.
On the economic front, Germany's consumer price inflation was confirmed at 2.2% in June, following a 3-month high of 2.4% in May, the Federal Statistical Office, or Destatis, confirmed Thursday.
Real GDP in the UK edged up 0.4% in May after showing no growth in April, the Office for National Statistics reported Thursday.
Europe Indexes and Yields
The DAX index increased by 0.3% to 18,452.74; the CAC-40 index rose by 0.4% to 7,607.24; and the FTSE 100 index rose by 0.2% to 8,211.63.
The yield on 10-year German bonds edged higher to 2.54%. French bonds inched higher to 3.20%; the UK gilts inched higher to 4.16%; and Italian bonds increased to 3.86%.
The euro edged lower to $1.08; the British pound inched higher to $1.28; and the U.S. dollar weakened to 89.82 Swiss cents.
Brent crude increased $0.22 to $85.29 a barrel, and the Dutch TTF natural gas rose by €0.58 to €31.24 per MWh.
Europe Stock Movers
Hugo Boss increased 1.4% to €39.92, and Frasers Group increased its stake in the fashion company.
Suedzucker AG fell 6.3% to €12.81 after the sugar producer reported a first-quarter profit decline of 45% from a year earlier.
Fielmann Group AG increased 3.3% to €43.05 after the German eyewear company reported positive first-half results and estimated an improved operating earnings margin in 2024 and 2025.
Severn Trent rose 4.2% to 2,727.0 pence after the water management and distribution company said its financial performance is in line with management expectations.
The company also confirmed its capital investment plan for the current year to range between £1.3 billion and £1.5 billion.
John Wood Group decreased 0.9% to 205.20 pence after the oil service company reported a 6% decline in the first half ending in June.
Nikkei 225 Hits Third Consecutive High, Core Machinery Orders Unexpectedly Declined in May
Akira Ito
11 Jul, 2024
Tokyo
The Nikkei 225 index closed at a new record high, and the Topix index inched higher to a new 34-year high as investors backed up tech stocks.
The enthusiasm surrounding artificial intelligence-linked chip and equipment stocks and expectations that the Federal Reserve is closer to cutting rates supported the market advance.
Traders also bet that the Bank of Japan is more likely to taper its monthly Japanese government bond buying to 3 trillion yen from the current 6 trillion yen purchase amid pushbacks from large banks.
The yen drifted lower to a new record three-decade low of 161.62 against the U.S. dollar on the worry that the Bank of Japan is still not ready to adjust rates higher and close the yield gap with U.S. bonds.
The sharp decline in the yen has got small and medium-sized businesses worried because they can't pass on higher prices to consumers and have to import at a at a higher cost, denting their profit margins.
On the economic front, Japan's core machinery orders, which exclude large-ticket orders like ships and power-generating equipment, rose 10.8% from a year ago in May, when orders rose paltry 0.7%.
Orders declined 3.2% from the previous month and accelerated the fall from 2.9% in April to 857.8 billion yen, the Cabinet Office reported Thursday.
For the second quarter ending in June, orders are likely to decline 1.6% from the previous quarter and fall 2.8% from a year ago to 2.58 trillion yen.
Japan Stock Movers
The Nikkei 225 closed at a record new high and crossed 42,000 for the first time, and the stock average and the Topix index advanced for the third consecutive day in a row this week.
The Nikkei 225 stock average increased 0.9% to 42,224.02, and the Topix index rose 0.7% to 2,929.17.
Tech stocks traded mixed, and Tokyo Electron gained 0.6%, but Advantest and Screen Holdings declined more than 1.5%.
Softbank Group added 0.8% to ¥11,920.0 after artificial intelligence-linked stocks, including Broadcom, Nvidia, and Qualcomm, jumped as much as 2% in overnight trading in New York.
NTN, Trend Micro, and Nitto Denko gained more than 3%.
Mercari Inc. declined 3% to ¥2,324.0.
China Stocks Rebound After Regulators Imposed Additional Curbs On Short Sellers
Li Chen
11 Jul, 2024
Hong Kong
Stocks in Shanghai and Hong Kong jumped after securities regulators took additional steps to support markets amid weak economic data and a lackluster earnings outlook.
The Hang Seng index and the CSI 300 index jumped between 1% and 2% after the China Securities Regulatory Commission lifted the margin requirement for short selling.
The new margin requirement was raised to 100% from the current 80% for individual investors and to 120% for hedge funds.
The regulatory agency also places additional restrictions on quant-trading firms to root out market speculators.
The move from the regulatory agency comes after the state-backed financial firm's intervention petered out and the Hang Seng index dropped 11% from its peak in May, wiping out most of the gains since late January.
Despite the current move by the regulatory agency, benchmark indexes are expected to resume their downward slide amid weak earnings expectations, a protracted property market slump, and weak consumer demand.
Chinese Communist Party policymakers are scheduled to meet Monday for the four-day third plenum, where party leader Xi Jinping is expected to announce the policy framework for the next five years.
The much-delayed policy meeting is likely to deliver a broader outline for economic reforms, a boost for technology development, and new incentives for foreign investors.
However, market expectations for deep economic reforms are low.
China Stock Movers
The Hang Seng index soared 1.8% to 17,792.04, and the CSI 300 index added 1% to 3,464.53.
Electric vehicle makers soared in active trading, and Li Auto, BYD, and Xpeng jumped between 2% and 7%.
Baidu, Meituan, Alibaba Group, JD.com, and Tencent Holding advanced between 1.5% and 4%.
India Movers: Bartronics, Glenmark Life, IRB Infrastructure, Kesoram, Nykaa, SBI, Tata Elxsi, Yes Bank
Arun Goswami
11 Jul, 2024
Mumbai
Benchmark indexes in Mumbai edged lower ahead of the start of the earnings season.
Tech services providers are expected to report a moderate increase in revenue in the latest quarter amid weak demand in the U.S.
The Sensex index decreased by 0.4% to 79,652.20, and the Nifty index declined by 0.4% to 24,259.95.
On the Mumbai stock exchange, 192 stocks traded at their 52-week highs, and 13 stocks traded at their 52-week lows.
Yes Bank jumped 5% to ₹26.21 on a report that First Abu Dhabi Bank is considering acquiring a 51% stake in the bank.
Separately, the U.S.-based rating agency Moody's revised its outlook for the company's long-term debt rating to "positive" from "stable" on the expectations of a gradual improvement in its depositor base and lending network.
State Bank of India increased 0.4% to ₹852.50, and the bank completed its ₹10,000 core infrastructure bond offering at a coupon rate of 7.36%.
The ₹5,000 crore offering was oversubscribed by 3.6 times, according to the company's filing with exchanges.
FSN E-Commerce Ventures, the parent company of Nykka, gained 1.2% to ₹177.21, and the ICICI Prudential Mutual Fund acquired on Wednesday 1.5 crore shares in the company at an average price of ₹174.04 per share.
The Canada Pension Plan Investment Board sold its stake in a block deal to ICICI Prudential Mutual Fund.
Glenmark Life Sciences declined 2.5% to ₹853.20, and Glenmark Pharma and Glen Saldhana plan to sell up to a 7.85% stake in the company at a minimum price of ₹810 per share.
Tata Elxsi declined 2% to ₹6,979.60, and the company said its revenue increased by 2.3% from the previous quarter to ₹926.5 crore and net profit dropped 6.5% to ₹184.1 crore.
IRB Infrastructure Developers inched higher 0.5% to ₹68.34, and the company said gross toll collection in June jumped 35% from a year ago to ₹517 crore.
Bartronics India Ltd. gained 1.4% to ₹20.99, and a key investor, Kinex India Pvt Ltd., plans to sell 1.35 crore shares, or 4.43% stake, in the company to meet the minimum public shareholding regulatory requirement for listed companies.
Power Grid Corporation decreased 0.4% to ₹344.85, and the company plans to increase its borrowing limit to ₹15,000 core from the existing ₹12,000 crore in the current financial year.
Kesoram Industries declined 0.8% to ₹209.55, and the company reported a wider loss in the June quarter.
Revenue in the quarter declined 12% to ₹209.55, and net loss expanded to ₹62 crore from ₹32.4 crore a year ago.
S&P 500 and Nasdaq Scale New Peaks as Market Rally Extends to Sixth Consecutive Week
Alexander Garcia
10 Jul, 2024
Miami
Optimism ruled stock markets on Wall Street as investors looked ahead to the start of earnings season amid positive economic backdrop.
Stocks on Wall Street advanced on Wednesday as investors looked forward to inflation data and digested the latest comments from Fed Chair Powell.
The S&P 500 index and the Nasdaq Composite advanced in the previous five consecutive weeks and extended their gains in the sixth week so far.
The S&P 500 index advanced for the fifth session, and the Nasdaq Composite edged higher for the seventh session in a row amid expectations of weakening consumer price and producer price inflation.
Consumer price inflation data is scheduled to be released on Thursday and producer price inflation on Friday.
The Federal Reserve policymakers are struggling to bring down inflation to its 2% target rate after several indicators show consumer prices are still rising at closer to 3%, despite eleven rate hikes over 2022 and 2023.
Moreover, interest rates are not restrictive enough to slow down the economy and moderate wage gains, which is also contributing to higher inflation.
Fed Chair Powell reiterated, in a testimony to the U.S. Senate Banking Committee, the central bank's commitment to lower interest but said "more good data on inflation" is needed to determine that inflation is on the downward path.
Chairman Powell is likely to reiterate his views to the U.S. House Financial Services Committee later today, but he is not expected to shed any light on the timeline for withdrawing the pandemic-era stimulus.
The root cause of the latest bout of high inflation over the past three years is the Federal Reserve's reckless money printing during the COVID-19 pandemic, pumping more than four trillion dollars into the U.S. economy.
On the earnings front, investors are anticipating positive quarterly results this week from JPMorgan Chase, PepsiCo, Morgan Stanley, Wells Fargo, Morgan Stanley, and Bank of New York Mellon.
U.S. Indexes and Treasury Yields
The S&P 500 index increased 0.5% to 5,603.34, and the Nasdaq Composite rose 0.6% to 18,541.15.
The yield on 2-year Treasury notes edged higher to 4.62%, 10-year Treasury notes increased to 4.29%, and 30-year Treasury bonds edged lower to 4.48%.
WTI crude oil decreased $0.08 to $81.47 a barrel, and natural gas prices edged up 1 cent to $2.34 a thermal unit.
Gold decreased by $15.42 to $2,380.45 an ounce, and silver rose 20 cents to $31.20.
The dollar index, which weighs the U.S. currency against a basket of foreign currencies, edged lower to 105.05.
U.S. Stock Movers
3M declined 0.2% to $99.55 after the company said its chief financial officer, Monish Patolawala, is leaving the company to "pursue other opportunities" effective July 31.
Taiwan Semiconductor Manufacturing jumped 1.3% to $188.60, and the advanced semiconductor chip maker reported better-than-expected revenue in June.
Consolidated revenue in June was approximately NT$207.87 billion, a decrease of 9.5% from May and an increase of 32.9% from June 2023.
Revenue in the first half of 2024 totaled NT$1,266.15 billion, an increase of 28% compared to the same period a year earlier.
LegalZoom.com plunged 28% to $5.66 after the company said its chief executive, Dan Wernikoff, has resigned from the office.
The company also lowered its annual revenue outlook to between $675 million and $685 million from the previous guidance of between $700 million and $720 million.
European Stocks Halted 3-Day Slump, Political Turmoil In France Deepens
European markets rebounded from a three-day slump, but political uncertainty loomed in France as lawmakers struggled to form an alliance after a heated snap election.
Benchmark indexes in Paris, London, and Frankfurt jumped as much as 0.8% as investors overlooked the brewing political malaise in France and focused on the upcoming earnings season.
French President Emmanuel Macron, breaking tradition, allowed ministers of the recently resigned government to hold positions and conduct daily activities after a change of majority in parliament.
With a hung parliament, France's leading position in the European Union is diminished, allowing it to influence political outcomes and nudge policies in its favor.
In addition, political disarray in Germany is also negatively impacting sentiment for the euro.
On the economic front, investors are also looking forward to the release of inflation data from France, Italy, and Spain this week.
Europe Indexes and Yields
The DAX index increased by 0.96% to 18,410.75; the CAC-40 index rose by 0.9% to 7,573.55; and the FTSE 100 index rose by 0.7% to 8,193.51.
The yield on 10-year German bonds edged lower to 2.51%. French bonds inched lower to 3.15%; the UK gilts inched lower to 4.10%; and Italian bonds decreased to 3.85%.
The euro edged lower to $1.08; the British pound inched higher to $1.28; and the U.S. dollar weakened to 89.80 Swiss cents.
Brent crude increased $0.92 to $85.55 a barrel, and the Dutch TTF natural gas fell by €0.39 to €30.70 per MWh.
Europe Stock Movers
BMW increased 0.9% to €88.40, despite the German luxury automaker reporting weak vehicle sales in the second quarter.
Volkswagen AG decreased 0.8% to €105.75 after the German automaker said it plans to close its facility in Brussels for Audi due to an ongoing decline in sales of electric vehicles.
Evotec SE soared 4% to €9.76 after the company announced a collaboration with Pfizer to accelerate drug discovery efforts in France.
Enagas gained 4.3% to €13.36 after the Spanish natural gas distribution grid operator said it agreed to sell its 30.2% stake in the Tallgrass to Blackstone for $1.1 billion.
Enagas and Blackstone teamed up in 2019 to acquire a 10.93% initial stake in Tallgrass Energy, a US energy infrastructure company founded in 2012.
It owns three inter-state gas pipelines regulated by the Federal Energy Regulatory Commission, with a total of 11,000 km of gas transmission pipelines, 2,400 km of gas gathering pipelines, and a 1,300 km oil pipeline.
Barratt Developments PLC declined 1.4% to 484.40 pence after the UK-based home builder said it is lowering its home sales estimate in the second half, citing elevated mortgage rates and challenging macroeconomic conditions.
Travis Perkins jumped 6.5% to 853.0 pence after the construction materials maker appointed a new chief executive.
Travis Perkins appointed Pete Redfern as Director and Chief Executive Officer on September 16, succeeding Nick Roberts, who will resign from the office on the same day.
Another High In Nikkei 225, Yen Drifts to a New 38-year Low
Market indexes in Tokyo advanced to new record highs following the market gains in New York.
The Nikkei 225 index and the Topix index gained to close at new record highs after the producer price index rose for the 41st month in a row.
Producer price index increased at an annual pace of 2.9% in June, following the upwardly revised 2.6% gain in the previous month.
Prices rose at the fastest pace since August 2023 as input costs and import costs continued to climb, and producer inflation was positive for the 41st month in a row.
The acceleration in inflation supported the case for the Bank of Japan to adjust its benchmark rate higher after the next policy meeting at the end of July.
The central bank is also scheduled to release its bond purchase tapering plan, which could increase confidence that policymakers are serious about narrowing the yield gap between the U.S. and Japan.
The yen resumed its upward march and traded at 141.36 against the U.S. dollar amid the persistently wide yield differential between the U.S. and Japanese bonds.
Japan Stock Movers
The Nikkei 225 stock averages increased by 0.6% to 41,831.99, and the Topix index advanced by 0.5% to 2,909.20.
Recruit Holdings jumped 3.6% to ¥9,484.0 after the company said it plans to buyback up to 5.7% of its outstanding shares over the next 12 months.
Tech stocks were among the most active, and Tokyo Electron, Advantest, Disco Corp., and SoftBank hovered around the flatline.
Tokio Marine jumped 4.8% to ¥6,596.0, MS&AD rose 4.2% to ¥3,930.0, and Mitsubishi Motors jumped 8.6% to ¥493.30.
GS Yuasa declined 5.9% to ¥2,938.0 and Lasertec Corp. declined 2.6% to ¥33,610.0.
China's Weak Consumer Inflation Highlights Broader Economic Malaise
Stocks traded volatile in Shanghai and Hong Kong after sluggish inflation data signaled weak consumer demand.
The Hang Seng index and the CSI 300 index declined as much as 0.5% after rallying in the morning hours in the hopes of additional market-supportive measures from policymakers.
Consumer price inflation slowed to an annual pace of 0.2% in June from 0.3% in May, the National Bureau of Statistics reported on Wednesday.
Consumer prices rose for the fifth month in a row, but the price increase slowed, suggesting weak consumer demand amid job market uncertainty and a protracted property market slump.
Core consumer price inflation, which excludes food and energy prices, rose 0.6% from a year earlier.
Consumer price inflation has stayed near zero since April last year, the longest period of deflation since the 2009 global financial crisis.
Annual inflation is expected to hover between 0.5% and 0.6%, sharply lower than the 3.0% target set by the central government's policymakers.
Producer prices declined 0.8% in June, and the measure of wholesale prices eased for the 21st month in a row as factory order growth remained weak, the statistical agency said in a separate report released on Wednesday.
China Stock Movers
The Hang Seng index decreased 0.05% to 17,516.64, and the CSI 300 index declined 0.2% to 3,432.29.
Baidu jumped 11.4% to HK$96.35, and the company's driverless robotaxi won early popularity in Wuhan, Hubei.
Additionally, Beijing city authorities are likely to permit the use of robots in ride-sharing services in the near future.
Nongfu Spring soared 4% to HK $35.10 on a report suggesting that the founder, Zhong Shanshan, is looking to increase his stake in the company by purchasing HK $2 billion or $256 million worth of stocks over the next six months.
Nongfu Spring is one of the largest bottled-water companies in China, and in the previous full-year, the company posted revenue of 42.6 billion yuan and net income of 12 billion yuan.
Four companies started trading on Hong Kong and mainland exchanges today.
Ruichang International, a maker of petroleum refining equipment, priced its initial public offering at HK $1.36 per share and raised HK $131.6 million.
Chenqi Technology priced its initial public offering at HK $35 per share and raised HK $1.01 billion, but the stock dropped as much as 15% in early trading.
Shanghai Voicecomm, the developer of conversational artificial intelligence technology, raised HK $572 million in its initial public offering and priced its stock at HK $152 per share.
Jirfine Intelligence Equipment soared to 57.30 yuan; the maker of CNC machines listed its stock at 26.50 yuan per share on the Shenzhen Stock Exchange and raised 800 million yuan.
U.S. Movers: 3M, LegalZoom.com, TSMC
Scott Peters
10 Jul, 2024
New York City
3M declined 0.2% to $99.55 after the company said its chief financial officer, Monish Patolawala, is leaving the company to "pursue other opportunities" effective July 31.
Taiwan Semiconductor Manufacturing jumped 1.3% to $188.60, and the advanced semiconductor chip maker reported better-than-expected revenue in June.
Consolidated revenue in June was approximately NT$207.87 billion, a decrease of 9.5% from May and an increase of 32.9% from June 2023.
Revenue in the first half of 2024 totaled NT$1,266.15 billion, an increase of 28% compared to the same period a year earlier.
LegalZoom.com plunged 28% to $5.66 after the company said its chief executive, Dan Wernikoff, has resigned from the office.
The company also lowered its annual revenue outlook to between $675 million and $685 million from the previous guidance of between $700 million and $720 million.
S&P 500 and Nasdaq Extend Rally to Fifth Consecutive Session
Barry Adams
10 Jul, 2024
New York City
Stocks on Wall Street advanced in early trading as investors looked forward to inflation data and digested the latest comments from Fed Chair Powell.
The S&P 500 index extended gains for the fifth session, and the Nasdaq Composite edged higher for the seventh session in a row amid expectations of weakening consumer price and producer price inflation.
Consumer price inflation data is scheduled to be released on Thursday and producer price inflation on Friday.
The Federal Reserve policymakers are struggling to bring down inflation to its 2% target rate after several indicators show consumer prices are still rising at closer to 3%, despite eleven rate hikes over 2022 and 2023.
Moreover, interest rates are not restrictive enough to slow down the economy and moderate wage gains, which is also contributing to higher inflation.
Fed Chair Powell reiterated, in a testimony to the U.S. Senate Banking Committee, the central bank's commitment to lower interest but said "more good data on inflation" is needed to determine that inflation is on the downward path.
Chairman Powell is likely to reiterate his views to the U.S. House Financial Services Committee later today, but he is not expected to shed any light on the timeline for withdrawing the pandemic-era stimulus.
The root cause of the latest bout of high inflation over the past three years is the Federal Reserve's reckless money printing during the COVID-19 pandemic, pumping more than four trillion dollars into the U.S. economy.
U.S. Indexes and Treasury Yields
The S&P 500 index increased 0.2% to 5,588.12, and the Nasdaq Composite rose 0.4% to 18,496.05.
The yield on 2-year Treasury notes edged higher to 4.62%, 10-year Treasury notes increased to 4.29%, and 30-year Treasury bonds edged lower to 4.48%.
WTI crude oil decreased $0.08 to $81.47 a barrel, and natural gas prices edged up 1 cent to $2.34 a thermal unit.
Gold decreased by $15.42 to $2,380.45 an ounce, and silver rose 20 cents to $31.20.
The dollar index, which weighs the U.S. currency against a basket of foreign currencies, edged lower to 105.05.
U.S. Stock Movers
3M declined 0.2% to $99.55 after the company said its chief financial officer, Monish Patolawala, is leaving the company to "pursue other opportunities" effective July 31.
Taiwan Semiconductor Manufacturing jumped 1.3% to $188.60, and the advanced semiconductor chip maker reported better-than-expected revenue in June.
Consolidated revenue in June was approximately NT$207.87 billion, a decrease of 9.5% from May and an increase of 32.9% from June 2023.
Revenue in the first half of 2024 totaled NT$1,266.15 billion, an increase of 28% compared to the same period a year earlier.
LegalZoom.com plunged 28% to $5.66 after the company said its chief executive, Dan Wernikoff, has resigned from the office.
The company also lowered its annual revenue outlook to between $675 million and $685 million from the previous guidance of between $700 million and $720 million.