U.S. Movers: Constellation Brands, Ford Motor, Paramount Global, Southwest Airlines

Scott Peters
03 Jul, 2024
New York City

The S&P 500 index and the Nasdaq Composite held near the record highs reached in the previous session. 

Private sector payrolls in June expanded at a slower-than-expected pace, and initial jobless claims rose more than estimated in the previous week. 

The U.S. goods and service trade deficit in May widened after exports decreased more than imports. 

The S&P 500 index increased 0.1% to 5,513.95, and the Nasdaq Composite rose 0.1% to 18,041.26. 

The yield on 2-year Treasury notes edged higher to 4.78%, 10-year Treasury notes increased to 4.43%, and 30-year Treasury bonds edged higher to 4.60%.

Constellation Brands gained 2.8% to $266.24, and the alcoholic beverage distributor reported better-than-expected quarterly results. 

Tesla Inc. advanced 2.4% to $236.02 and extended the previous session's gain of 10%. 

On Tuesday, Tesla said it sold 443,956 vehicles in the June quarter, 4.8% lower than a year ago, which helped with incentives and price cuts. 

Paramount Global jumped 13.5% to $12.13 after media reports suggested that Skydance Media had reached a preliminary agreement to acquire the controlling shareholder, National Amusements. 

The news of the deal was first reported by The New York Times and the Wall Street Journal. 

Southwest Airlines increased 0.6% to $28.43, and the company adopted a shareholder rights plan, also known as a poison pill after, activist investor Elliott Management acquired an 11% stake in the company. 

Under the so-called poison pill plan, existing shareholders will have the right to purchase additional shares in the company at a 50% discount. 

Elliott Management said in a regulatory filing that it has acquired an 11% stake in the regional airline for $1.9 billion. 

Ford Motor Company gained 0.1% to $12.89, and the company said total vehicle sales in the second quarter increased 1% from a year ago.

Total truck sales, including pickups and vans, increased 5% to 308,920, representing the best second-quarter truck sales since 2019. 

Sales of Ford electric vehicles soared 61% to 23957 units, and the company said the Mustang Mach E and F-150 Lighting are drawing new customers to the company.