HomeBusinessS&P 500 slips to...

S&P 500 slips to kick off August, Dow notches small gain after touching highest level in over a year: Live updates


21 Mins Ago

S&P 500 finished lower to start August

The S&P 500 and Nasdaq Composite finished lower on Tuesday to start the new trading month.

The broad-based index lost 0.27% to finish at 4,576.73, while the tech-heavy Nasdaq dropped 0.43% to end at 14,283.91. The Dow Jones Industrial Average added 71.15 points, or 0.2%, to settle at 35,630.68.

— Samantha Subin

41 Mins Ago

JPMorgan’s Kolanovic remains skeptical of the market rally

JPMorgan strategist Marko Kolanovic reiterated his skepticism of the market rally in a Monday note.

“Positive news on growth and inflation are fueling optimism for a soft-landing scenario in which inflation returns to target, providing space for DM central banks to ease,” he wrote. “We remain skeptical of this outcome, however, anticipating the inflation decline to prove incomplete, leaving restrictive policies in place that should increase private sector vulnerabilities and end the global expansion.”

“Equity valuations (multiples) are not pricing a soft landing, but rather a continued expansion (no landing) and simultaneous monetary easing (reduction of interest rates and/or QE),” Kolanovic added.

— Fred Imbert, Michael Bloom

An Hour Ago

August will test the market rally, if history is any indication

The stock market is riding high after a strong performance in July, but August could be a difficult month for investors.

Data compiled by the Stock Trader’s Almanac shows the S&P 500 averages just a 0.1% gain in August. That makes it the third-worst month on average for the benchmark index. The Dow, meanwhile, averages a loss of 0.04% in August.

The Nasdaq also averages a gain of just 0.5% this month, making the second-worst for the tech-heavy index.

— Fred Imbert

An Hour Ago

PayPal still has to address ‘unaddressed’ investor concerns ahead of earnings, Morgan Stanley says

Investors will be looking for PayPal to address investor concerns ahead of second quarter earnings, according to Morgan Stanley.

“PYPL has essentially recovered to the levels last seen heading into its 1Q23 earnings on the back of improving consumer sentiment and better eComm data points,” analyst James Faucette wrote in a Tuesday note. “However, we think that investors’ operational and organizational concerns remain largely unaddressed.”

Faucette said investors are looking for guidance on the company’s succession plan, growing Venmo and gaining a larger market share in the e-commerce segment.

PayPal will report quarterly results on Wednesday, and analysts polled by FactSet are forecasting an adjusted $1.15 per share.

— Brian Evans

An Hour Ago

Tupperware surges another 27%

Tupperware‘s stock jumped another 27% on Tuesday, to $5.51, building on its recent string of gains.

The recent mammoth move in shares — up almost 600% since June 30 — reminds some investors of the frenzy seen in so-called “meme stocks” in 2021.

Short interest in Tupperware recently stood at 27% of the shares available to be traded, according to FactSet.

— Samantha Subin

An Hour Ago

Investors continued to snap up tech, communication services in July

Investors continued to snap up tech stocks in July while dumping shares in more defensive sectors, according to E-Trade, a subsidiary of Morgan Stanley.

Information technology, consumer discretionary and communication services were the only sectors that saw net buying last month, as investors continued to shift toward mega-cap tech names such as Nvidia, Amazon and Alphabet, according to monthly sector data from the firm.

Of the eight other sectors that saw net selling, defensive sectors such as consumer staples suffered the steepest losses. The sector was down more than 21% in July, down from a near 4.9% decline in June.

“[Traders] are continuing to lean risk-on,” E-Trade’s Chris Larkin said in written commentary.

— Sarah Min

An Hour Ago

Goldman’s Scott Rubner sees ‘small-ish’ correction happening this month

Bullish sentiment has gotten so strong that it’s concerning for Goldman Sachs’ Scott Rubner.

“I am so bullish, that I am actually bearish now for August. I am looking for a small-ish equity market correction in August,” he said in a Monday note. “My core behavioral view is that I no longer speak to any ‘macro’ bears. Positioning and sentiment is no longer Pessimistic, it is Euphoric.”

He remains bullish on China and emerging market equities, however. 

Rubner’s comments come as Wall Street pores through corporate results. While second-quarter earnings have been better than expected, “investors have not rewarded stocks” exceeding expectations. “On the day after releasing results, stocks beating consensus expectations underperformed by a greater amount than almost any time (i.e. removing Covid) during the past 18 years.”

— Pia Singh

2 Hours Ago

It’s ‘too soon’ to celebrate a soft landing, says EP Wealth’s Phillips

Despite some promising signs of easing inflation, it’s “too soon” to guarantee a soft landing scenario just yet, said Adam Phillips, managing director at EP Wealth Advisors.

“We’ve seen progress, that’s all well and good, but let’s not celebrate just yet,” he said. “There are still a lot of things that are up in the air.”

Phillips highlighted gas prices hovering near months-long highs among his reasons for caution, noting that policy acts with a lag and can take time work through the system and impact economic data.

— Samantha Subin

2 Hours Ago

Coinbase shares slide after Manhattan judge contradicts Ripple ruling on crypto securities

Shares of Coinbase dropped about 6% after a federal judge said some crypto assets are securities regardless of the context in which they are sold.

The opinion came from the same Manhattan federal court that handed down a ruling last month in the Securities and Exchange’s suit against Ripple, which said the opposite: that Ripple’s XRP is a security in certain situations but not in others. Coinbase shares rallied more than 24% the day of that ruling on optimism that it might prevail in its own battle with the SEC.

“While the prices of COIN shares and crypto altcoins jumped following Judge Torres’ Ripple
ruling on July 13, we argued that the enthusiasm arising from the decision could be short-lived due in part to questions about the logical underpinnings of the ruling raised in its aftermath by legal experts,” Mark Palmer, an analyst at Berenberg Capital Markets, said in a note Tuesday.

“Some observers suggested that COIN would be a significant beneficiary of Judge Torres’ ruling, while others, us among them, noted that it was a single ruling by a district judge, and that it did not represent a binding precedent,” he added.

— Tanaya Macheel

3 Hours Ago

Deutsche Bank downgrades ZoomInfo on management concerns, revenue miss

Deutsche Bank downgraded ZoomInfo Technologies to hold from buy after the data company reported a weak outlook for third-quarter revenue. 

The firm kept its $20 price target, which would imply a nearly 22% decrease from Monday’s close. Shares of ZoomInfo were down 24.6% on Tuesday.

“We are concerned by management’s persistent lack of visibility and a multiple (based on AH trading) that is not without downside risk,” Zelnick wrote. “While ZoomInfo is no doubt delivering tangible benefits for customers, we are a little surprised by its inability to command price like other software companies and see this likely feeding the bear narrative around competition (particularly at the lower end of the market).”

ZoomInfo reported Monday that it anticipates $309 million to $312 million in revenue, while analysts polled by Refinitiv had called for $326 million. ZoomInfo’s second-quarter revenue of $309 million also missed expectations, as analysts estimated $311 million.

— Pia Singh

3 Hours Ago

Health tech stock advances after RBC says there’s upside ahead

ResMed advanced nearly 2% after RBC turned bullish on the health technology stock.

Analyst Craig Wong-Pan upgraded shares to outperform, noting a strong position in the sleep and respiratory markets in addition to an appealing risk-reward ratio. His price target for shares of $284 suggests that he thinks the stock could have another 27.7% upside. Shares have gained slightly more than 9% this year.

“Over the past few years, ResMed has been gaining share in the sleep market by launching new and innovative products. We expect ResMed to continue investing a significant amount into R&D that will maintain its leadership in new and innovative products,” he said, using an acronym for research and development.

— Alex Harring

3 Hours Ago

History shows more market strength may be ahead after S&P 500 notches 5-month streak

The S&P 500 finished its fifth straight winning month with Monday’s close. If history repeats itself, that honorific could signal there’s more good news ahead.

On average, the index is also higher one, three, six and 12 months after the fifth winning month concludes, according to historical data analyzed by the Carson Group. And those performances are usually strong when compared against baseline S&P 500 data.

The S&P 500 has notched monthly win streaks of this length just 29 times since 1950, the data shows. More than nine times out of 10, the S&P 500 was higher a year later. It was up more than four times out of every five at the six-month point.

To be sure, it’s not a perfect science. In 2021, which was the last time a streak of this length was reached, the index was down nearly 12% a year later. And the last time before that, which was in 2020, the S&P 500 finished the next month almost 4% lower.

— Alex Harring

4 Hours Ago

10-year Treasury yield hits highest level since early July

The yield on the benchmark 10-year Treasury note reached its highest level since early July.

The 10-year yield reached a fresh high of 4.049%, its highest point since July 10 when it yielded as high as 4.092%.

Meanwhile, the spread between the 2-year and 10-year Treasury hit a high of -86.0. That’s the highest level since July 13, when the spread was as much as -82.30.

— Gina Francolla, Sarah Min

4 Hours Ago

Stocks making the biggest moves midday

Check out the companies making headlines in midday trading.

  • Toyota Motor — Shares rose 1.7%, hitting a new 52-week high, after the company reported a revenue beat in the fiscal first quarter.
  • Coinbase – Shares of the crypto exchange dropped 8% after a federal judge said some crypto assets are securities regardless of the context in which they are sold.
  • ResMed — The health technology stock advanced 1.9% after RBC upgraded shares to outperform, citing an appealing risk-reward profile.
  • Gap, American Eagle— Shares of Gap were up 2% during midday trading after Barclays upgraded the stock to overweight from equal weight.

Check out the full list here.

— Hakyung Kim

4 Hours Ago

Bank of America is bullish on DoorDash

Credit card spending trends point to a positive second-quarter report from food delivery company DoorDash, according to Bank of America. Analyst Michael McGovern hiked his price target on the stock to $95 per share from $82 and reiterated his buy rating on the stock.

“BAC aggregated credit & debit card data for Online Restaurant Delivery spending shows that Online Restaurant spending (card not present) accelerated 2pts vs. May, reaching 6% Y/Y, with growth for the lower income cohort also accelerating to 8% Y/Y (vs. higher income cohort at +4%),” McGovern said in a note to clients.

DoorDash is set to report earnings after the market close on Wednesday.

— Jesse Pound

5 Hours Ago

Norwegian falls on soft guidance, pulling down competitors

Norwegian Cruise Line tumbled more than 14% in Tuesday’s session as weak expectations for the current quarter outweighed a better-than-expected second financial report.

The company beat Wall Street expectations on both lines in the second quarter, posting 30 cents per share, excluding items, on $2.21 billion in revenue. Analysts surveyed by Refinitiv anticipated 27 cents earned per share on $2.17 billion.

But Norwegian said to expect earnings for the currently ongoing quarter to come in below where Wall Street has set its expectations. Competitor Royal Caribbean, meanwhile, raised its full-year earnings outlook above where analyst forecasted when reporting earnings last week.

Royal Caribbean took a relatively modest slide in Tuesday’s session, slipping 2.3%. Carnival Cruise Line fell 6.1%.

— Alex Harring, Seema Moody

5 Hours Ago

Gap advances as Barclays turns bullish

Gap shares rose more nearly 2% in premarket trading after Barclays got off the sidelines on the retailer’s stock.

Analyst Adrienne Yih upgraded the retailer to overweight from equal weight. CNBC Pro subscribers can see her reasoning here.

— Alex Harring

5 Hours Ago

Job openings decline in June

Job openings moved lower in June, according to data from the Labor Department released Tuesday.

Employment openings totaled 9.58 million for the month, edging lower from the downwardly revised 9.62 million in May, the department said in its monthly Job Openings and Labor Turnover Survey. It marks the lowest level of openings since April 2021 and below the 9.7 million estimate from FactSet.

Layoffs also moved down to 1.53 million, after totaling 1.55 million in May.

— Jeff Cox

6 Hours Ago

JetBlue falls on outlook cut

JetBlue Airways shares shed nearly 8% after the airline slashed its full-year outlook as more consumers choose to travel abroad.

The company said it now expects full-year earnings to range from 5 cents to 40 cents per share, down from a previous estimate of as much as $1. JetBlue also said it anticipates a loss for the current quarter and decline in revenue from a year ago.

Despite Tuesday’s stock move, the airline reported earning roughly in line with analysts expectations, posting EPS of 45 cents on $2.61 billion in revenue. Analysts polled by Refinitiv had expected EPS of 44 cents and $2.61 billion in sales.

JetBlue is also dealing with the fallout from the end of its partnership with American Airlines in the Northeast.

Other airline stocks moved lower on the news, with American, Delta Air Lines and United Airlines last down more than 3% each. Southwest Airlines lost 2.4%.

— Samantha Subin, Leslie Josephs

6 Hours Ago

Manufacturing activity contracts for a ninth straight month

The ISM manufacturing PMI came in at 46.4, lower than the StreetAccount estimate of 46.9. This marks the ninth straight month the index has been in contractionary territory. (A number above 50 indicates expansion; one below 50 indicates contraction).

However, the print is an uptick from June’s 46 number.

“Demand remains weak but marginally better compared to June, production slowed due to lack of work, and suppliers continue to have capacity. There are signs of more employment reduction actions in the near term to better match production output,” Timothy R. Fiore, Chair of the ISM Manufacturing Business Survey Committee, said in a statement.

— Fred Imbert





Source link

Most Popular

LEAVE A REPLY

Please enter your comment!
Please enter your name here

More from Author

Read Now

Fever select Caitlin Clark with No. 1 pick in WNBA Draft

BROOKLYN, N.Y. — Eight days after completing one of the greatest collegiate basketball careers ever recorded, Caitlin Clark was selected with the No. 1 pick in Monday’s WNBA Draft by the Indiana Fever.Clark is poised to not only help the Fever return to the postseason for...

In 1998, Bollywood star killed two blackbucks. A gang still seeks revenge.

Khan has been in the crosshairs of an armed gang since 1998 for shooting two blackbucks on a recreational hunting trip.Two members of a notorious criminal gang have been arrested for firing at the home of Bollywood actor Salman Khan in apparent retaliation for the superstar’s...

14 More Games Land on PS Plus Extra, Premium Today

As always, we ran a Poll over the weekend to gather your thoughts on the line-up, and (almost) as always, one-third of you responded by saying "it's a crap selection". 26 per cent of voters were at least somewhat happy with the selection, with Dave the...

Where Biden’s billions in chipmaking money have gone — and what could be next

The White House announcement this week of up to $6.4 billion in chipmaking cash for Samsung (005930.KS) marks a move to the next phase of the Biden administration's effort to bring semiconductor manufacturing back to the US.The focus so far has largely been on leading-edge logic...

WNBA expansion headed for 16 teams. Portland, Toronto and Philly are options

NEW YORK — The WNBA is looking to continue growing in the next few years. The league intends to reach 16 teams by 2028, commissioner Cathy Engelbert said before the draft, confirming The Athletic report from earlier Monday.The league announced earlier this year that the Bay...

Microsoft Makes High-Stakes Play in Tech Cold War With Emirati A.I. Deal

Microsoft on Tuesday said it would make a $1.5 billion investment in G42, an artificial intelligence giant in the United Arab Emirates, in a deal largely orchestrated by the Biden administration to box out China as Washington and Beijing battle over who will exercise technological influence...

A hockey puck hurtled toward her son’s head. A fan jumped to block it.

Just over a minute was left on the clock during a hockey game in Cleveland Thursday when a player struck the puck, sending it barreling into the stands and toward Asia Davis’s 4-year-old son. That’s when another fan jumped and extended his right arm to block...

Thailand’s Finance Ministry to lead 17 agencies in considering House report on legalizing casinos

Thailand’s Ministry of Finance has been appointed lead agency to consider a House committee study recommending the legalization of casino gaming but will work with 16 other agencies in doing so, local media reports. According to English-language outlet The Nation, the appointment was ordered by way of...

WWE RAW Results Coverage, Reactions and Highlights for April 15, 2024

It’s Monday night, and you know what that means! WWE RAW will go down tonight, and Ringside News has got you covered with live play-by-play results coverage for the April 15, 2024 episode. The start time for WWE RAW is 8:00 PM EST. Match-by-match highlights...

Coachella Weekend 1 Recap, J Balvin’s Out Of This World Coachella Set, Metro Boomin & Future Top Hot 100 | Billboard News

It’s Monday April 15th, Billboard counts down the top 10 on the Hot 100, we’re running down all the headliners and special guest performers and some notable audience members that went down at the first weekend of Coachella, J Balvin gives us a behind the scene...