Investors and traders in anticipation, fundamental and corporate news
Market reviews
• Futures pointed to U.S. and European bourses set for a muted open after Asian shares rose 0.4% on Thursday, recouping some of their weekly losses, although MSCI's broadest index of Asia-Pacific shares outside Japan is still down 2.2% this week. Risk sentiment remained weak, with the yen holding its ground throughout the week as traders sought safe havens, while the dollar held steady in Asian hours after weakening overnight. Hawkish rhetoric from the Bank of Japan also supported the yen after BOJ Governor Hajime Takata hinted the central bank should continue raising interest rates.
• The Bank of Canada on Wednesday cut its key interest rate for a third straight time, by a quarter percentage point to 4.25%, and said it was concerned about the risk that the economy was too weak and inflation would slow too quickly. Explaining the rate cut, Bank of Canada Governor Tiff Macklem said there was “little evidence” of widespread inflation pressures, adding that further rate cuts could come in the near term as long as inflation continued to slow. The central bank sets interest rates to achieve and maintain inflation at 2%. The latest data, covering July, showed inflation had slowed to 2.5%, or a 40-month low. The Bank of Canada last cut rates three times in a row in 2009, when the global economy was in recession following the credit crisis.
• Job openings fell to their lowest level in 3 1/2 years in July, according to the Bureau of Labor Statistics. Job openings, a measure of labor demand, fell by 237,000 to 7.673 million, suggesting the labor market is losing steam, but likely not enough for the Federal Reserve to consider a major interest rate cut this month. The data comes ahead of key nonfarm payrolls data for August due out on Friday that could impact the size of the central bank's expected interest rate cut. There are concerns that the economy is slowing more than expected, and any surprises in Friday's payrolls data could force the Fed to take a more aggressive stance than initially anticipated.
• Markets are now pricing in a 55% chance of a 25 basis point rate cut, down from 61% earlier in the day, while a 50 basis point cut is 45%, according to CME Group's FedWatch Tool.
• Mark Zuckerberg, 10% owner, director, chairman of the board, and CEO, sold 4,909 shares of Meta Platforms (META) on August 30, 2024 for $2,548,581. Following the Form 4 filing with the SEC, Zuckerberg controls a total of 519,000 shares of the company.
• The Justice Department is reviewing social media companies' strategy to combat foreign threats, days after Meta CEO Mark Zuckerberg said Facebook was "under pressure" from the Biden administration
• Teva named one of the world’s most sustainable companies. Teva was recently named one of the world’s most sustainable companies by TIME magazine and Statista. The inaugural list assessed how some of the world’s largest and most influential companies are delivering on their promises to protect our planet. We are honored to be included among these 500 companies and recognized for our efforts and ambitions.
• Dollar Tree (DLTR) reported weak quarterly results as the industry grapples with slower consumer spending. Five Below announced the departure of longtime CEO Joel Anderson in July after about a decade in the job following a profit warning. Dollar Tree shares fell nearly 20% to $65.58.
• Core & Main's (CNM) Shares fell sharply Wednesday during the day after the distributor of water, wastewater and fire protection products cut its full-year revenue outlook after reporting weaker-than-expected sales in its fiscal second quarter amid wet-weather-related project delays.
• Logitech International (LOGN) — The company said Wednesday it received shareholder approval for a dividend increase and all other proposals at its annual meeting. The company expects to pay a dividend for fiscal 2024 of about 1.16 Swiss francs ($1.37) per share on Sept. 25 to shareholders of record as of Sept. 24. That’s an increase of 0.10 francs from the prior-year payment.
• Volvo to scrap all-electric lineup amid growing woes in EV market The decision comes as the EV market slows amid a host of challenges, from tariffs and the withdrawal of government incentives in some countries to a slower-than-expected rollout of charging infrastructure. Meanwhile, European carmakers are facing increasingly tough competition from Chinese rivals with their aggressive pricing strategies. Volvo Car's announcement comes two days after rival Volkswagen said it could close car and component plants in Germany to cut costs amid stiff competition and a slowing EV market.
• Bitcoin falls below $57K, Ethereum and Dogecoin fall as liquidations surge Bitcoin could fall 15-20% if Fed cuts interest rates as expected: Analysts lay out bearish thesis
Cheap Bitcoin analogue BSV becomes the market's top gainer, while King Crypto falls more than 4%.
• Trump's upcoming crypto initiative reportedly based on DeFi platform that was hacked and lost over $2 million
Bitcoin falls below $57K, Ethereum and Dogecoin crash as crypto liquidations spike: Veteran analyst spots King Crypto bullish-to-bearish reversal pattern
• No respite for US stocks, futures fall, VIX jumps 10%, Bitcoin falls: Strategist warns of further pain in September, but recommends buying the dip. Market bulls warn of 10% decline in September, urge caution, but stress be prepared to 'buy the dip'
• Tesla unveils $3K Cybertruck winter package ahead of Mercury drop
Elon Musk reacts to electric car enthusiasts taking the Cybertruck on a road trip from Florida to the Arctic Ocean: 'Cool.'
Elon Musk's Starlink Obeys Brazil's Supreme Court, Blocking Access to X in Country: 'We Continue to Use All Legal Paths...'
• Uber rival Lyft to lay off 1% of staff, sell assets to cut costs
• Return of the Boeing Starliner: Sunita Williams and Butch Wilmore prepare the spacecraft for an unmanned flight.
• Vivani Medical demonstrates positive preclinical results on liver fat content using miniature GLP-1 implant for the treatment of obesity.
• Blackstone makes biggest investment in Asia Pacific with AirTrunk amid AI and data boom
• UAE's Adnoc buys 35% stake in Exxon's Texas hydrogen plant. Abu Dhabi National Oil Co. has agreed to take a 35% stake in Exxon Mobil Corp.'s proposed hydrogen project in Baytown, Texas, which would likely be the world's largest when completed.
• Nordstrom founders offer $23 a share to take company private
Its shares have risen 35% since Reuters first reported in March that the family had expressed interest in taking Nordstrom private. Nordstrom's sales have been stronger than some of its rivals, such as Macy's and Kohl's, as it has focused on stocking its shelves with fashionable clothes.
• U.S. new car and truck sales fell 4.4% to 15.1 million in August,
as high interest rates discourage buyers.
Oxford Economic estimates that buying a new car costs about 12.5% of the median income of a typical family or individual buyer, not far from an all-time high.
The auto industry posted record sales of 17.5 million vehicles in 2016, but has failed to match that level in the past five years.
• Moody's, S&P Global, Fitch and other major ratings agencies fined $49 million by the SEC for record-keeping errors.
Key events likely to impact markets on Thursday:
Economic events: Eurozone retail sales for August; construction PMI data for August for Germany, France and the eurozone
International Reviews
• China's pre-sales plunge to 18-year low amid unfinished construction
Sales of new homes fell 21 percent year-on-year in January-July on a per-floor basis, according to the National Bureau of Statistics. But amid the overall decline, pre-sales sales fell about 30 percent, while post-sales rose 20 percent.
• U.S. factory orders beat expectations in July
Factory orders rose 0.4% year-on-year in July. Defense aircraft and parts orders soared 12.9% after falling 4.8% in June.
• Experts warn Trump's 'Drill, baby, drill' pledge may not deliver promised lower energy prices Donald Trump warns of 'high probability of World War III', slams Biden team's foreign policy: 'Better get it done sooner'
Trump vs. Harris: Latest poll shows vice president leading for first time in key swing state, paving way for potential narrow victory
Facing Harris, Trump Opposition, US Steel CEO Predicts Plant Closures, Headquarters Move If Nippon Steel Sale Fails: 'I Don't Have the Money'
Judge rejects Trump's bid to move bribery case to federal court, citing 'lack of probable cause' Coinbase's chief legal officer says Trump campaign 'more explicit' in support of cryptocurrency but 'encouraged' by Kamala Harris' advocacy
Kamala Harris to introduce $50K tax credit for small businesses to counter Trump's economic policies as she seeks to win over middle-class voters
• Former Republican Representative Liz Cheney said she will vote for Kamala Harris for president. The daughter of former Vice President Dick Cheney, Liz Cheney has been perhaps Trump's most prominent Republican critic.
More than 200 alumni of the Bush administration and former Republican presidential campaigns of the late Sen. John McCain and Sen. Mitt Romney also announced their support for Harris last week.
• The share of "green" energy in Germany exceeded 60%. In Germany, the volume of electricity from renewable sources in the first half of 2024 amounted to 135.2 billion kWh - this is 9.1% more than in the same period last year. The share of "green" energy in the total volume in the first half of the year was 61.5% - the maximum for the entire calculation period.