Stocks & Markets

The News

• ​US CPI / Inflation:​
  • CPI release expected to demonstrate minimal progress against inflation.
  • Inflation remains a significant concern despite a decrease from last year’s peak.
  • Complexity of Fed’s policy decisions underscored by current economic landscape.
• Europe to beat the US Market?
  • Goldman Sachs forecasts European stocks to outperform US counterparts in the coming year.
  • European equity, trading at a discount, presents opportunities particularly in Financials, Energy, and Consumer Discretionary sectors.
  • Despite structural concerns, the cyclical upswing offers valuable investment prospects, emphasized by Goldman Sachs’ European stock Smart Portfolio.

• ​Crude Oil BRENT: $91​
  • Crude oil prices surge, with Brent approaching $91 per barrel, driven by escalating tensions in the Middle East.
  • Global market unrest ensues as concerns rise over potential disruption to oil supply. Israel prepares for potential Iranian retaliation, adding to the geopolitical tensions.

• MODERNA Shares Rising (MRNA6.19%)
  • Shares surged by 6% following promising early-stage study results for a cancer drug developed in collaboration with Merck.
  • The drug targets a specific type of neck and head cancer, indicating potential breakthroughs in oncology.
  • The positive study results suggest significant advancements in cancer treatment, highlighting the drug’s promising prospects in the pharmaceutical market.

• ​ Blackstone Set to Privatise L’Occitane​
  • Blackstone is close to finalizing a deal to privatize L’Occitane International SA, ending its 14-year listing on the Hong Kong stock exchange.
  • The deal may involve Blackstone providing debt financing, with an announcement expected soon.

• GE Vernova Stocks (GEV6.01%)
  • GE Vernova’s shares experienced a surge following an upgrade by JPMorgan from neutral to overweight.
  • The upgrade prompted buying activity, particularly on the dip, as investors seized the opportunity.
  • JPMorgan emphasized the post-spinoff technical sell-off as a chance to buy, highlighting that the shares are now trading at a discount.

• Gold sky rocket
  • Gold prices hit a new record, marking the 13th time this year, driven by geopolitical tension and speculation regarding U.S. rate cuts.
  • Despite robust job data, the rally continues, fueled by central bank purchases and gold’s status as a safe haven, with June delivery rising 1.5% to $2,345.40/oz, surpassing the previous all-time high of $2,350.

• J&J Surge +16%
  • Johnson & Johnson’s acquisition of Shockwave Medical for $13.1 billion led to a nearly 16% surge in Shockwave’s shares.
  • J&J’s interest in Shockwave’s innovative artery technology caused a slight dip in its own shares, while Shockwave’s value increased to $325.75.

• ​Ford Stock Improvement​
  • Ford’s U.S. sales in Q1 increase by 6.8% to reach 508,023 vehicles, driven by strong performance in hybrid and electric vehicle segments.
  • Hybrid sales surge by 42%, with trucks and SUVs leading the growth.
  • The Maverick hybrid becomes the top-selling hybrid truck, witnessing a 77% sales jump to 19,660 units.
  • Electric vehicle sales skyrocket by 86%, positioning Ford as the second leading EV brand after Tesla in the U.S. market.

Shorts:

• Intel experienced a 8.22% drop after disclosing a $7 billion operating loss in its semiconductor manufacturing business for 2023
• Vanda Pharmaceuticals +28.90% shares surged as FDA approved Fanapt for bipolar I disorder in adults..
• In Q1 2024, Alibaba repurchased 524 million shares for $4.8 billion, part of an expanded buyback program.
• The S&P 500 surged 10.16%, its best start in five years, driven by rate cut expectations, megacap rallies, AI optimism, and a dovish Fed.
• Investors are bullish on Amazon.com, driving its shares up 1.2% to $187.29, aiming for a record high, as cost cuts, AI demand, and AWS growth counter a 57% post-pandemic dip, with Morgan Stanley projecting a 16% stock increase.
• Nio’s shares hit a year-long low in the U.S. market after announcing reduced sales forecasts for the current quarter.
• Tesla shares rose post-Elon Musk’s announcement of an August robotaxi reveal, diverting focus from recent challenges, reigniting investor interest.
• Lamb Weston shares plummeted nearly 20% due to Q3 earnings and revenue misses, attributed to operational and financial challenges.