- US indices erases early loses, despite weaker sessions in Europe and Asia. US100 gains 0.5% and VIX drops
- Sentiments across semiconductor sector improved despite weaker labour market data
- Nvidia (NVDA.US) loses slightly, Intel tries to rebound after worrisome Reuters reports on contract manufacturing business (Foundry)
- Onconova (ONTX.US) and GitLab (GTLB.US) stocks post euphoric 37% and 17% gains, respectively
- U.S. trade balance in July in line with expectations ($78.8 billion vs. $79 billion forecast, after $73.1 billion in June)
- Fed Beige Book report scheduled at 7 PM BST
After yesterday's cascading sell-off in U.S. indices, today Wall Street tries to rebound. The weaker than expected JOLTS report failed to pressure indices lower. Factory orders rose 5% monthly, slightly exceeding 4.8% exp. after -3.3% drop in July. Yields on 10-year U.S. Treasury securities are trading down slightly by 2 basis points, to 3.82%. However, weaker data could heighten tensions ahead of the Fed's September 18 meeting and further uncertainty related to US economy dynamics.
US JOLTS came in 7.67M vs 8.1M exp. and 8.184M previously
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Open account Try demo Download mobile app Download mobile appOil is losing slightly today, and the Japanese yen and franc have strengthened against the dollar, indicating continued strong demand to 'hedge' declines in US yields and securities. Tesla gain 5% today, following reports indicating stronger China sales and six-seat Model Y debut. Electric car producer introduced lower rates on X and Y model in Sweden. Elon Musk's company will present Robotaxi at California Warner Bros studio.
Technology sector tries to rebound after yesterday sell-off. AMD gains more than 4% and Nvidia jump to $110 again. Source: xStation5
News
- Nvidia (NVDA.US) shares extend declines after the U.S. stock market plunged to a record low yesterday, during a session in which the company wiped out nearly $279 billion in stock market capitalization
- Blackstone (BX.US) is set to buy AirTrunk, an Australian data center operator, for a total of $16 billion. it will also be the largest single investment in the Asia-Pacific region
- Dollar Tree (DLTR.US) forecasts suggest weaker demand, company slashes annual revenue and profit expectations; stressed that consumers are avoiding buying premium goods, on which it had the highest margins; shares lose 19%
- US Steel's CEO conveyed that if the takeover of US Steel by Japanese conglomerate Nippon Steel does not go through (the Kamala Harris administration will oppose it), the company will likely move its headquarters from Pittsburgh. Shares gain more than 2%
- GitLab revenue jumped more than 30% on a yearly basis, exceeding analysts expectations. Analysts at Baird increased their price target for the software company after a strong Q2 financial report.
Tesla gains more than 5% today, rising above MA50 (yellow line); major resistance zone are $223 and $252 where we can see Fibonacci retracement levels. Shares rebounded above SMA200, potentially moving back to rising trend.
Source: xStation5
Looking at the scale of the Nvidia sell-off and the RSI near 20 points, a rebound to $115 per share still seems likely. Source: xStation5
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