• Resumed discussions over a sweeping coronavirus relief deal in the US
• US500 above major resistance level
• AMD (AMD.US) seeking to Acquire Xilinx (XLNX.US) for $30 Billion
• US500 above major resistance level
• AMD (AMD.US) seeking to Acquire Xilinx (XLNX.US) for $30 Billion
US indices launched today's session higher extending the upward move seen over the two previous sessions, amid renewed hopes of further stimulus. President Trump said that talks between the White House and Congress were back underway, days after announcing via Twitter that negotiations had been canceled. The House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin spoke on the phone on Thursday, with Mnuchin saying the President Trump is interested in getting an agreement on a comprehensive aid package. However White House Communications Director Alyssa Farah told reporters that Trump wants a "skinny package" that is limited to stimulus checks, small business loans and an "airline bailout." The mixed informations from the White House raised some concerns about the prospects for a new stimulus package, potentially keeping buying interest somewhat subdued.
US500 – buyers managed to break above the resistance at 3440 pts. Should upbeat moods prevail, resistance at 3492 pts may come into play. On the other hand, once sellers regain control, the support at 3400 pts may be at risk. Source: xStation5Advanced Micro Devices (AMD.US) is willing to acquire Xilinx (XLNX.US) the specialty chipmaker, according to The Wall Street Journal. Sources familiar with the matter said, deal could be worth more than $30 billion, with a transaction possibly coming together as early as next week.
Xilinx (XLNX.US) stock launched today’s session with a massive bullish price gap and is approaching resistance at $123.78. If the current sentiment prevails, the upward move could be extended to the next resistance level at $133.00. On the other hand, once sellers regain control, the nearest support lies at $113.80. Source: xStation5NXP Semiconductors (NXPI.US) lifted its outlook for the just-ended quarter, based on “material” improvement in demand across all its markets with particular strength in the automotive and mobile segments.
Gilead Sciences (GILD.US) - final results from a study of its remdesivir anti-viral treatment, showed that the drug reduced recovery time by five days compared to patients who received a placebo.
AT&T (T.US) plans to lay off thousands of employees in its WarnerMedia unit in order to reduce costs by up to 20 %, according to The Wall Street Journal. WarnerMedia (operator of HBO, TBS and other TV channels) did not confirm these information’s, but said it was implementing a restructuring in response to the impact of the pandemic.
Exelon (EXC.US) was noted as a “favorite idea” by Corvex Management’s Keith Meister, who said the utility company is cheap and well-positioned and that the stock could rise by 30%. Meister said he had added Exelon to his portfolio during the second quarter.
Zoom Video (ZM.US) – Mizuho began coverage of Zoom with a “buy” rating, saying it had the “best-of-breed” video conferencing tools. Mizuho believes Zoom can continue to deliver “outsized revenue growth” and that upcoming Analyst Day will provide a catalyst for the stock.
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