• US stocks start the week lower
• Number of new coronavirus cases is increasing worldwide
• Moderna (MRNA.US) shares rose 5%
US indices opened today's session lower, continuing last week’s selloff, amid fears of a second wave of the coronavirus infections and its impact on the newly reviving economy. Over the weekend some of the most densely populated US states reported recent spikes in Covid-19 cases as social distancing measures are eased throughout the country. Also China and Japan have reported a sharp increase in new cases as well.
Also protests over the death of George Floyd and police brutality continued while the death of Rayshard Brooks by a police officer in Atlanta was considered homicide, which reignited protests in Atlanta. Meanwhile, the White House trade adviser Peter Navarro told CNN the Trump administration is planning to implement a phase four stimulus package focusing on American manufacturing that will be "at least $2 trillion dollars". Meantime chief of the National Economic Council Larry Kudlow, said that Trump administration is against extending the federal government’s $600 bonus to unemployment payments beyond July.
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S&P500 (US500) is testing major support at 2968.3 pts. Should downbeat moods prevail, next support at 2754.8 pts may come into play. However, if there is a change in market sentiment then local resistance can be found at 3119.7 pts. Source: xStation5
Moderna (MRNA.US) – Israel government is a potential buyer of the coronavirus vaccine developed by Moderna which is in the final stages of testing, according to Israeli news site YNET. Company is planning to start a trial involving 30,000 people next month. CEO Stephane Bancel told CNBC that the company was having discussions with multiple governments around the world but would not comment on this particular story.
Moderna (MRNA.US) - stock price is approaching local resistance level at $68.00. Breaking above it may trigger upward impulse towards $87.43. On the other hand local support can be found at $55.85. Source: xStation5
BP (BP.US) is planning to take a writedown of up to $17.5 billion for the current quarter, after significantly cutting its long term outlook for oil and gas prices. BP is also expecting a quicker transition away from fossil fuels. Company will provide next earnings report on August 4.
AstraZeneca (AZN.US) will provide European governments with 400 million doses of its potential coronavirus vaccine which is still in clinical trials. If the vaccine will turn out to be safe and effective, deliveries would potentially start by the end of this year.
Starbucks (SBUX.US) – upgraded company's stock to “overweight” rating. Atlantic Equities believes that Starbucks would emerge from the pandemic with market share gains and a more efficient cost structure.
Intel (INTC.US) stock was upgraded to “overweight” from “neutral” at KeyBanc, which said the chipmaker is in a strong position to take advantage of the next wave of computing beyond PCs, phones, and tablets.
