US OPEN: Wall Street mixed as COVID -19 cases continue to rise

US indices launched the session slightly lower as the WHO reported the largest single-day increase in global infections, with more than 183 thousand cases in a 24-hour period. U.S. coronavirus cases also rise sharply but deaths continue to slide.  Nevada, Florida, California, and Arizona have reported record-high single-day infections. Apple (AAPL.US) helped trigger Friday's reversal, though the coronavirus stock market rally had a strong week. Some investors are  concerned right now about the possibility of partial shutdown of the economy. Meanwhile, credit rating agency Moody's declared that ongoing crisis will increase debt levels in the world's richest nations up by almost 20 percentage points on average this year, almost double the damage seen during the 2009 financial crash.
On the data front, Chicago Fed National Activity Index in the US rose to a record high of 2.61 in May from a downwardly revised record low of -17.89 in April. All four subindexes made positive contributions in May with production and employment-related indicators leading the gains.

S&P500 managed to bounce off the 200 MA (red line) and rally. Index broke above 3067.9 pts resistance level however, if the current negative sentiment persists, then the price may re-test this level. Source: xStation5

American Airlines (AAL.US)  is looking for $3.5 billion in new financing. The company is planning to sell $1.5 billion in stock and convertible notes, another $1.5 billion in senior secured notes, and will enter a new $500 million credit facility.

Tyson Foods (TSN.US) – China suspend  chicken imports from the Tyson plant in Springdale, Arkansas, due to rising coronavirus infections among plant workers. Company announced that will investigate this matter, but added that it is confident its products are safe and that it was hopeful the matter could be resolved.

 

Walmart (WMT.US) – UBS upgraded  company’s stock to “buy” from “neutral,” pointing at rising productivity, growing e-commerce sales, and acceleration of technology deployment.

Sherwin-Williams (SHW.US) - The paint producer heightened its sales guidance for the current quarter, as consumers increase house projects as they stay at home during the pandemic.

Virgin Galactic (SPCE.US) made an agreement with NASA which aims to prepare a recruitment and training program for private astronauts seeking to visit the International Space Station.

General Electric (GE.US) announced that Deloitte will be  its independent auditor for next year, meanwhile current auditor KPMG will stay with the GE until the end of this year. KPMG and predecessor companies had been GE’s auditors since 1909, but proxy advisory firms had recommended a change following federal probes into the company’s accounting practices. GE followed the probes and maintains that the company's accounting is correct.

 

Tesla (TSLA.US) - CEO Elon Musk announced that the company's annual meeting  and "Battery Day" event will both take place on  Sept. 15. Both had been previously scheduled to take place July 7, but were rescheduled due to the ongoing pandemic.