• NFP payrolls top 4.8 million
• US recorded record daily rise of Covid-19 cases
• Tesla (TSLA.US) shares jumped 9% on stronger-than-expected Q2 deliveries
US indices opened higher on Thursday after the NFP report showed the US economy added 4.8 million jobs in June, well above analysts' expectations of 3 million. Also, investors welcomed the fact that both the House and the Senate approved an extension of a $660 billion lending program which aims to provide financial help to small businesses and the Democrats proposed to extend the $600 weekly payments to laid-off workers until the jobless rate falls below 11%. According to FOMC minutes, Fed is ready to use a full range of tools and will maintain interest rates at record low for some time. These news completely overshadowed rising number of new COVID-19 cases. The United States confirmed 51 thousand new infections yesterday, the highest on record. Several states are scaling back or pausing reopenings in order to fight the spike in infections and analysts have warned of another selloff in financial markets as the third-quarter earnings for S&P 500 companies are now expected to tumble 25%, compared with a previous forecast of a 2.7% drop, according to Refinitiv data. In the second quarter, earnings are forecast to have plunged 43%.
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S&P500 (US500) launched today’s session higher and is heading towards 3172.9 pts resistance level. If market sentiment changes, then support at 3119.7 pts may come into play. Source: xStation5
Tesla (TSLA.US) - car maker delivered 90,650 vehicles during the second quarter, well above market estimates of 72,000. The company said production in Fremont factory is now back to pre-pandemic levels. Meantime, Wedbush Securities lifted its price target on the company shares to $1,250 from $1,000, with “neutral” rating. Wedbush believes its “bull case” and Tesla stock could jump to $2,000.
Tesla (TSLA.US) shares jumped 9% in premarket trade and hit new all-time high today, after the electric car maker posted far stronger-than-expected quarterly deliveries, its proxy for sales. If sellers manage to regain control, then local support can be found at $948.09 per share. Source: xStation5
Inovio Pharmaceuticals (INO.US) stock fell 3% in extended trading after falling 26% in regular hours. Company's shares are under pressure since Tuesday, when it announced positive results in its coronavirus vaccine’s clinical trial, but did not provide key data necessary to evaluate its effectiveness, according to medical news site Stat.
Facebook (FB.US) – CEO Mark Zuckerberg told employees that he was reluctant to bow to the ongoing ad boycott, saying that advertisers would return “soon enough.” Facebook told CNBC that it is making real progress in keeping hate speech off its platforms, and that it does not benefit from this kind of content.
Match Group (MTCH.US) stock dropped 1% after the market close. The online dating company said it completed its full separation from IAC on Wednesday and added four new directors. The new directors include Stephen Bailey, the CEO of ExecOnline, Melissa Brenner, executive vice president of digital media for the NBA, Wendi Murdoch, the co-founder of Artsy and actor and producer Ryan Reynolds. Match Group Directors Mark Stein and Gregg Winiarski left the Match board because of the IAC separation.
Coty (COTY.US) shares rose 1% in extended trading. Multiple sources reported yesterday that Coty is being sued by other cosmetics manufacturer Seed Beauty which is producing cosmetics for Kardashian West and Jenner’s brands. Coty has been accused of stealing trade secrets in connection with Coty’s recent stakes in Kim Kardashian West and Kylie Jenner’s makeup brands. Coty acquired a majority ownership of Jenner’s brand last year and announced this week that it will pay $200 million for a 20% stake in Kardashian’s brand.
McDonald’s (MCD.US) stock fell 1% in extended trading after CNBC reported that company halt's its US dine-in reopening plans because of rising number of new coronavirus cases. McDonald’s announced, that will wait 21 days before allowing any additional U.S. locations add dine-in service to their operations.
American Airlines (AAL.US) is overstaffed by about 8,000 flight attendants, and might try to reduce the workforce through voluntary leaves and early retirements.
