US Open: US500 is consolidating near its peaks; Visa declines 4% 🔎

• Indices are experiencing a slight correction at the start of the session.
• The dollar index is down 0.26%.
• Yields on 2-year bonds are declining, while 10-year bond yields are rising.

The start of the second trading day this week does not bring significant volatility. Indices are seeing slight declines at the beginning of the session, but the scale of these declines is not causing major concern among investors. Regional data (Richmond Index) and consumer sentiment reports were just released, both of which turned out to be worse than expected, indicating a slightly deteriorating state of the U.S. economy. Following the data release, slight declines were observed in the indices, and the dollar weakened.

US500

The US500 index has remained practically unchanged since the FOMC decision last week. The index price has been holding within a narrow range of 5730–5780 points, waiting for a catalyst to either continue the current trend or trigger a correction. Such a signal could be Fed Chairman Jerome Powell’s speech on Thursday or the release of the PCE report on Friday. However, the most likely price-moving factor will be next week’s employment reports.

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Source: xStation 5

Company News

Snowflake (SNOW.US) fell nearly 3% after announcing a $2 billion convertible note offering. The proceeds will be used to repurchase up to $575 million of common stock and for general corporate purposes, with an option for purchasers to acquire additional notes.

Light & Wonder (LNW.US) stock plunged 16.80% following a preliminary injunction by the U.S. District Court for Nevada over its Dragon Train game. Despite this setback, the company remains confident, reaffirming its 2025 adjusted EBITDA target and highlighting its diversified portfolio and ongoing capital management strategies.

Hawaiian Electric Industries (HE.US) dropped as much as 10.50% after pricing its public offering of approximately 54 million shares at $9.25 per share. The proceeds are intended to contribute to the Maui wildfire tort litigation settlement and for general corporate purposes, with the offering expected to close on September 25, 2024.

Visa (V.US) shares declined more than 3.90% following the announcement by the U.S. Department of Justice of an impending antitrust lawsuit. The lawsuit will accuse Visa of illegally monopolizing the U.S. debit card market by engaging in practices that stifle competition and block access to the market for rival networks and technology firms.