Financial Associated Press, November 8 (Editor Shi Zhengcheng)Before Tuesday’s mid-term elections and Thursday’s U.S. CPI data, the three major U.S. indexes continued their rebound from last Friday, with the overall gains approaching 1% in late trading.
(Minute line chart of the three major indexes, source: TradingView) However, in the view of Florian Ielpo, macro chief of Lombard Odier in Switzerland, economic data may be more important for the direction of stock volatility. . Market prices in recent days are more governed by central bank expectations than political expectations, Ielpo said. If this week’s inflation data show signs of cooling, the market could be in for a “golden period”.
Goldman Sachs, a well-known investment bank in the United States, also said in its latest research report published on Monday that in view of the S&P 500 constituents’ net profit margins declining more than expected in the third quarter, they lowered their EPS growth forecast for next year from 3% to 0.
However, according to “Best Strategist on Wall Street” and Morgan Stanley analyst Michael Wilson, layoffs caused by declining profitability can effectively reduce spending, which is also one of the key factors for bullish U.S. stocks. Wilson also predicted that if the Republican Party wins the midterm elections on Tuesday, it will increase the possibility of freezing fiscal spending and cutting high deficits, which will also promote the decline in U.S. bond yields and the extended rebound in U.S. stocks.
Market dynamics
As of the close, the S&P 500 rose 0.96% to 3806.80 points; the Nasdaq rose 0.85% to 10564.52 points; the Dow Jones index rose 1.31% to 32827 points.
Among the S&P 500 constituents, Viatris, a healthcare company that has announced two acquisitions to consolidate its ophthalmology-related business, led the way with a gain of 13.09%, satellite radio service Dish Network (+9.89%) and EQT Energy (+7.55%) %) ranked second and third. In terms of decliners, Dominion Energy (-6.24%), India North Watt Power (-5.87%) and human resources software company Ceridian HCM Holdings (-5.17%) ranked the top three, and Tesla ranked fourth with -5.01% , and refreshed the stock price to a new low since June 2021.
Chinese stocks opened higher and lower as a whole on Monday, with the Nasdaq China Golden Dragon Index closing down 2.18%.
Company news
[“Trump concept stocks” skyrocketed near the midterm elections]
On Monday, local time, just as the countdown to the last 24 hours of the mid-term elections entered, based on the speculation that “former US President Trump may announce his candidacy for the 2024 election in the context of the Republican Party regaining control of Congress”, many stocks related to it were hit. to the hype.
As of the close, DWAC, which sought to list Trump’s social media platform Truth Social through a reverse merger, soared more than 66%, and Phunware (PHUN), a big data analysis company known as “Cambridge Analytica 2.0”, soared 38%. Only far-fetched investment firm Remark Holdings also jumped 19 percent.
[Meta is rumored to start large-scale layoffs]
The Metaverse and social media platform Meta will launch a “massive” layoff as soon as Wednesday, which could affect thousands, local media reported on Sunday. Affected by the news, Meta shares rose 6.53% on Monday.
According to the company’s financial report, as of the end of September, the company had a total of 87,000 employees. If the news is true, this will also be the first large-scale layoff in the company’s history. Meta declined to comment on the report, saying that Zuckerberg had already made a statement during his earnings briefing last month.
According to the media as a whole, Zuckerberg has said that in 2023 the company will focus on investing in several high-priority growth areas, which also means that some departments may see substantial headcount growth, and most other teams will remain unchanged or reduce. Overall, Meta expects the size of the organization to remain roughly the same or decrease slightly in 2023.
[The new CFO of Tyson Foods was arrested for breaking into a strange woman’s home after being drunk]
John Tyson, a fourth-generation member of the Tyson family, was arrested early Sunday for public intoxication and home invasion, according to Fayetteville, Arkansas police. . According to local media reports, a female college student found 32-year-old John Tyson fast asleep in her bed and called the police, who did not know each other.
(John Tyson, source: local police) The company told the media that it was aware of the incident and would not comment on personal affairs. According to the schedule, Tyson Foods will release a new quarterly financial report on November 14, which was originally John Tyson’s first financial report meeting after taking office.
John Tyson is also the second food-industry executive recently arrested by Fayetteville police, after Doug Ramsey, the chief operating officer of Beyond Meat, was accused of “biting someone’s nose” after a car crash about two months ago. Ramsey previously worked at Tyson Foods for nearly 30 years.
[Intelligence big data company Palantir expects revenue to slow down]
Palantir, a big data analysis company that has close cooperation with the U.S. government before the market on Monday, released its third-quarter earnings report. The good news is that its revenue increased by 22% year-on-year to $478 million, and the number of U.S. commercial companies using its big data analysis business doubled year-on-year. times to 132. But the bad news is that the company posted a bigger-than-expected loss of $124 million in the quarter and revised its fourth-quarter revenue forecast to $503-505 million from $506 million. Affected by this, Palantir fell 11% to $7.02 on Monday.
[BioNTech raises the lower limit of full-year vaccine sales guidance]
BioNTech disclosed on Monday that it achieved revenue of 3.46 billion euros in the third quarter of this year and earnings per share of 6.98 euros, compared with 12.35 euros in the same period last year. BioNTech expects new crown vaccine revenue of 16 billion to 17 billion euros for the full fiscal year, raising the lower end of its guidance from its previous forecast of 13 billion to 17 billion euros.