On Monday, the White House re-nominated Jerome Powell as Fed Chair for another year and Lael Brainard as Vice-Chair. This was widely expected and broadly provides reassurance for investors looking for stability. Their roles underpin rate hike decisions and help guide financial market sentiment. However, inflation worries are once again causing concern.
Yesterday the market saw a continued sell-off in high growth, high valuation tech stocks. This is likely to continue today.
Oil is down as the US plans to release oil reserves with several other nations. Gold remains flat. Industrial metals are lower. Bitcoin is showing signs of weakness.
| NASDAQ | S&P 500 | BITCOIN |
|---|---|---|
| 15,854.76 (-1.26%) | 4,682.94 (-0.32%) | 57,419.08 (+0.07%) |
Which stocks are trending today?
Alibaba (NYSE: BABA) and Baidu (NASDAQ: BIDU), among other Chinese Internet stocks, are declining again as the Chinese government issues fines for breaching antitrust laws in China.
Zoom (NASDAQ: ZM) Q3 earnings saw EPS beat by $0.01. ZM stock was down nearly 7% in after-hours trading.
Authentic Brands raises $3.5bn selling stakes to CVC Capital Partners and HPS Investment Partners. The deal is said to value the company at $12.7bn. The company owns and represents brands such as Brooks Brothers, Sports Illustrated and former NBA star Shaquille O'Neal. It still plans to go public in 2023 or 2024.
According to a Wall Street Journal report, Comcast (NASDAQ: CMCSA) is considering pulling content from Disney's (NYSE: DIS) Hulu and moving it to Peacock.
Consumer products and digital marketing company Vinco Ventures (NASDAQ: BBIG) reports Q3 earnings. Results include Non-GAAP EPS of -$0.68, GAAP EPS of -$7.59, revenue of $2.23M (-11.5% year-over-year).
SoftBank sells 22.5m SoFi (NASDAQ: SOFI) shares for $486m.
Investment Bank SVB Leerink is in talks to acquire equities-research firm MoffettNathanson, which covers media, communications and internet companies and was recently in the news after downgrading Roku (NASDAQ: ROKU) to a 'sell'.
ARK Innovation ETF (NYSEARCA: ARKK) fell 4% on Monday, the eighth negative decline in ten sessions.
Chinese tech giant NetEase launches a $500m Hong Kong IPO for its music business Cloud Village.
Downbeat Q3 earnings from grill maker Traeger (NYSE: COOK) were primarily due to rising transportation costs, according to a CEO interview with Jim Cramer.
COVID-19 vaccine maker Novavax (NASDAQ: NVAX) stock has been enjoying a rally. India imported 20m NVAX vaccine doses, and the US began allowing COVID-19 booster shots. Moderna (NASDAQ: MRNA) and BioNTech (NASDAQ: BNTX) have also been climbing.
Astra Space Inc (NASDAQ: ASTR) stock rose 17% yesterday after a successful launch.
In crypto:
Ripple XRP is making "good progress" in its legal feud with the US Securities and Exchange Commission, according to CEO Brad Garlinghouse. The SEC alleges Ripple and its executives sold $1.3 billion worth of the cryptocurrency XRP in an unregistered securities offering. The case should conclude next year.
Bitcoin price dips below $56k but has recovered to Monday levels.
Ethereum price dipped Monday and is recovering today.
Monday fallers:
COVID-19 fears and potential rate hikes caused payment stocks to drop yesterday. Mastercard (NYSE: MA), Visa (NYSE: V), American Express (NYSE: AXP), DLocal (NASDAQ: DLO), Blend Labs (NYSE: BLND), MoneyLion (NYSE: ML), Square (NYSE: SQ), Robinhood Markets (NASDAQ: HOOD), and PayPal (NASDAQ) all fell.
Asana (NYSE: ASAN), DigitalOcean (NYSE: DOCN), CrowdStrike Holdings (NASDAQ: CRWD) and Palantir Technologies (NYSE: PLTR) were also lower on yesterday's news.