Reports that the Trump administration is considering plans for a $1trn injection into infrastructure to support the economy, alongside news of potential treatments for COVID-19, helped boost markets in the US and across the globe. European indices staged a recovery, while Asian markets saw huge gains.
iQIYI stock soars 25%
Shares in Chinese video gaming platform, iQIYI, have soared as reports circulate that its rival Tencent is seeking to become the largest shareholder.
Critics slam day-trader havoc
The debate rages over the outsized impact “newly-minted day traders” have been having recently. Reports of ‘mom-and-pop’ investors outperforming wider funds has drawn criticism, with Leon Cooperman, billionaire hedge fund manager, telling CNBC that retail traders piling into riskier assets like this will only “end in tears”.
Boohoo in fashion
The fast-fashion retailer saw a boost in share price recently caused by, among other things, the acquisition of the remaining 34% stake in PrettyLittleThing. However, since then the share price has wavered.
Stocks could drop another 7%
According to Morgan Stanley, the correction seen last week was “overdue” adding that it likely has another 5-7% downside, MarketWatch reports. However, this is not all bad news, and could spell opportunity for some. “It’s healthy and we are buyers into weakness with a small/mid-cap cyclical tilt,” Morgan Stanley said.
Tesla Poised to rev past the $1000 mark
Although Tesla’s share price has had a wild ride – dropping to lows of $361 before jumping back by 250% to rest around the $990 mark at which it currently sits – the stock looks poised to rev past the $1,000 mark for good, with a ramp up in production of Musk’s Cybertruck.
Zoom on a high
The video-conferencing software provider hit an all-time intraday high of $239.59 on Monday, before closing at $239.02. The stock, already a beneficiary of the pandemic-induced shift to remote working, saw the spike as part of what MarketWatch calls the wider ‘shelter-in-place rally’, as a new spike in COVID-19 cases in states like Texas and Florida unfolds.
Royalty Pharma sells $2.18bn at IPO
Royalty Pharma became the second-largest pharmaceutical IPO in history this week after pricing at the top of its range, Reuters reports. The deal saw the company increase its intended sale of 70 million shares by 11%. It sold these for $28 per share, the top of the $25 to $28 range.
Deutsche Bank takes top spot
The German lender has come from behind to become the world’s best-performing big lender, according to The Wall Street Journal. Against a backdrop of the Stoxx Europe 600 Banks index falling 35% YTD, Deutsche Bank shares are up 19%. This strong performance helps to validate its, so far, successful turnaround plan.