The tech-laden US index may have hit yet another all-time high on Monday, but markets around the globe seemed not to care yesterday. It was a mixed bag for major indices in China followings spikes on Monday that unsettled others in the region. European indices plummeted, while US benchmarks were also unsettled, dropping into the red.
- FTSE 100 – 6,189.90 (-1.53%)
- Dow Jones – 26,043.06 (-0.93%)
- S&P 500 – 3,162.22 (-0.55%)
- NASDAQ – 10,588.83 (-0.14%)
- Stoxx 600 – 369.10 (-0.57%)
- SSE Index – 3,345.34 (+0.37%)
Social media platform Pinterest’s stock has performed well recently and is currently rumoured to be the favourite tech stock of CNBC’s Jim Cramer, according to Market Realist.
Warren Buffett’s tentative $10bn deal
On Sunday, Berkshire Hathaway announced that it will purchase Dominion Energy’s natural gas pipeline and storage assets for $9.7bn. This may not have been the massive deal expected from Warren Buffett given his $137bn cash pile, but “it represents a little bit of an opening of a valve,” Cathy Seifert, analyst at CFRA Research, told Bloomberg.
Space exploration company Virgin Galactic has hit headlines again recently after agreeing a deal with NASA. But at around $17 a share, the stock is still far off the stratospheric heights it reached in February when it climbed 216% to peak at $37.75.
The Square route
Mobile payment platform Square hit an all-time high on 6 July, climbing 4.9% to close at $118.97. The company, which helps facilitate online payments, has seen impressive gains during the pandemic as its platform has enabled many traditional retailers to pivot online. The stock climbed further to close up 6.08% yesterday.
The future of work
The runaway success of firms such as Zoom, DocuSign and Slack during lockdown has given some investors pause for thought. While remote working is by no means a new concept, a company’s willingness to support a shift to this way of working may become a significant measure of potential profitability — something being investigated by firms such as AllianceBernstein.
Chinese chipmaker SMIC prepares for record $6.55bn debut
Hong Kong-listed Semiconductor Manufacturing International Corp is to join Shanghai’s STAR market for an estimated CNY46.3bn. It will be the world’s largest market debut so far in 2020, according to The Wall Street Journal and data from Refinitiv. The company hopes to sell 1.69 billion new shares on the Nasdaq-style tech market at CNY27.46 per share.
Will electric cars lose their charge?
The electric vehicle market has surged recently, in no small part due to the success of flagship firm Tesla, benefitting stocks such as Nio, Nikola, Workhorse and Tortoise. That quintet have gained circa 180% over the past month, which sees their shares trade, on average, 143% above Wall Street price targets, according to Barron’s. Investors and traders alike should approach with caution however, as such rapid upswings make stocks difficult to value.
Amazon’s unstoppable rise
The retail giant has again rewarded investors and traders by hitting a new all-time high. The stock climbed 5.7% to close at $3,057 on Monday — the first time it has reached the psychological milestone of $3,000. The company has been one of the most prominent beneficiaries of the lockdown, as online orders have spiked. The stock closed down 1.24% at $3018 yesterday.