The energy giant is set to slash $17.5bn off the value of its assets after it lowered longer-term energy price assumptions, the Financial Times reports. This move was major recognition of the likely long-term impact of the Paris climate agreement on the industry. The stock dropped around 4% in pre-market trading yesterday before closing down 2.18%.
Correction causes market havoc
The fallout from last week’s market correction and a re-awakening of fears caused by rising COVID-19 cases, in some countries, continued into this week. Major indices in Asia plummeted Monday, while those in Europe also slumped, albeit to a lesser extent. Meanwhile, US benchmarks dropped after suffering their biggest weekly losses since March last week.
Nio Share price perform strongly
Electric carmaker Nio continued to see its share price perform strongly, as investors look confident that competitor and industry heavyweight Tesla won’t be the only electric carmaker to make it big.
Best-performing fund in history suffers 20% loss
Renaissance Technologies’ Institutional Diversified Alpha fund — brainchild of legendary but enigmatic investor Jim Simons — has tanked so far this year, the Financial Times reports. According to data seen by the publication, the fund dropped 8.8% in the first week of June and 20.7% for the YTD.
NetEase’s secondary listing
Tensions between the US and China have caused a number of major Chinese companies to reconsider their positions. Among them, gaming giant NetEase opted for a secondary listing on the Hong Kong Stock Exchange, pricing its 171.48 million shares at $123. The company is arguably Tencent’s biggest rival, so what will this cash injection mean for the pair?
A biotech bubble?
Several biotech stocks, such as Bergenbio, Moderna and Tiziana Life Sciences, have been soaring this year on hopes of a vaccine. However, as Bloomberg suggests, investors’ focus on smaller biotech companies may have caused a number of overvaluations, while governments hedge their bets on pharmaceutical giants, such as AstraZeneca and Sanofi.
Will Oracle’s Q4 earnings impress?
The stock performed quite well throughout the pandemic, with CEO Safra Catz describing revenue disruption as “minimal”, although it lagged rivals as the world shifted to remote working. The database giant is due to report its performance during the three quarters to 31 May later today, and investors will be keen to see if its business can remain resilient.
Safe haven utilities proving volatile
Utilities stocks, historically a safe place for investors, have fluctuated more than the S&P 500 in recent months. According to The Wall Street Journal, utilities recorded bigger daily moves than the S&P 500 in the majority of days in March and April, while the utilities sector within the S&P 500 is down 10% year-to-date, despite the benchmark’s recent uptrend.
Main Street or Wall Street
The S&P 500 may have rallied 36% since recent lows, but a basket of stocks popular among retail investors climbed by 61% during the period, Seeking Alpha reports. Topping the Retail Trading Favourites list from Goldman Sachs are Penn National Gaming, Moderna and Tesla, which returned a whopping 202%, 133% and 115% respectively since 23 March (through 12 June).