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Market Rally! S&P 500 Inches Closer to 4,400 Points as Fed Rate Hike Speculation Takes a Breather

In a delightful turn of events on Tuesday, U.S. stocks decided to go on a wild ride, propelling the S&P 500 ever closer to the coveted 4,400-point mark. The cherry on top? Treasury yields decided to take a leisurely dip, all thanks to some spicy speculation that the Federal Reserve might just pause its interest rate hikes for a moment. You know things are getting interesting when a central bank puts its feet up.

This speculation was sparked by none other than Fed Vice Chair Philip Jefferson, who dropped hints that those recent surges in Treasury yields might have the power to replace future interest rate hikes. Talk about a twist in the financial tale!

Dennis DeBusschere of 22V Research joined the chorus, amplifying the buzz. As a result, U.S.-listed Chinese heavyweights like Alibaba (NYSE:BABA) and Baidu (NASDAQ:BIDU) decided to kick up their heels with an uptick in their stock prices. The rumor mill had a field day with whispers of China contemplating a boost in its budget deficit as a dose of economic stimulus. Looks like even stocks are susceptible to FOMO (Fear of Missing Out).

Meanwhile, two more players joined the market merriment. PepsiCo (NASDAQ:PEP) and Amazon (NASDAQ:AMZN) decided to catch the wave and rode it with some gains of their own. Not to be outdone, oil prices, which had been on a significant rally, finally decided to take a breather and let the other stars shine for a change. As for the U.S. dollar, it marked its longest losing streak since July, with the Bloomberg Dollar Spot Index being its trusty sidekick, remaining as steady as a stoic butler. The financial world, as it turns out, can be quite the drama queen.

Dow futures slip, PPI, Fed minutes in focus

US stock futures were trading mixed during Tuesday’s evening deals, following the third consecutive session of gains from major indices as market participants turned focus toward Wednesday’s release of the FOMC minutes and monthly producer price index data.

By 6:30pm ET (10:30pm GMT) Dow Jones Futures were down 0.1%, S&P 500 Futures were flat and Nasdaq 100 Futures added 0.1%.

In extended deals, E2open Parent Holdings Inc (NYSE:ETWO) fell 13% after the company reported Q2 EPS of $0.04 versus $0.05 expected, while revenues came in at $158.2 million versus $159.66 million expected.

Ahead in Wednesday’s trade, market participants will be closely monitoring FOMC meeting minutes and PPI data as well as speeches from Bowman, Bostic and Waller.

Get the latest earnings results with InvestingPro.

During Tuesday’s regular trade, the Dow Jones Industrial Average added 134.7 points or 0.4% to 33,739.3, the S&P 500 lifted 22.6 points or 0.5% to 4,358.2 and the NASDAQ Composite gained 78.6 points or 0.6% to 13,562.8.

On the bond markets, United States 10-Year rates were at 4.657%.


Nano Nuclear Thinks It Will Be ‘First Company to Sell Microreactors,’ With 2030 Target

During a wide-ranging interview with The Epoch Times, the leadership of Nano Nuclear Energy Inc. predicted they would win the race to commercialize a reactor small enough to fit in a shipping container.

“By 2030, we’re pretty convinced we’ll be the first company to sell microreactors,” said Nano Nuclear CEO James Walker, a nuclear physicist who previously led the development of the Rolls-Royce Nuclear Chemical Plant.Nuclear microreactors are meant to be nimble, mobile sources of heat or up to 20 megawatts of electricity.Microreactors are utterly dwarfed by big, conventional nuclear reactors, which can generate up to a thousand times as much power as a microreactor. They’re also smaller than the small modular reactors (SMRs) now also being developed.

Unlike their heftier cousins, microreactors can be trucked to people and places far from the grid or in need of emergency energy.

Birkenstock’s U.S. IPO Prices at $46 Per Share Amid Market Turbulence, Securing $1.48 Billion in Funding

Birkenstock Holding, the German luxury footwear manufacturer, has set the price for its U.S. initial public offering (IPO) at $46 per share, taking a cautious approach given the current market volatility. Despite substantial demand that could have supported a higher range between $44 and $49 per share, Birkenstock and its underwriters opted for a prudent valuation. The IPO successfully raised approximately $1.48 billion, with 32.3 million shares sold, placing the company’s valuation at roughly $9.3 billion on a fully diluted basis.

This marks the fourth significant IPO in recent weeks, following the likes of tech heavyweight Arm Holdings, grocery delivery app Instacart, and marketing automation platform Klaviyo. Although these recent offerings initially sparked optimism for a revival in equity capital markets after a prolonged lull, subsequent price fluctuations have raised concerns about the short-term outlook for newly launched stocks.

Microsoft’s Winning Streak Takes a Coffee Break as Stock Dips 0.43%

In a plot twist on Tuesday, Microsoft Corp (NASDAQ:MSFT) decided to take a breather from its four-day winning streak, with its stock slipping 0.43% to close at $328.39. While Microsoft was cooling its heels, the S&P 500 and the Dow Jones Industrial Average decided to turn up the heat, rising by 0.52% and 0.40%, respectively.

But wait, there’s more! Microsoft’s performance was akin to arriving fashionably late to the tech party. Take Apple Inc (NASDAQ:AAPL), for instance, who strolled in fashionably at $178.39. Meanwhile, Alphabet Inc’s Class C and Class A shares showed up in style at $139.20 and $138.06, no less.

In terms of trading volume, Microsoft’s 20.5 million shares changing hands on Tuesday were like a mic drop, showing off its swagger. However, it was still a bit shy of its 50-day average volume by 417,476 shares. And if you thought that was all, Microsoft’s closing price also decided to take a detour, steering clear of its 52-week high of $366.78, last seen on July 18th.

So, while the rest of the tech world was dancing to the same upbeat market tune, Microsoft seemed to be doing its own thing. Maybe it’s just gearing up for a spectacular comeback; after all, we all love a good plot twist!

Investing is like playing chess with your money, where each move could either make you a financial grandmaster or leave you pondering your next meal at the pawn shop. It’s a thrilling dance between risk and reward, where you aim to outsmart the market’s unpredictable tango. So, grab your financial cape, channel your inner Warren Buffett, and remember: in the world of investing, it’s not just about making cents; it’s about making dollars and sense!