Shares in the bellwether S&P500 were mostly unchanged, as the market paused a multiweek rally while investors contemplated the prospects for US monetary policy.
Uber shares dropped after the company offered a poor outlook.
Top stocks today: S&P500 loss
The ride-hailing company, which is the biggest – percentage-wise – decliner so far on the S&P500, reported its first-quarter loss was bigger than expected and projected that second-quarter gross bookings would be lower than analysts expected.
Top stocks today: Tesla drops
Shares in Tesla also fell 1.5% after a report from Reuters revealed that US prosecutors are investigating possible securities or wire fraud regarding the company’s self-driving technology.
Top stocks today: NVIDIA, Amazon, Google
And tech’s Big Three companies – Nvidia, Amazon, and Alphabet – all dipped as it became clear that the 10-year Treasury yield was on the rise, following five days of declines that had pushed this critical rate lower.
That move had fuelled optimism that was carried forward from a positive earnings season, which in turn was bolstered by surprisingly weak labour market data that had taken the edge off expectations that the Fed would keep rates high for a lengthy amount of time.
It’s a short but not quiet week for equities, as earnings season winds down and economic data for the week is light.
Market participants will eye consumer price data due out next week for further signs inflation is cooling.
Top stocks today: Fed rate cuts
The chance of at least a 25 basis point cut to the Federal Reserve fund rate in September rose to 6% from about 54% a week ago.
Investors will be eyeing comments from Fed vice chair Philip Jefferson, Boston president Susan Collins and governor Lisa Cook for new insights on the path of Fed policy.
By 11:18 a.m.ET, the Dow Jones Industrial Average was up 65.48 points, or 0.17%, at 38,949.74, poised for a sixth straight gain.
The S&P 500 fell 4.28 points, or 0.08%, to 5,183.46, threatening to halt its longest winning streak since March. The Nasdaq Composite fell 38.46 points, or 0.24%, to 16,294.10.
Top stocks today: Intel drops
Losers included Intel, which fell 2.9% after cautioning that sales would be hit after the US revoked some of the company’s export licences to China; and Tripadvisor, which sank 29% after ruling out a sale and reporting a quarterly loss.
Top stocks today: Uber opportunity
Uber’s main rival in the US – and everywhere else – got a lift after reporting better-than-expected gross bookings and core profit forecasts for the current quarter. Lyft rose 9.2%.
On the NYSE, declining stocks bested advancing ones by a factor of 1.48-to-1 while on the Nasdaq it was 1.39-to-1. the S&P 500 showed 25 new 52-week highs but just two new lows while the Nasdaq saw 61 new highs but 67 new lows Investors are keeping tabs on top stocks today and there is loads of volatility happening amid the market’s shifting winds.
Top stocks today: London IPO trading
London’s IPO pipeline is ‘stacking up’ ahead of what promises to be the biggest shakeup to UK listing rules in four decades, according to Julia Hoggett, CEO of the London Stock Exchange Plc.
Britain today trails behind Europe and the United States on the list of top stocks You see, since Brexit, the UK government has implemented a series of financial reforms to appeal to international businesses keen to use London as a global financial centre.
Top stocks today: Stock trading in the UK
But almost despite itself, the UK has seen a string of disappointing reforms – chip designer Arm seems to have listed in New York over London to get to greater liquidity pools – and this year has seen only four initial public offerings (IPOs) so far, raising up to $371 million while Europe has registered 35 IPOs raising $12.22 billion, and the US 66 IPOs raising $14.72 billion, according to Deaogic.
They will replace the old premium and standard listing categories with a single regime, which aims to reduce red tape in the process and speed up listings.
The broker Peel Hunt noted that London has had virtually no IPO activity in the past two years. ‘The situation cries out for a solution and, at this rate, you could say that by 2028 the FTSE Smallcap will have vanished.’
Top stocks today: Tripadvisor shares
Shares in Tripadvisor (TRIP.O) fell 38% on Wednesday, the firm’s worst day on record, after the online travel agency said a sale of the company was not on the cards, and that it had suffered an unexpected quarterly loss.
TripAdvisor had first announced in February that Liberty TripAdvisor Holdings (LTRPA.PK), the firm’s then parent company and current controlling stakeholder, had received an offer from at least one party to buy its majority share in the agency.
A special committee had been created to consider strategic alternatives, including a potential sale, but on Wednesday, Tripadvisor said that committee determined that there was no current third-party transaction that would be in the company’s best interest.
‘There is no guarantee of any transaction,’ said CEO Matthew Goldberg on the post-earnings analyst call.
Top stocks today: Tripadvisor misses market expectation
The company missed analysts’ expectation of a 2-cent profit for the first quarter, reporting instead a loss of 43 cents per share, according to the data from LSEG.
Liberty TripAdvisor, one of John Malone’s public vehicles, owns a 56% stake in Tripadvisor, with Liberty Media’s chief executive officer Greg Maffei serving as the chairman.
Despite the blow, investors still watch the top stocks of today closely, keeping a barometer on Tripadvisor to see how this can affect other online travel agencies and the world of travel.
At a time when markets are constantly fluctuating, being able to predict the future for the top stocks today is of paramount importance.
Top stocks today: Global equities
Global equities fell on Wednesday as investors awaited fresh signs of inflation to see if it has peaked and might ease the way for the Federal Reserve to cut interest rates, while the dollar edged higher, propelled by expectations that the US economic performance will be stronger than it has been in recent months.
European stocks rose, lifted in part by corporate earnings, but Wall Street declined, dragged down by growth stocks such as Tesla and a tepid second-quarter outlook from the ride-hailing firm Uber.
The yen weakened for a third session, adding to speculation that Japanese authorities may intervene in the currency market. Crude oil traded around two-month lows and the Swedish crown came under pressure after the country’s central bank cut interest rates, predicting two more cuts this year.
Whether inflation will hit the Federal Reserve’s 2% target, and when the Fed chair Jerome Powell might hike interest rates to bring it back in line, is arguably the most pressing question for traders and investors.
‘The market is looking ahead to the CPI report next Wednesday,’ said Gennadiy Goldberg, head of U.S. rates strategy at TD Securities in New York. ‘We’re in a hold mode until we get some data. Investors are cautious, and don’t want to jump to conclusions on the basis of one data point.’
MSCI’s gauge of stocks across the globe (.MIWD00000PUS) fell 0.26%, Europe’s STOXX 600 index (.STOXX) rose 0.39%, and the Dow Jones Industrial Average (.DJI) in the US nudged up 0.04%, while the S P 500 (.SPX) lost 0.12% and the Nasdaq Composite (.IXIC) dropped 0.23%.
Cowen notes that the strong US data in April hurt global stocks ‘and investors ratcheted back expectations of a rate cut’, but stocks bounced back in May after another release of nonfarm payrolls showed a cooling but still vibrant US labour market.
‘During 2019, the equity rebound was accompanied by a very strong first-quarter earnings season,’ says Carl Hammer, global head of asset allocation at SEB. ‘However, with expectations of two rate cuts this year, equity and top stocks have had a sweet spot.’
On the currency markets, meanwhile, the yen fell 0.56% to 155.54 per dollar, after Bank of Japan Governor Kazuo Ueda fuelled speculation around monetary policy action by saying any ‘significant depreciation’ of the currency would have an impact on prices.
Traders were on a near-constant, almost knee-jerk readiness to react to a big movement this week, after Japan’s intervention to try to shore up the yen.
The US dollar index firmed 0.08% to 105.50 but is still about 1% below its April peak; the euro slipped 0.02% to $1.075.
US Treasury yields have tumbled of late as investors have once again started pricing in two rate cuts from the Federal Reserve this year.
Data showed U.S. fuel stocks on the rise, contributing to weaker oil demand as well.
U.S. crude fell 0.52% to $77.97 per barrel and Brent slipped by 0.6% to $82.66. Spot gold was up 0.04% at $2,314.81 an ounce, while Bitcoin dropped 0.95% to $62,370.75.
Renowned top stocks today speak volumes about these shifting tides and the opportunities that abound for investors who are willing to identify them.
Britain’s blue-chip FTSE 100 index pushed to new highs on Wednesday, boosted by rises for AstraZeneca – the country’s biggest drugmaker – after the pharma giant quit vaccine development for COVID-19 around the world, while investors also awaited a crucial interest rate decision by the Bank of England.
The FTSE 100 (.FTSE) pushed up 0.4% to a new record of 8,344.75, while the mid-cap FTSE 250 (.FTMC) edged up 0.2%, notching up its third day of gains after a stronger footing for UK stocks.
Sterling gave both indexes a lift, with the pound falling below $1.25 against the dollar.
AstraZeneca (AZN.L) rose 1.6% after the drugmaker announced it was withdrawing its COVID-19 vaccine from all markets worldwide ‘due to an oversupply of available updated vaccines’ following lockdown. ‘We’ve been overweight the pharmas for a while really.’
‘Healthcare and pharma is a theme that has been coming stronger for some time,’ said Gene Salerno, chief investment officer at SG Kleinwort Hambros.
Miners of industrial metals (.FTNMX551020) dipped 1.1% as base metals softened in the face of a firmer dollar.
Thursday brings interest-rate decision from the Bank of England, with markets still expecting no change this time around, but dovish expectations are rising, with markets now pricing in a potential rate cut in August.
Informa (INF.L) rose 2.5% after the events organiser said annual revenue and adjusted operating profit would be at the top end of previous forecasts, while it was also expanding its share buyback programme.
Shares in OSB Group (OSBO.L) were the biggest climber on the FTSE 250 on Tuesday morning, up 4.9% after the mortgage lender said it was on track to hit its full-year net interest margin target.
Pub group J D Wetherspoon (JDW.L) jumped 3.1% after it said profits were expected to be at the top end of market forecasts, driven by stronger third-quarter sales.
Investors are keeping an eye on some of the UK markets’ top stocks today to spot emerging trends and exploit developing opportunities.
