US stocks close in positive territory

10-year US Treasury yield rises 1.82% to 2.110%
#stocks #close #positive #territory https://www.globalcourant.com/us-stocks-close-in-positive-territory/?feed_id=15363&_unique_id=63068cce6c39d

US stocks close mixed, surrendering earlier gains

10-year US Treasury yield soars 4% to 2.891%
Source https://www.globalcourant.com/us-stocks-close-mixed-surrendering-earlier-gains/?feed_id=9663&_unique_id=62f57a878e5ae

Uber and Lyft stocks had their best week ever

Air travelers wait in the ride share lot near a sign for Uber at Los Angeles International Airport (LAX) on August 20, 2020 in Los Angeles, California.

Mario Tama | Getty Images

Shares of gig economy companies Uber, Lyft, DoorDash and Airbnb popped this week after the companies posted quarterly reports that showed strong demand.

Lyft finished the week up 46%, and Uber jumped 37%, the best week ever for both stocks. DoorDash closed up 15%, and Airbnb rose for a third straight week, climbing 5.5%.

Investors are encouraged to see that gig companies in the consumer market are, so far, withstanding inflationary pressures that have rocked other sectors, such as retail. It also may be an indication that grocery delivery platform Instacart can form a stronger pitch for an IPO. Instacart confidentially filed for an IPO in May, though it's had to bring its private market valuation down.

Uber CEO Dara Khosrowshahi said he's noticed a change in consumer spending from retail to services. And inflation may even have helped. Khosrowshahi said Uber saw a boost in the number of drivers on the platform as consumers look to other ways to increase their income.

Airbnb, meanwhile, posted an all-time high in bookings. DoorDash said it had a record number of orders. Lyft, which still had a net loss, posted its highest ever adjusted earnings figure.

Here are some of the highlights:

• Uber reported revenue of $8.07 billion, well above analyst estimates of $7.39 billion. Khosrowshahi said that driver engagement reached another post-pandemic high during the quarter.

• Lyft reported a 16% increase in active riders, to 19.9 million, the highest since the start of the pandemic.

• DoorDash posted better-than-expected revenue. Though it reported a wider loss per share than estimated, the company recorded 23% growth in the total number of delivered orders.

• Shares of Airbnb were up for the third week in a row. The company posted higher-than-expected earnings Tuesday and revenues in line with expectations for the second quarter. Airbnb said gross nights booked for cross-border travel exceeded pre-pandemic levels and doubled compared with the same period last year.

Source https://www.globalcourant.com/uber-and-lyft-stocks-had-their-best-week-ever/?feed_id=7164&_unique_id=62ed99a6684ed

Asian stocks decline amid tensions over Pelosi's visit to Taiwan

Stocks across the board tumbled as jitters about an escalation in regional tension with US House Speaker Nancy Pelosi set to begin a trip to Taiwan, adding to fears about the risk of global recession.

The week began with China, Europe and the United States reporting weakening factory activity, with that in the US decelerating to its lowest level since August 2020. (Reuters Archive)

Asian shares have been mostly lower amid concerns about regional stability as an expected visit by US House Speaker Nancy Pelosi to Taiwan prompted threats from Beijing.

Benchmarks headed downward across the board in the region in early trading on Tuesday, including Japan, China, South Korea and Australia.

US long-term Treasury yields dropped to a four-month low, pulling the US dollar down, amid a bid for safer assets after China threatened repercussions in the event of the visit by Pelosi to the self-ruled island, which China claims as its territory. Crude oil also sank.

Japan's benchmark Nikkei 225 declined 1.4 percent to 27,594.73. South Korea's Kospi slipped 0.5 percent to 2,439.62. Hong Kong's Hang Seng dropped 2.5 percent to 19,675.87, while the Shanghai Composite dove 2.3 percent to 3,186.27.

Meanwhile, Australian stocks pared declines and the Aussie dollar weakened after the central bank raised the key rate by an as-expected 50 basis points, with markets interpreting changes to the accompanying policy statement as dovish.

Taiwan visit tensions

China sees Taiwan as its own territory and has repeatedly warned of “serious consequences” if the reported trip to the island goes ahead. 

Pelosi has said she is visiting Singapore, Malaysia, South Korea and Japan for talks on a variety of topics, including trade, Covid-19, climate change and security.

While there have been no official announcements, local media in Taiwan reported Pelosi will arrive on Tuesday night, making her the highest-ranking elected US official to visit in more than 25 years.

The week began with China, Europe and the United States reporting weakening factory activity, with that in the US decelerating to its lowest level since August 2020.

That sank crude, with Brent futures edging down to $99.27 a barrel on Tuesday after losing almost $4 overnight. 

US West Texas Intermediate futures also eased to $93.26, extending Monday's almost $5 slide.

The benchmark 10-year US Treasury yield fell as low as 2.53 percent in Tokyo trade, the lowest since April 5, amid wagers the slowdown could spur the US Federal Reserve to ease off the policy-tightening pedal. 

The bonds also benefited from safety-seeking demand before Pelosi's Taiwan visit.

That helped the US dollar slide as low as 130.40 yen for the first time since June 6. The euro jumped as high as $1.0294, a level not seen since July 5.

The Taiwan dollar slipped to its lowest level in more than two years on the weaker side of 30 per US dollar.

READ MORE: US Pelosi's 'provocative' Taiwan visit to undermine ties — China

[embed]https://www.youtube.com/watch?v=25adtd0zrXs[/embed]

Source: AP

Source https://www.globalcourant.com/asian-stocks-decline-amid-tensions-over-pelosis-visit-to-taiwan/?feed_id=5503&_unique_id=62e8df7cf24e2

US stocks rally, dollar retreats as Fed hikes interest rates

Analysts said the central bank's move met market expectations and they took heart in Powell's statements that implied the central bank could undertake smaller interest rate hikes later in 2022 after two straight super-sized increases.

All three major US indices enjoyed solid gains, with the S&P 500 finishing up 2.6 percent. (AP)

Wall Street stocks rallied and the dollar retreated as the Federal Reserve again proceeded with a large interest rate hike, maintaining its forceful stance to combat inflation.

The US central bank carried out the second straight 75 basis point increase on Wednesday, and the fourth rate hike this year, moving aggressively to cool the strongest surge in inflation in more than four decades without derailing the world's largest economy.

But equities pushed even higher during Fed Chair Jerome Powell's news conference, where he described the US economy as slowing but not in recession.

Analysts said the central bank's move met market expectations and they took heart in Powell's statements that implied the central bank could undertake smaller interest rate hikes later in 2022 after two straight super-sized increases.

Wall Street "is contemplating less aggressive monetary policy at least on the Fed Funds rate as we move from the third quarter into the fourth quarter," said Art Hogan, chief market strategist at B Riley Wealth Management.

All three major US indices enjoyed solid gains, with the S&P 500 finishing up 2.6 percent.

The dollar also pulled back against the euro and other currencies in a sign the Fed's stance was seen as less hawkish than expected.

READ MORE: US Fed announces biggest interest rate hike in nearly three decades

[embed]https://www.youtube.com/watch?v=7pe5kXoYHOU[/embed]

'Markets signal of economic strength'

GDP in the first quarter contracted 1.6 percent. Two quarters of negative growth are generally considered a sign the economy is in recession, although that is not the official criteria.

Powell noted the Fed's mandate is to promote price stability and full employment, not to make declarations about recessions — but added he did not consider current conditions consistent with such a categorization.

A recession is "a broad-based decline across many industries that is sustained for more than a couple months," Powell told reporters.

"What we have right now doesn't seem like that. The real reason is that the labor market is just sending such a strong signal of economic strength that it makes you really question the GDP data."

In Europe, shares in London rose 0.6 percent, Paris climbed 0.8 percent and Frankfurt added 0.5 percent.

READ MORE: Eurozone business activity contracts as price rises bite

[embed]https://www.youtube.com/watch?v=hgNKELdX1iU[/embed]

Source: AFP

Source https://www.globalcourant.com/us-stocks-rally-dollar-retreats-as-fed-hikes-interest-rates/?feed_id=3086&_unique_id=62e1d35093387