Wall Street's rebound yesterday thanks to Microsoft and Amazon has turbocharged tech stocks in Asia, with the Kospi recovering from heavy losses with a stellar +18%. Petroleum It is falling for the second consecutive day, while a solution for Gaza seems close: the ongoing negotiations in Egypt are well underway, and it seems that Hamas's proposal to hand over weapons has been somewhat accepted by Israel as well. European stock markets are expected to open strongly.
Yesterday, Wall Street closed sharply higher, driven by Microsoft's surge. In the after-hours session, Amazon jumped 9% and Apple fell 5,5% after the data.
IERI (Yesterday) Wall Street closed sharply higher, led by semiconductor stocks that were surging and with ecosystem which posted its biggest daily percentage gain in 18 years after the tech giant delivered strong forecasts that eased fears of massive spending on artificial intelligence infrastructure. S & P 500 closed at +1,66%, Nasdaq with +2,78%, Dow with + 1,19%.
The chip index jumped 8,2%, with Micron Technology up 18%, Sandisk jumped by 26% and Advanced Micro Devices of 13%. ecosystem Apple jumped more than 15%, increasing its market value by $450 billion, the largest single-day gain ever recorded by a Wall Street company. The tech giant forecast higher-than-expected growth in quarterly sales and cloud services. It also reported lower-than-estimated capital expenditures and said it expects to continue generating cash flow through the 2027 fiscal year, which has just begun. This is a far cry from the negative cash flow figures reported this week by A e Tesla or even from Meta Platform collapsed after the social media giant reported a 91% drop in free cash flow in the second quarter.
Amazon closed up 3,9% in official trading and then jumped 9% in after hours With the release of its quarterly results showing the strongest cloud growth in four years and an upward revision to its annual capital spending forecast, Amazon CEO Andy Jassy said demand remained strong but the company still lacked sufficient computing capacity to serve customers, despite having increased its capital spending forecast by 10% to $220 billion. Revenue from its cloud computing unit, Amazon Web Services, jumped 37% to $42,2 billion in the second quarter ended June 30, significantly exceeding analysts' forecasts for a 31,21% increase. Amazon's free cash flow turned sharply negative. The company burned through $7,6 billion in cash in the second quarter year-over-year, compared to free cash flow of $18,2 billion in the same period a year earlier.
Apple Apple, which closed down 1,4% in official trading, then fell 5,5% in after-hours trading after forecasting revenue growth of 9% to 11% for the quarter compared to the previous year, below the 12% Wall Street forecast. It also said iPhone revenue will grow at a rate of around 15%, below Wall Street's target of 17,6%, and that gross profit margins will be between 47% and 48%. Forecasts indicate that sales for the current quarter, which ends in September, will grow more slowly than expected, as the iPhone maker is struggling to source the components needed to deliver products.
Still to be reported Qualcomm which fell 2,6% after the chipmaker forecast lower-than-estimated fourth-quarter earnings and said revenue from Apple products would decline faster than expected. Starbucks rose 1,6% after the world's largest coffee chain raised its annual sales and profit forecasts.
Analysts at Lseg/Ibes expect an average 40% increase in overall profits The S&P 500 Index rose in the second quarter from a year earlier, with artificial intelligence-related stocks expected to account for much of this growth. Strong earnings forecasts and the recent decline in stock prices have led to theThe S&P 500 index is trading at about 20 times earnings. forecast, just above its 10-year average of 19, according to LSEG data.
On the macro front yesterday it emerged that the economic growth US slowed in the second quarter due to the widening of the trade deficit. The economy grew at a 1,5% rate, below estimates of 2,1%, according to the data, while June inflation data showed a slowdown.
Asia sees tech surge. The Kospi gains 18%. The yen falls further after the Bank of Japan's no-show on interest rates.
The tech rebound continued overnight in Asia-Pacific. The MSCI Asia-Pacific stock index rebounded 4,7%. Asian markets staged a dizzying rally this morning, with traders rushing into shares of chip manufacturers which had suffered the collapse at the beginning of the week, while the yen resumed its descent after the Bank of Japan left interest rates unchanged.
Il Kospi South Korea recorded a rise of up to 18%, although it remains on track to lose nearly 25% in July, its biggest monthly loss since the 1997 Asian financial crisis. The semiconductor giant SK Hynix he earned almost the 30%, the maximum daily deviation limit permitted by the control authorities, even on the news of a purchase of shares from SK Group President Chey Tae-won. The contestant Samsung Electronics is up 26%. According to data from the Korean Stock Exchange, Foreign investors led purchases in Seoul, snapping up Kospi shares worth a net 7.000 trillion won ($4,8 billion). Retail investors, however, were once again net sellers, selling 6.800 trillion won worth of shares.
This week, South Korean authorities stepped up restrictions on more than a dozen leveraged exchange-traded funds (ETFs) tracking shares of Samsung and SK Hynix, aiming to stem market swings amplified by rebalancing operations.
Likewise, gains of more than 7% were seen in Taiwan and a 4% jump in the Japanese index Nikkei 225: the latter closes the month of July with a drop of eight percent.
On the currency front, investors are working out the implications of the'unprecedented coordinated intervention with Japanese and Korean currency authorities, which happened yesterday to strengthen their respective currencies against the U.S. dollar. For Tokyo, it was the latest in a series of market interventions by the authorities this year to halt the yen's decline, while it was a rare move by Seoul. But the positive effect of government intervention on the yen It didn't last long: the yen fell to 160,69 this morning after the monetary policy committee Bank of Japan kept rates unchanged, in line with market expectations. The Treasury Secretary himself Scott Bessent said the yen appears “significantly undervalued,” he reported. Fox Business. Even the won gave back some of its gains after hitting a nine-month high overnight.
In ChinaThe CSI 300 index of Shanghai and Shenzhen stock markets is up 1%, down 7,5% for the month. The Hang Seng Index is down 0,1%, but July is about to end with a 13% gain. The Taipei Taiex is up 8%, down 7% for the month. High-tech companies are rising, with the exception of Xiaomi, which is down 10% in Hong Kong after pricing its two new car models at levels considered disruptive to the family SUV market. Citi says the aggressive pricing strategy is creating uncertainty about margins. Prada, listed on the Hong Kong Stock Exchange, rose 10% after the company reported first-half net sales that beat analysts' estimates.
Some executives of Tesla they received the order to prepare for the separation of Chinese operations of the company in view of a possible merger with SpaceX. The brings it back Wall Street Journal, according to which owner Elon Musk has structured Tesla's Chinese operations so that they can be easily separated from its US operations, due to geopolitical tensions.
I U.S. Treasury yields Long-term yields remained near 19-year highs, while short-term yields narrowed, steepening the yield curve amid growing doubts about the Federal Reserve's ability to anchor inflation expectations.
European stock markets opened higher. At the Milan Stock Exchange, eyes were on Leonardo, Stm, and Campari.
European markets are heading for a positive opening. The Euro Stoxx 50 futures are up 0,8%.
Campari – Lagfin has placed a €600 million exchangeable bond convertible into Campari shares, with a coupon of 3,125% and a premium of 42,5%.
Enel – The international business portfolio drove growth in the first half of the year, which closed with revenues of €40.919 million. Ordinary EBITDA reached €11.838 million, up 3,2% year-over-year.
Classic Ferrari for sale – Jefferies raises target price to 400 euros from 380.
Leonardo – The Board of Directors approved the first-half results. Orders reached €16 billion, up 45% year-over-year, revenues reached €10 billion, up 12%, and EBITDA reached €780 million, up 34%. The company also raised its estimates.
Pirelli – Czech investor Strand has acquired a 14% stake from Sinochem.
Prysmian – Citigroup cuts its target price to 145 euros from 146.
stm It should benefit from the global rally in technology and chip stocks. The Philadelphia Semiconductor Index closed up 8% yesterday.
Out of the main basket:
Webuild – It has been awarded an €803 million contract for the construction of the undersea road tunnel in Genoa.
