Business

5 things to know before the stock market opens Tuesday – CNBC

5 things to know before the stock market opens Tuesday - CNBC
Written by admin sati

Here are the most important news items that investors need to start their trading day:

1. Stock futures in the red

Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, June 30, 2022.

Brendan McDermid | Reuters

U.S. stock futures fell Tuesday, as investors worried about inflamed geopolitical tensions between Beijing and Washington ahead of House Speaker Nancy Pelosi’s expected visit to Taiwan. Treasury yields also slid Tuesday, with the benchmark 10-year Treasury note trading as low as 2.516%, as investors flocked to the perceived safety of U.S. government debt. Equities in mainland China and Hong Kong tumbled Tuesday, too, and the yen, considered a safe haven currency, further strengthened. On Monday, the major Wall Street stock indexes finished in the red, breaking three-day losing streaks.

2. Chinese warplanes reportedly fly near Taiwan Strait’s dividing line

An image of Speaker of the House Nancy Pelosi holding her weekly press conference on Capitol Hill on Friday, July 29, 2022 in Washington, DC. U.S. House of Representatives Speaker Nancy Pelosi was expected to arrive in Taipei later on Tuesday, people briefed on the matter said, as several Chinese warplanes flew close to the median line dividing the Taiwan Strait, a source told Reuters.

Kent Nishimura | Los Angeles Times | Getty Images

Chinese warplanes flew near the median line in the Taiwan Strait, Reuters reported Tuesday citing a source. Beijing has warned Pelosi against visiting Taiwan, a self-ruled island that China claims as its territory. Pelosi is on a tour of the region, but her expected visit to Taiwan has not been officially announced. Tensions between China and Taiwan have been on the rise in recent years.

3. Uber reports another large loss, but shares soar

Uber CEO Dara Khosrowshahi speaks at a product launch event in San Francisco, California on September 26, 2019.

Philip Pacheco | AFP via Getty Images

Shares of Uber Technologies jumped Tuesday after the ride-hailing and food delivery company reported better-than-expected quarterly revenue. Uber’s second-quarter sales checked in at $8.07 billion, well ahead of the $7.39 billion analysts projected, according to Refinitiv. However, Uber posted a net loss of $2.6 billion for the quarter, which includes a $1.7 billion hit related to revaluation of its investments in Grab Aurora and Zomato. Losses from operations in the quarter ended June 30 totaled $713 million, but the company did report positive free cash flow of $382 million. In May, CEO Dara Khosrowshahi told employees in a memo that cash flow positivity was becoming an important near-term goal.

4. Oil firms boost dividends

A BP logo photographed in London on May 12, 2021. The International Energy Agency recently reported that 2021 saw energy-related carbon dioxide emissions rise to their highest level in history.

Glyn Kirk | Afp | Getty Images

British oil giant BP and U.S. shale producer Devon Energy reported strong quarterly profits and raised their dividend payouts, as elevated crude prices this year helped the companies to boost their capital return programs. BP, which on Tuesday posted second-quarter profit of $8.5 billion, hiked its quarterly dividend by 10% to 6.006 cents per ordinary share. Devon Energy, which on Monday turned in better-than-expected Q2 results on the top and bottom lines, announced a 22% increase to its dividend payout. Using a fixed-plus-variable dividend strategy, Devon’s quarterly payout now stands at $1.55 per share, up from $1.27.

5. Pinterest jumps; activist firm says it’s top shareholder

A banner for the online image board Pinterest Inc. hangs from the New York Stock Exchange (NYSE) on the morning that Pinterest makes its initial public offering on April 18, 2019 in New York City.

Spencer Platt | Getty Images News | Getty Images

Pinterest shares soared around 18% in premarket trading Tuesday, a day after the social media company’s quarterly earnings and revenue came in below Wall Street forecasts, and current quarter guidance was weaker than expected. While Pinterest’s monthly active user decline wasn’t as bad as feared, the company’s results nonetheless show the challenging operating environment for social media name right now. Pinterest‘s stock may be reacting to news that activist investor Elliott Management on Monday revealed it is the company’s largest shareholder, touting the “value-creation opportunity” it sees.

Sign up now for the CNBC Investing Club to follow Jim Cramer’s every stock move. Follow the broader market action like a pro on CNBC Pro.

#stock #market #opens #Tuesday #CNBC

About the author

admin sati

Leave a Comment