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Stocks Pullback After NYC Schools Closure

Published 19/11/2020, 07:30
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News

  • Asia-Pacific markets fell on Thursday as traders grappled with optimism around a potential coronavirus vaccine and economic worries;
  • Deutsche Bank (DE:DBKGn): "There is increasing demand to use Bitcoin where Gold was used to hedge dollar risk and inflation";
  • Tesla closed 10% higher after Morgan Stanley (NYSE:MS) upgraded the stock due to huge 'internet-of-cars' upside;
  • Elon Musk passes Mark Zuckerberg to become the world’s fourth richest person;
  • Nikola surged 15% after the company is referenced on GM's website amid ongoing deal talks;
  • Zoom spiked 3% as New York City will close schools for in-person learning to curb Covid outbreak, which means more remote learning;
  • Goldman warns of "Massive" $36BN month-end pension selling, 4th largest on record;
  • Google (NASDAQ:GOOGL) muscles in on Wall Street's Turf with new Checking Accounts;
  • SEC finally considers requiring US-Listed Chinese-companies to use auditors with US oversight;
  • Trump campaign requests partial Wisconsin recount, deposits $3 million to challenge Biden victory. Georgia recount monitor catches 9,626-Vote error during hand recount.

What else?

  • Apple (NASDAQ:AAPL) to halve App Store rates for small businesses. The move by iPhone maker is unlikely to calm complaints from big developers;
  • Gunvor to end use of agents to win business. It is the latest commodity trader to cut back on intermediaries as sector faces scrutiny from regulators;
  • The Dow Jones Industrial Average stock index has the potential to reach the 40,000-point mark in 2021, according to Baird’s Patrick Spence;
  • FAA clears Boeing (NYSE:BA) 737 Max to fly again after 20-month grounding spurred by deadly crashes;
  • Moderna’s coronavirus vaccine maker identifies ‘big challenges’ to mass production;
  • The UK plans to ban sales of diesel and petrol cars from 2030;
  • UK electric vehicle maker Arrival is going public via SPAC at a $5.4 billion valuation;
  • Wednesday morning, Bank of America (NYSE:BAC), JP Morgan, Deutsche Bank and Crédit Suisse analysts all increased their target price on NIO.

The Day Ahead

  • Earnings: Workday, Netease, McAfee, Williams (NYSE:WMB) Sonoma;
  • Macro: U.S. Philadelphia Fed Manufacturing Index, U.S. Existing Home Sales, Peoples' Bank of China (PBoC) Loan Prime Rate Decision, European Council Meeting (which is seen as a Preliminary Brexit Trade Deal Deadline).

Quote of the day

"Never have more children than you have car windows.” – Erma Bombeck.

WRAP

Markets

U.S. stocks fell for a second straight day on Wednesday as the market’s recent rally to new records took a pause. The Dow Jones dropped 344 points, or 1.2%, to 29,438.42 in a volatile session, after rising as much as 147 points at its session high. The tech-heavy Nasdaq Composite fell 0.8%. European markets closed higher Pfizer (NYSE:PFE) said final analysis had shown its vaccine was 95% effective and would be submitted to the U.S. Food and Drug Administration (FDA) for approval within days. Bitcoin surged above $18,000 intraday (just shy of $18,500).

Macro

Mayor Bill de Blasio announced New York City’s public schools will move to remote learning only as the city tries to tamp down a growing number of coronavirus cases. The U.S. is recording roughly 157,000 new coronavirus cases per day, on average.

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