Upcoming U.S. political elections in November will have marginal impact on the stock market, specifically companies backed by ratified national budgets in defense equipment and medical sectors.
UnitedHealth Inc’s (UNH) shares more than doubled since President Obama required Americans to get health insurance, so the policy ruling guaranteed companies like UNH millions more customers.
In earnings news, Ulta Salon, Cosmetics & Fragrance Inc (ULTA) was trading at all-time highs Friday after the beauty products retailer announced first-quarter income of $1.45 per share on $1.07 billion in revenue.
In a revival sign for technology-related stocks, international indices hosting major tech-weighed companies advanced on Tuesday, after the Nasdaq 100 closed up 0.39% or 17 points to 4370 on Monday and in Toronto the S&P/TSX gained 0.74% or 102.26 to 13,919.58.
The MSCI AC Asia Pacific index gained 0.39% or 49 points to 126.13, the Hang Seng logged up 0.11% or 21.40 to 19,830.43 Tuesday afternoon in Hong Kong, and other indexes slumped following the release of unfavorable economic sentiment data in Japan.
Global wealth may be shifting to a different ranking of the topmost and richest cities in the world, and over the next decade the new topmost cities could be Doha in Kuwait, Bergen and Trondheim in Norway, Asan in South Korea, Rhein-Ruhr in Germany, and Macau in China, according to an EU website.
The tech-heavy Nasdaq Composite closed up 0.81% to 4,769.56 in the five days to Friday, and the index is still down 4.75% since the beginning of the year.
Stocks of chip makers are mixed while companies are struggling to shift to car automation and more advanced solutions.
Nokia Corp (NOK) raced up 1.35% to $5.21 in five days after the networking provider agreed to acquire Withings Health Mate, a leading European provider of health applications since its first product in 2009.
Following the Paris to Cairo airplane crash on Thursday, May 19, rescue helicopter teams were trying to find reminiscent to identify the victims and connect with their families and close ones. A digital copy of the flight systems revealed there had been a smoke alarm and technical propeller glitch before the plane got lost. Sixty-six people were registered missing in addition to the pilots and crew members.
Here is a link to the latest market update and “stocks to watch” internationally. Japan hosted the G7 meeting on Friday and Saturday discussing topics like deflation and attempts to increase spending to boost global growth.
Apple Inc (AAPL) gained 1.81% or $1.64 to $92.52 in premarket as fund manager Warren Buffet showed a $1 billion ownership of 9.8 million shares of the tech giant.
Surging in Asia, Alibaba Group Holding Ltd (BABA:SW) has cashed in well since the e-commerce company raised $4 billion.
Nissan Motor Co Ltd (7201:JP) is taking a 34% stake in Mitsubishi Motors Corp (7211:JP), Japan’s smallest automaker, for $2.2 billion.
The European Union blocked CK Hutchison Holdings Ltd’s (CKHUF) deal to buy Telefonica SA’s (TEF:SM) brand O2 UK, sending Hutchison’s shares down 2.07% or 25 cents to $11.80.
Canada’s InnVest REIT (IVRVF), a leading small-scale hotel investor, is being acquired by Hong-Kong-based and privately-held Bluesky Hotels & Resorts Inc for C$7.25 per unit in all-cash.
Globalization already resulted in more companies focusing on the impact of international operations and the respective currencies’ effect, in addition to fulfilling efficiently court and tax loopholes.
The economy worldwide is showing signs of improved performance during the second quarter. The three largest energy-sector exchange-traded funds gained year to date: Energy Select Sector SPDR (XLE) up 8.07% to $65.18, SPDR S&P Oil & Gas Exploration & Production (XOP) up 11.15% to $33.59, and Vanguard Energy (VDE) up 9.14% to $90.71.
Meanwhile, the Vanguard Dividend Appreciation (VIG) gained 5.69% to $82.18 year to date – the largest U.S. dividend exchange-traded fund with $20.6 billion in assets under management at the end of the first quarter.
Saudi Arabia will spin off 5% of the state-run oil company in Hong Kong, London and New York by year 2017, that would be the biggest IPO in history. Plans are to attract Exxon Mobil Corp (XOM), China Petroleum & Chemical Corp (SNP), and BP Plc (BP). General Electric Co (GE) will also invest in Saudi Aramco Energy Ventures LLC.
Amazon.com (AMZN) could invest as much as a 30% share in Atlas Air Worldwide Holdings Inc (AAWW) as the e-commerce giant steps up efforts to take control of its own delivery logistics.
Oracle Corp (ORCL) advanced 10.7% to $39.41 in the past three months and since the tech giant is looking to acquire Opower Inc (OPWR), a provider of cloud-based software for the utility industry worldwide, for $510 million in cash.
The Walt Disney Co (DIS) has eyes on acquiring digital sports streaming service from Major League Baseball Enterprises Inc.
Crude futures last climbed +3.1% to $45.12 a barrel despite geopolitical uncertainty and imbalance of how resources are distributed. Crude oil supplies in Libya were disrupted as fighting between rival groups in the country intensifies.
Futures at 6:20 a.m. traded in positive territory: Dow gaining 0.2%. S&P climbing 0.3%, Nasdaq hiking up 0.3%, while gold surged 0.2% to $1277.80 mimicking last week’s favorable returns. The ten-year Treasury yield was flat at 1.78%.
Meanwhile and later on Thursday 88,000 residents fled Fort McMurray, a city in the heart of Canada’s oil sands because of expected blaze winds.
Approximately 72% of U.S. companies have already posted first-quarter 2016 earnings results. Following worse-than-expected releases from the banking sector, media companies are grabbing the spotlight this week.
Time Warner Inc (TWX) surged 3.30% or $2.43 to $76.07 in morning session after the film producer posted adjusted earnings of $1.49 per share and revenue slightly above forecasts.
21st Century Fox Inc (FOXA) and Rupert Murdoch’s News Corp (NWSA) will release third-quarter earnings and revenue on May 5, while The Walt Disney Co (DIS) will post second-quarter 2016 results after the market close on Tuesday, May 10.