Author: Trendytimes
As tariffs create concerns about a global recession over the background of this week’s revenue season, Wall Street is requiring businesses to correct their guidance or, worse, pull it out completely. Delta (DAL), the first airline with first-quarter results on Wednesday, did not affirm its full-year forecast, citing headwinds from economic uncertainty surrounding the trade war. “They pulled out guidance. This means that everything depends on policy and companies can’t provide high conviction guidance, so I think we’ll see a lot this revenue season.” Kantrowitz said first quarter performance will be “old news” for investors entering this revenue season as…
This is one of the most confusing stretches for the US market, which I remember recently. And the massive surge in long-term Treasury yields served as yet another example of strange trading behaviour in the aftermath of Trump’s tariff fuel, “liberation day.” The 10-year yield (^TNX) jumped 17 basis points to kick off the week. Yield extended those profits on Tuesday, hovering at around 4.26%, rising to around 11 basis points. Similarly, the 30-year yield (^TYX) jumped another 12 basis points on Tuesday after seeing its biggest move since March 2020. At the end of the market, its 30-year yield…
This is one of the most confusing stretches for the US market, which I remember recently. The S&P 500 (^GSPC) fell by more than 10% in just three days. The three-day collapse of stocks after President Trump’s tariff announcement is based on Yahoo’s financial data, just under the worst sales since World War II. The only three-day periods that reduced inventory occurred in 1987, 1998, 2008, 2011 and 2020. On Monday, the S&P scored around 8% in under 30 minutes in false reports that President Trump is considering a 90-day suspension in his tariff rollout. The White House immediately denied…
Several of Trump’s prominent supporters in the business community have warned against mutual tariffs and the resulting market fallout. Billionaire investor Bill Ackman, an outspoken billionaire investor who supported the president last July following an attempted assassination in Trump, said in the long post at the end of Sunday that Trump could head towards a “economic nuclear winter” except that Trump is calling a “timeout” in his tariff plans. “The president has the opportunity to call timeouts on Monday and have time to run to fix the unfair customs system,” writes Ackman. “Or alternatively, we are heading towards a self-induced…
Even the cash press, which is Amazon Prime, can’t blunt the blow to profits from President Trump’s new tariffs to Amazon (AMZN). Amazon could achieve annual operating profits of between $5 billion and $10 billion from higher first-party merchandise costs due to tariffs, Goldman Sachs technology analyst Eric Sheridan warned in a note Friday afternoon. Sheridan estimated that Amazon’s US product costs would rise by 15% to 20%, assuming there were no mitigation factors such as cost reductions or vendor negotiations. “We believe Amazon investors are (and will remain) focused on the potential financial impact of mutual tariffs announced by…
US bank stocks plummeted following a tariff announcement that President Trump cleans up on Thursday as concerns have been raised about how the biggest names in finance will be affected by the growing likelihood of a US recession. The index tracking the US banking industry (^BKX) fell by about 10% on Thursday. This is the worst day since the regional banking crisis struck the industry in March 2023. Individual stocks in the country’s largest banks also fell. JPMorgan Chase (JPM), Wells Fargo (WFC), Citigroup (C), Goldman Sachs (GS), Morgan Stanley (MS), and Bank of America (BAC) fell between 7% and…
Tech stocks plummeted on Thursday, with Apple (AAPL) leading the “magnificent seven” name following President Trump’s mutual tariff announcement the previous day. Apple’s stock notched on its worst day since March 2020 after its share price cratered more than 9% and erased more than $300 billion from its market capitalization. According to analysts, the biggest risks are centered around iPhone manufacturers’ overseas production hubs. This is particularly vulnerable to customs countries. Read more about Apple’s stock movements and market action today. NasdaqGS – Citation delay • USD Nearby: April 3rd, 4:01pm EDT On Wednesday, Trump announced tariffs affecting around 185…
Apple’s (AAPL) shares fell more than 7% before the bell, and still leads the sale of tech stocks following a larger tariff than Trump expected. Apple’s overseas production hubs are particularly vulnerable given the presence of iPhone manufacturers in China, Vietnam and India. These countries face customs duties of 34%, 46% and 26%, respectively, when additional taxes are taken into consideration. “Apple basically produces all iPhones in China. The issue is about exceptions and exemptions from this customs policy, like Apple announced in February, if those companies are building more businesses, factories and plants in the US.” Elsewhere in high…
The shares were recently sold as investors consumed President Trump’s latest tariffs. Headlines are expected to intensify in the week due to the April 2nd mutual tariff deadline, when Trump was called “liberation day” on Wednesday. The big question from investors heading towards the expected announcement is the degree to which Trump will impose taxes on trading partners and whether the move will lead to further escalation of the trade war. “There’s a lot to digest in the market,” Henrietta Treys, director of economic policy at Vedic Partners, told Yahoo Finance. “And they will see how positive and long-term these…
Investors have a positive view on the sale of the flagged family dollar business Dollar Tree (DLTR) and the mixed results of the fourth quarter depicting stressed consumers. Dollar Tree shares jumped 8% in early trading after discount retailers shared plans to sell family dollars to two private equity companies, Brigade Capital Management and Macellum Capital Management for $1 billion. Dollar Tree acquired the Family Dollar Brand in 2015 at a spectacular price of $9 billion after surpassing rival Dollar General (DG) to win the chain. “We strongly believe that selling family dollars and returning to our roots with our…