Key Takeaways
- Powell to face Congress on rate cuts.
- Wharton prof advocates Fed rate cuts.
- US corporate dividends see significant increase.
- "Smart money" bets big on Micron.
- Nvidia’s AI chips could drive high valuation.
- Tesla’s rally concerns bearish analysts.
I. Market Report
US stock futures rose slightly on Tuesday as the S&P 500 and Nasdaq Composite looked to build on their record-setting performances from the previous session.
As of 08:30 am, EST (or 20:30 in Malaysia), Dow Jones Industrial Average futures gained 30 points, or 0.04%. S&P 500 futures and Nasdaq-100 futures climbed 0.17% and 0.27%.
II. Market Movers
As of 08:30 am, EST (or 20:30 in Malaysia), top pre-market movements are as follows:
Ticker | Chg. | Company |
SNGX | 150.00% | $Soligenix, Inc. SNGX$ |
PEGY | 58.31% | $Pineapple Holdings, Inc. - Common Stock PEGY$ |
ZAPP | 50.21% | $Zapp Electric Vehicles Group Ltd Ordinary Shares ZAPP$ |
SHPW | -24.16% | $Shapeways Holdings, Inc. Common Stock SHPW$ |
HELE | -25.17% | $Helen of Troy Limited HELE$ |
INDV | -37.29% | $Indivior Plc Ordinary Shares INDV$ |
Note: We are pleased to inform you that our app now supports pre/after-market trading for US stocks. The trading hours for these sessions are as follows:
- Pre-market: 16:00 to 21:30 in Malaysia
- After-hours market: 04:00 to 08:00 the next day in Malaysia
Please note that regular trading hours are from 21:30 to 04:00 UTC.
III. Flash Headlines
Powell Anticipates To Be Pressed About Rate Cuts, Bank Rules Before Congress
US Federal Reserve Chair Jerome Powell is expected to face pressure on interest-rate cuts and bank regulations from members of Congress on Tuesday and Wednesday as he provides his semiannual testimony before both chambers. Read in detail>>
Wharton Prof Urges Powell, Fed to Pave Way for Rate Cuts at July Meeting
Wharton School professor Jeremy Siegel believes that if the Federal Reserve does not start cutting interest rates soon, the US stock market and economy will be at risk. The top economist, who has advocated for easier monetary policy at the Federal Reserve for months, pointed to more evidence of economic weakness in an interview with CNBC last week. Read in detail>>
US Corporate Dividends Quadruple Y/Y in Q2, Potential Opportunities in High-Yield Stocks
Since the beginning of this year, dividends from US -listed companies have become increasingly generous. In the second quarter just passed, data showed that US listed companies paid a total of US$16 billion more in dividends than in the first quarter, about four times the size of the same period last year. Read in detail>>
Wall Street's Big Shorts Return, Putting US Stocks in Peril for Q3
Michael Wilson, a star strategist at Morgan Stanley, said that as uncertainty surrounding US politics, corporate earnings and Federal Reserve policy begins to weigh on the market, investors should start preparing for a stock market correction. Read in detail>>
Saudi Aramco Reportedly Seeks to Raise at Least US$3 Billion in First Bond Sale in 3 Years
Saudi Aramco is seeking to raise at least US$3 billion in its first bond sale in three years, according to people familiar with the matter. The world's largest oil exporter is selling 10-, 30- and 40-year bonds, and talks with fixed-income investors are expected to begin on Tuesday, a person familiar with the matter said. Read in detail>>
IV. Stocks to Watch
"Smart Money Is Betting Big In Micron Technology Options"
Financial giants have made a conspicuous bearish move on Micron Technology ($Micron Technology, Inc. MU$). Analysis of options history for Micron Technology revealed 55 unusual trades. Delving into the details, we found 38% of traders were bullish, while 43% showed bearish tendencies. Out of all the trades we spotted, 11 were puts, with a value of US$1,019,614, and 44 were calls, valued at US$2,833,951. Read in detail>>
"Big Tech's Next Milestone Is The US$4 Trillion Market Cap"
With even more powerful chips on the way, the AI boom could be that powerful to drive Nvidia ($NVIDIA Corporation NVDA$) to US$4 trillion valuation... On the other hand, Microsoft ($Microsoft Corporation MSFT$) and Apple ($Apple Inc. AAPL$) are ahead in terms of market size... Read in detail>>
Broadcom Issues US$5 Billion in Bonds to Refinance VMware Acquisition Loan
Broadcom ($Broadcom Limited AVGO$) borrowed US$5 billion in the US investment-grade bond market on Monday to refinance part of the loans it obtained for its US$69 billion acquisition of VMware ($VMware, Inc. TEMP Class A VMW#$). Read in detail>>
Tesla's 9-Day Rally Continues, But Bernstein Remains Bearish on Valuation
Tesla ($Tesla Motors, Inc. TSLA$) Shares continued to move higher, completing a ninth straight session of gains on Monday. However, the strong rally has made analysts who are bearish on Tesla more uneasy about its rising valuation. Read in detail>>
Analyst Sees Nvidia Earning US$5/Share in 2025 as Supply Outlook Improves
UBS analyst Timothy Arcuri has a Buy rating on Nvidia ($NVIDIA Corporation NVDA$) and raised the price target from US$120 to US$150. "We now believe EPS of ~US$5 could be doable for CO25 as the order pipeline for NVL72/36 systems is materially larger than just two months ago," Arcuri said. Read in detail>>
US Airlines To Take Flight In Q2: Analyst Predicts Strong Results, 10% Operating Margin
Deutsche Bank analyst Michael Linenberg presented the June quarter preview for the airline industry. The analyst writes that US domestic air travel hit a record high in the first half of 2024, with TSA screenings up 7.4% Y/Y. Read in detail>>
V. Calendar
Earnings:
Expected IPO:
$QMMM Holdings Ltd. QMMM$
$Ming Shing Group Holdings MSW$
Please note that the timing of IPOs is subject to change at any time (including being advanced or delayed). Investors should therefore keep up-to-date with relevant news.
Events:
Time | Country | Indicator | Previous | Consensus | Forecast |
08:55 PM | US | Redbook YoY JUL/06 | 5.80% | ||
09:15 PM | US | Fed Barr Speech | |||
10:00 PM | US | Fed Chair Powell Testimony | |||
10:30 PM | US | NY Fed Treasury Purchases 10 to 22.5 yrs | $55 million | ||
11:30 PM | US | 42-Day Bill Auction | 5.25% | ||
11:30 PM | US | 52-Week Bill Auction | 4.92% | ||
Not Specified | US | Treasury Secretary Yellen Testimony | |||
01:00 AM +1 | US | 3-Year Note Auction | 4.66% | ||
01:30 AM +1 | US | Fed Bowman Speech | |||
04:30 AM +1 | US | API Crude Oil Stock Change JUL/05 | -9.163M | -0.25M |
Finally, just a little reminder:
The regular trading hours for US stocks in the Daylight Saving Time (DST) are from 21:30 to 04:00+1 GMT+8, with pre-market trading available from 16:00 to 21:30.
Have a nice trading day!
Disclaimer:
The content is provided as general information only and should not be taken as investment advice. All the contents shall not be taken as a recommendation to buy or sell any security or financial instruments. Any action you take resulting from information, analysis, or commentary on this article is your responsibility. Please consult your investment advisor before making any investments.
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