Client Login

STOCK MARKETS LARGELY FLAT AHEAD OF CENTRAL BANK MEETINGS

SECTION SELECTION
US FINANCIAL MARKET
| US ECONOMY & POLITICS | EUROPE & WORLD | TODAY IN HISTORY

STOCK MARKETS LARGELY FLAT AHEAD OF CENTRAL BANK MEETINGS

  • Investors cautious as they wait for clues on whether the Federal Reserve will raise interest rates in the coming months.
  • Traders have priced in an 18.7 percent chance of a rate increase in September and a 42.8 percent chance in December.
  • McDonald’s posted weaker-than-expected same-store sales.
  • Caterpillar slashed its outlook and said it would cut more jobs this year.
  • Later Tuesday, investors will hear from Apple.
  • S&P 500 earnings are expected to decline for a fourth quarter in a row.
  • Still, most reports so far have been solid, if unspectacular.
  • 65% of companies have beaten estimates.

US FINANCIAL MARKET

Verizon Earnings Dented By Worker Strike

  • Verizon said it added 615,000 net retail postpaid wireless subscribers, a 46% drop from the prior-year period.
  • Revenue fell 5.3% to $30.53 billion, just below analysts’ estimates for $30.94 billion.
  • Earnings were dented 7 cents per share by the seven-week work stoppage in wireline.

McDonald’s Posts Lackluster Same-Store Sales Growth

  • This was the fourth consecutive quarter of positive same-store sales across all of McDonald’s business segments.
  • Sales at existing stores rose 3.1% in the period, just below the consensus estimate of 3.6% growth.
  • McDonald’s reported a profit of $1.09 billion compared with $1.2 billion a year earlier.
  • Revenue fell 4% to $6.27 billion, meeting analysts’ expectations.

Caterpillar Slashes Guidance, Announces More Job Cuts

  • Caterpillar said it would further reduce its ranks by an unspecified number that adds to previously announced layoffs of 10,000.
  • Caterpillar now sees full-year revenue coming in between $40 and $40.5 billion versus its April forecast of $40 billion to $42 billion.
  • The company reported a profit of $550 million, down from $802 million a year earlier.
  • Revenue slid 16% to $10.34 billion.

3M Sales Hurt by Electronics and Energy Segment

  • The company narrowed its earnings outlook for the year to a range of $8.15 to $8.30 from a prior range of $8.10 and $8.45 a share.
  • 3M reported a profit of $1.29 billion compared with $1.3 billion a year earlier.
  • Sales edged down 0.3% to $7.66 billion, below the $7.71 billion expected by analysts.
  • The company said foreign-currency translation reduced total sales by 1.5%.

United Technologies Revenue Climbs

  • It now expects adjusted earnings per share of between $6.45 and $6.60, increasing the low end from $6.30.
  • It expects revenue of $57 billion to $58 billion, up from $56 billion to $58 billion previously.
  • For the quarter, the company reported a profit of $1.37 billion, down from $1.54 billion in the prior year.
  • Total sales rose 1.3% to $14.87 billion, with a 1% increase in organic sales and a 1% increase in sales from acquisitions being partially offset by unfavorable exchange rates.

Gilead Sales of Hepatitis C Drugs Fall 19%

  • Biopharmaceutical company also lowered its 2016 product sales outlook to $29.5 billion to $30.5 billion, from its previous estimate for products sales of $30 billion to $31 billion.
  • For the latest quarter, Gilead reported Harvoni sales decreased 29% to $2.56 billion, while Sovaldi sales rose 5.2% to $1.36 billion.
  • Gilead reported a profit of $3.5 billion, down from $4.5 billion a year earlier.
  • Product sales decreased 5.8% to $7.65 billion.

Eli Lilly Revenue Helped by Sales of New Drugs

  • Revenue grew 8.6% to $5.4 billion, driven by an 8% rise in volume as realized prices and the impact of foreign exchange rates.
  • Gross margin fell 2.6 percentage points to 72.9%, mostly owing to a lower benefit from foreign exchange rates.

Reynolds American Sales Climb, Helped by Lorillard

  • Total cigarette volume rose 57% to 18.9 billion as the Newport brand offset a 2.8% decline in Camel and a 5.4% fall in Pall Mall volume.
  • The tobacco company continues to benefit from last year’s acquisition of rival Lorillard.
  • Revenue increased to $3.2 billion from $2.4 billion.

DuPont profit rises 8.5 percent as costs fall

  • Chemicals and seeds producer DuPont reported an 8.5 percent rise in quarterly profit, helped by lower costs.
  • Net income rose to $1.02 billion in the second quarter from $940 million a year earlier.
  • Net sales fell 0.8 percent to $7.06 billion.

Refiner Valero’s profit beats as crude costs stay low

  • Valero reported a bigger-than-expected quarterly profit as the U.S. refiner continued to benefit from low crude costs.
  • Net income fell to $814 million in the latest quarter, from $1.35 billion a year earlier.
  • Revenue fell 22% to $19.58 billion, but total costs and expenses fell by a fifth.

Sportswear maker Under Armour’s quarterly revenue jumps 28%

  • Under Armour’s quarterly revenue jumped nearly 28 percent as demand rose for its sports apparel and basketball shoes.
  • Net income fell to $6.3 million in the second quarter from $14.8 million, a year earlier.
  • Revenue surged to $1 billion from $783.6 million.

JetBlue reported second quarter operating revenues of $1.6 billion.

  • Revenue passenger miles for the second quarter increased 10.3% to 11.6 billion on a capacity increase of 11.1%.

Netflix, 20th Century Fox Television ink deal

  • Netflix will be the exclusive global streaming home for FX’s American Crime Story.

Ford Adds Android Auto to All 2017 Models With SYNC 3

  • Ford has now confirmed that all of its 2017 models supporting SYNC 3 will be ready for both Android Auto and Apple CarPlay.

Back to Top


US ECONOMY & POLITICS

U.S. Home-Price Increases Maintained Strong Pace in May

  • S&P/Case-Shiller Home Price Index rose 5%, matching April’s increase.

U.S. New-Home Sales Posted Solid Gain in First Half of 2016

  • New-home sales rose a 10.1% in the first six months of the year compared with the same period in 2015.
  • Purchases of new single-family homes rose 3.5% in June from a month earlier to a seasonally adjusted annual rate of 592,000.
  • Sales in June were up 25.4% compared with a year earlier.
  • 30-year fixed-rate mortgage was 3.57% in June, down from 3.98% in June 2015.

U.S. Consumer Confidence Virtually Unchanged for July

  • Conference Board indicator points to few concerns about Brexit uncertainty.
  • The Conference Board’s consumer-confidence index fell to 97.3 in July from a downwardly revised 97.4 in June.

Richmond Fed Manufacturing Index was Up

  • Index reported at 10 compared to prior revised -10.

Back to Top


EUROPE & WORLD

BP Suffers Third Straight Quarterly Loss

  • The British oil giant said it posted a $2.25 billion net loss in the second quarter of 2016.
  • The company said its total bill is now $61.6 billion for a disaster that killed 11 rig workers and spilled millions of barrels of oil into the Gulf.
  • Brent oil prices averaged $46 a barrel, compared with $62 a barrel in the same period a year earlier.

AB InBev Raises Offer for SABMiller

  • The new offer raises the total value of the deal to about £79 billion, or $103.81 billion, from its previous offer of about £71 billion.
  • The fresh offer comes after both companies spent months pursuing regulatory approval for the megamerger around the world.
  • They have agreed to sell big chunks of their business in the process, raising the stakes for both to reach a new deal.

OJ-AM999_ABINBE_16U_20160726095706

Daimler’s mytaxi to merge with Hailo to take on Uber

  • Daimler’s mytaxi said it will merge with British rival Hailo in an all-share deal, creating Europe’s largest smartphone-based taxi-hailing business.
  • Unlike U.S.-based ride hailing start-up Uber which established itself to compete against taxi companies, the new company will operate using taxi firms.

Japan’s Exports Fall for Ninth Straight Month in June

  • The Bank of Japan meets this week amid more weak economic data. While exports didn’t fall as much as expected, the 7.4 percent decline in June was the ninth straight contraction.-1x-1 (1)

Air traffic continues to post double-digit growth in India

  • Airlines carried 7.97 million domestic passengers last month, an increase of 20.8% from June 2015.

Back to Top


TODAY in HISTORY

original-13-states-11large

New York became the 11th state in the United States (1788)

Liberia1864_006

Liberia became Africa’s first republic (1847)

9087c76b-80ed-4d53-8275-d5f736252dda

The Office of the Chief Examiner, which in 1935 became the Federal Bureau of Investigation (FBI), was created (1908)

tumblr_loy1bniLjI1qjih96o1_1280

President Harry S Truman signed the National Security Act, creating the Department of Defense, the National Security Council, the Central Intelligence Agency, and the Joint Chiefs of Staff (1947) 

Back to Top


This information has been prepared from sources believed to be reliable, but no representation is being made as to its accuracy or completeness. The information provided should be used only as general information and is not intended to provide specific advice or recommendations for any individual. The economic forecasts set forth in the material may not develop as predicted. All indices, such as the S&P 500, are unmanaged and may not be invested into directly. Sources: Reuters, Bloomberg, Wall Street Journal.

Content posted by third parties on this site is screened in order to protect clients’ privacy and comply with regulatory requirements. Content containing sensitive personal information, inappropriate language, information about specific investments, misleading information, information about other companies or websites, or information related to litigation will be removed. Content posted by third parties on this site remains the responsibility of the party posting the content and is not adopted or endorsed by Pence Wealth Management or LPL Financial. Any opinions or statements posted by third parties are their own and may not be representative of the experience of others and are not indicative of future performance or success. Third party content on this site does not reflect the views of LPL Financial and have not been reviewed by LPL Financial as to accuracy or completeness.

, , , ,

Comments are closed.

All Financial Consultants at Pence Wealth Management are Registered Representatives with, and securities and Advisory services offered through LPL Financial, a Registered Investment Advisor, Member FINRA & SIPC. Financial Planning offered through Pence Wealth Management, a Registered Investment Advisor and separate entity from LPL Financial. The LPL Financial representative associated with this website may only discuss and/or transact securities business with residents of the following states: Alaska (AK), Alabama (AL), Arkansas (AR), Arizona (AZ), California (CA), Colorado (CO), Connecticut (CT), Delaware (DE), Florida (FL), Georgia (GA), Hawaii (HI), Idaho (ID), Illinois (IL), Kansas (KS), Kentucky (KY), Louisiana (LA), Massachusetts (MA), Michigan (MI), Minnesota (MN), Mississippi (MS), Missouri (MO), Montana (MT), Nebraska (NE), Nevada (NV),

New Hampshire (NH), New Jersey (NJ), New Mexico (NM), New York (NY), North Carolina (NC), North Dakota (ND), Ohio (OH), Oklahoma (OK), Oregon (OR), Pennsylvania (PA), Rhode Island (RI), South Carolina (SC), South Dakota (SD), Texas (TX), Utah (UT), Virginia (VA), Washington (WA), Wyoming (WY), Washington (DC)

Laila Marshall-Pence CA Insurance Lic# 0545421

BC_badge_black_small