Month: February 2020

Top news and what to watch in the markets on Tuesday, February 18, 2020. …read more […]

(Bloomberg) — The Federal Reserve has doled out tens of billions to calm the short-term lending markets after they went haywire in September.But initiatives by the U.S. Treasury Department — to ensure it always has enough cash to pay its bills as the deficit soars to a trillion dollars — could make it harder for the Fed to prevent a repeat.As the department copes with higher spending, large swings in the amount of money it has on deposit with the central bank have already undercut the Fed’s ability to keep bank reserves stable. Last year, one particularly big shift helped …read more […]

Oil fell to below $57 a barrel on Tuesday, pressured by concerns over the impact of the coronavirus outbreak in China on oil demand and a lack of any further action by OPEC and its allies to support the market. Forecasters including the International Energy Agency have cut 2020 oil demand estimates because of the virus. Global experts say it is too early to judge if the outbreak is being contained, despite a fall in new cases in mainland China. …read more […]

(Bloomberg) — Tesla Inc.’s potential to become a key battery supplier for electric vehicles has prompted a bearish analyst on the carmaker to nearly double his bull case for the shares.Morgan Stanley’s Adam Jonas increased his most optimistic projection for Tesla to $1,200 a share from $650. That’s about 50% above the U.S. company’s $800.03 closing price Friday and would give Tesla a market capitalization of $220 billion. Jonas raised his base case target to $500 a share from $360 but reiterated his underweight recommendation.The new bull scenario is based on an “aggressive assumption” that Tesla could win 30% of …read more […]

SAN FRANCISCO/SHANGHAI (Reuters) – Apple Inc’s surprise warning that it will likely fall short of this quarter’s sales target due to the coronavirus epidemic points to much pain for its chip and other suppliers as well as for rivals who also rely on China to build their products. The outbreak, which has infected more than 72,000 and prevented many employees from returning to work due to travel and quarantine restrictions, was reverberating throughout the U.S. firm’s supply chain, a source familiar with Apple’s operations in China said. Stacy Rasgon, a Bernstein analyst, said Apple’s woes probably also …read more […]

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(Bloomberg) — Apple Inc.’s shares fell 4.1% in pre-market trading after the company said the fallout from the coronavirus will cause it to miss its sales targets this quarter, sending shockwaves across tech stocks globally.Shares of Apple’s European suppliers fell in early trading, echoing an earlier decline in their Asian counterparts. Europe’s benchmark Stoxx Tech Index fell as much as 1.6% on Tuesday, with Dialog Semiconductor Plc down 6%, AMS AG dropping 5.1% and STMicroelectronics NV falling 4.8%. Equipment makers like ASML Holding NV were also affected by the broader selloff. The shares fell as much as 2.9% in Amsterdam.Mirabaud’s …read more […]

(Bloomberg) — Apple slumped along with European stocks and U.S. futures after the company said the virus would hurt results. Japan said it expects to remove all passengers from the quarantined cruise ship by Friday and Singapore set aside millions to counter the outbreak.China reported the lowest number of new cases since announcing a change in its method of detection last week. A top expert in China said the outbreak could peak in parts of the country this month, but the World Health Organization has said it’s too early to say if infections are truly declining.So far, 73,332 people have …read more […]