Tuesday’s market close was largely flat following the unexpectedly strong retail sales figures and the accelerating earnings season.
S&P 500 (^GSPC) and the Dow Jones Industrial Average (^DJI) remained close to the flatline, although contracts on the tech-heavy Nasdaq 100 (^NDX) ended the day lower by 0.25%.
At 4.85%, the 10-year Treasury yield is at its highest since July 27 after rising by more than 13 basis points. On October 6, the 10-year yield reached a 16-year high of 4.89%.
Retail sales grew 0.7% in September from the previous month, more than doubling Wall Street’s projections for 0.3% growth, the latest statistics out Tuesday indicated. The unexpected reading shows that American consumers are still resilient in the face of slowdown forecasts.
Even though earnings season is still early, there are already positive indications that the recent earnings recession may be coming to an end for corporate America. The tech sector’s results on Wednesday are led by Tesla (TSLA) and Netflix (NFLX), which provide additional context for the impact of rising borrowing costs.
as the US intensified its diplomatic efforts and as hopes grew that the US will ease sanctions on producer Venezuela. Crude oil (CL=F) settled above $86 a barrel, while Brent crude (BZ=F) settled at just under $90 a barrel.
Stocks closed mostly flat on Tuesday following hot retail sales data. S&P 500 (^GSPC) and the Dow Jones Industrial Average (^DJI) remained close to the flatline, although contracts on the tech-heavy Nasdaq 100 (^NDX) ended the day lower by 0.25%.
The 10-year Treasury yield soared more than 13 basis points to trade around 4.85%, the most since July. On October 6, the 10-year yield reached a 16-year high of 4.89%.
Predictions for the size of prescription weight loss drugs keep growing.
New research from Goldman Sachs projects 15 million adults in the US will be on anti-obesity medications by 2030, representing 13% penetration in the US adult population—not including diabetic patients.
Globally, Goldman Sachs sees sales for chronic weight management reaching $100 billion by 2030, up from a $6 billion annualized estimate earlier this year.
“The chronic weight management market is undergoing an inflection, in our view, with potential for solid growth ahead and a peak opportunity that, by our estimates, could ultimately yield some of the highest grossing drugs of all time,” a team of Goldman Sachs analysts led by Chris Shibutani wrote in a research note on Monday.
Tuesday’s market close was largely flat due to strong retail sales data. S&P 500 (^GSPC) and the Dow Jones Industrial Average (^DJI) remained close to the flatline, although contracts on the tech-heavy Nasdaq 100 (^NDX) ended the day lower by 0.25%.
The yield on the 10-year Treasury note surged by over 13 basis points, reaching a level of 4.85%, the highest since July. On October 6, the 10-year yield reached a 16-year high of 4.89%.
Predictions for the size of prescription weight loss drugs keep growing.
New research from Goldman Sachs projects 15 million adults in the US will be on anti-obesity medications by 2030, representing 13% penetration in the US adult population—not including diabetic patients.
Globally, Goldman Sachs sees sales for chronic weight management reaching $100 billion by 2030, up from a $6 billion annualized estimate earlier this year.
A group of Goldman Sachs analysts led by Chris Shibutani wrote in a research note on Monday, “We believe the chronic weight management market is undergoing an inflection and has potential for solid growth ahead and a peak opportunity that, by our estimates, could ultimately yield some of the highest grossing drugs of all time.”
The company had also reported lower-than-expected ARM, or average revenue per membership; it forecasted that ARM will be flat to slightly down in Q3 compared to the same period in 2022. This is in spite of an anticipated 6 million increase in new users during the third quarter as a result of the password cracking.
Following an initial recovery of earlier losses by the major indices, stocks are now trading negative again.
The Dow Jones Industrial Average (^DJI) dropped 0.2%, or more than 75 points, in late afternoon trade. Contracts on the tech-heavy Nasdaq 100 (^NDX) were down almost 0.4%, while the benchmark S&P 500 (^GSPC) fell by nearly 0.3%.
Treasury yields, however, continued to soar. The benchmark 10-year Treasury’s yield (^TNX) increased by roughly 14 basis points to trade at 4.86%. The 10-year yield hit a 16-year high of 4.89% on Oct. 6.
The limitations on American corporations selling chips to China are being tightened by the Biden administration.
As the wider IT sector lags the market generally, chip stocks including Nvidia (NVDA), Advanced Micro Devices (AMD), and VMware (VMW) all declined on the announcement, falling about 6%, 3%, and 8%, respectively.
The newest attempt by US authorities to restrict China’s access to AI chips is the crackdown, which is certain to worsen relations between the two nations as their technological rivalry heats up.
The objective, according to US Commerce Secretary Gina Raimondo, is to prevent China from obtaining “advanced semiconductors that could fuel breakthroughs in artificial intelligence and sophisticated computers that are critical to (Chinese) military applications.”
The second-largest US bank, Bank of America, had a 10% increase in third-quarter earnings compared to the same period last year because to increased interest income and solid Wall Street performance.
It revealed $25.2 billion in revenue and $7.8 billion in profits, a 3% increase over the previous year. The difference between the amount it receives from loans and the amount it pays for deposits is known as net interest income, and it increased by 4% annually.
Revenues from trade and investment banking increased as well, suggesting that a decline in dealmaking is beginning to thaw.
In the meantime, Goldman Sachs’ third-quarter earnings decreased as the Wall Street behemoth continued its expensive withdrawal from consumer banking and attempted to recover from a