- The dollar gains slightly in the first part of the day
- US bond yields also gain
- Indexes on Wall Street open slightly higher
The indices on Wall Street open slightly higher again on Thursday. However, the US500 and US100 remain in consolidation at key levels. Capital continues to favor smaller companies, with the US2000 index gaining 0.55% to 2280 points. In contrast, the US500 gains 0.27% to 5670 points and the US100 gains 0.33% to 20100 points. Although the dollar gains slightly at the start of the session today, overall it remains in a strong downtrend initiated by the US CPI report.
US2000
The smaller-cap index has been posting impressive gains in recent days. After yesterday's consolidation, today investors are starting the day in an optimistic mood. The momentum has slowed down below the key resistance zone around the 2300 point level. After such significant increases, a correction is not excluded. In that case, the 2200 point level is worth keeping an eye on. However, if the bulls manage to break through the resistance level at 2300 then the next potential range would be around 2400 points.
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile app
Source: xStation 5
Company news
Taiwan Semiconductor (TSM.US) gains 1.10% after a strong Q2 earnings report. Investors reaction to the publication shows that strong results were mostly expected. Revenue surged by 40% year-over-year to NT$673.51 billion, with net income increasing by 36%. The company also projected Q3 revenue between $22.4 billion and $23.2 billion, surpassing analyst expectations and marking a significant year-over-year increase.
Warner Bros. Discovery (WBD.US) gains as much as 4.60% amid speculation about strategic options, including asset sales or a spinoff of its streaming service and movie studios. This potential separation could isolate the high-growth streaming business from the debt-laden legacy TV networks.
Nokia (NOK.US) dips 5.45% after an 18% decline in Q2 sales and a 32% fall in operating profit due to weak demand for its 5G equipment. CEO Pekka Lundmark highlighted the significant impact of a challenging comparison period, as the prior year saw a peak in India's 5G deployment, which accounted for most of the decline.
Beyond Meat (BYND.US) plunged by almost 10.00% after the plant-based meat company published an announcement about ongoing discussions with bondholders about balance-sheet restructuring. With significant cash burns and dwindling liquidity, Beyond Meat is exploring options with a group holding over $1 billion of its convertible notes. The company's cash reserves have dropped from $258.6 million to $157.9 million, with long-term debt at $1.139 billion, raising investor concerns.
Domino's Pizza (DPZ.US) also saw nearly 10.00% decline after mixed Q2 results. Domino's lowered its international store growth target for 2024 due to franchisee challenges and paused its long-term plan of opening over 1,100 new stores globally each year.
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.