GameStop chair Ryan Cohen reportedly placed another bet on Bed Beath & Beyond. Photo / 123RF
Keeping you up to date with the latest market moves, in association with Investment firm Jarden
International
US
All major US indices were mixed at the time of writing. The S&P 500 was up 0.2 per cent, the Nasdaq dropped 0.2 per cent and the Dow Jones Industrial Average rose 0.8 per cent.
All 11 sectors were in the green apart from energy (-0.5 per cent).
Consumer discretionary climbed 2.1 per cent, consumer staples was up 1.6 per cent and materials rose 1.0 per cent.
Video game company Take-Two Interactive was the top performer, rising 7.6 per cent.
Retailers Bath & Body Works and Walmart rose 6.4 and 6.2 per cent, respectively. This is after both Walmart and retailer Home Depot (+4.1 per cent) reported better than expected earnings for the most recent quarter with Home Depot increasing revenue 6.5 per cent year-over-year to US$43.8 billion.
Biotechnology Moderna was the biggest underperformer, dropping 3.9 per cent.
SolarEdge Technologies, a photovoltaic solutions provider, lost 3.0 per cent and satellite television company Dish Network declined 2.8 per cent.
In other news, Bed Bath & Beyond surged 66.4 per cent. Reportedly, traders active on social media invested into the company, fueled by news that GameStop chair Ryan Cohen placed another bet on the retailer.
Home and auto lender Ally Financial rose 3.7 per cent after a regulatory filing showed Warren Buffett's Berkshire Hathaway more than tripled its position during the company's last quarter.
Rest of the World
Asian markets were mixed overnight. The Shanghai Composite inclined 0.1 per cent, Nikkei traded flat, and the Hang Seng fell 1.1 per cent.
China's central bank unexpectedly cut the interest rate on one year medium-term lending facility loans by ten basis points to 2.75 per cent, from 2.85 per cent. In addition to the second rate cut this year, the central bank withdrew some cash from the banking system on Monday.
European markets were in the green. The FTSE rose 0.4 per cent, the DAX was up 0.7 per cent and the CAC gained 0.3 per cent.
Commodities
Gold traded 0.4 per cent lower to US$1,790.80 per ounce, while silver dipped 0.9 per cent to US$20.09 per ounce.
Oil slumped again, down 4.1 per cent to US$85.77 per barrel.
The cryptocurrency market was in the red, with Bitcoin declining 0.3 per cent and Ethereum down 0.2 per cent.
The US 10-Year Treasury rate rose three basis points to 2.822 per cent alongside a one basis point gain in the 30-year rate, to 3.105 per cent.
New Zealand
The NZX 50 continued its positive start to the week, trading 0.5 per cent higher yesterday.
Investors could be biding their time before today's interest rate decision, whilst waiting for the earnings season to get properly underway. Turnover on the main board was just $87.9 million – slightly higher than Monday's trading session.
Leading the share price increases was Sky Network Television, up 4.0 per cent. Medical supplier Ebos Group rose 3.0 per cent.
The company is expected to report its full-year financial results next week. Rounding out the best movers was film industry company Vista Group, which rose 2.6 per cent yesterday.
Conversely, cancer diagnostics company Pacific Edge led the underperformers, down 6.0 per cent. Fleet management company Eroad fell 3.7 per cent.
Despite power company Mercury's full-year profit, which more than tripled, its share price fell 3.2 per cent yesterday. Mercury's net profit leapt to $469 million in the year to June 30, from $141 million in the previous year.
The profit included a $367 million gain on the sale of its Tilt holding. The chief executive, Vince Hawksworth, stated the company has "become New Zealand's largest wind generator and electricity retailer". Mercury increased its three-year target for underlying operating profit to $800 million from $700 million.
Rural services group PGG Wrightson also announced its results for the financial year ended June 30.
The company reported a 7.0 per cent increase in net profit after tax, to $24.3 million.
Australia
The ASX 200 continued its upward trend, advancing 0.6 per cent to 7,105.4 points, reaching a new 20-day high.
Nine of the 11 sectors finished in the green, led by materials, up 1.7 per cent. Consumer staples and health care also performed well, both increasing 1.0 per cent. Australian real estate investment trusts was the largest laggard of the sectors, declining 1.2 per cent.
Followed closely by energy, down 1.0 per cent.
Location-based services company Life360 was the index's top performer, improving 5.5 per cent yesterday.
This follows the release of the company's quarter two and 2022 half year results. There were 42 million average monthly users of the application for the quarter, 29.0 per cent higher than the corresponding period in 2021.
Total revenue was US$48.8 million for the quarter, compared to the US$25 million in the previous year.
Wagering services operator Pointsbet Holdings also performed well, lifting 5.4 per cent. The company will release its 2022 full year results on 31 August.
Rounding out the top movers was entertainment, hospitality, and leisure business Event Hospitality & Entertainment, rising 5.1 per cent. The 2022 full year result will be announced on 22 August.
Financial services company Challenger was the biggest underperformer, regressing 10.1 per cent yesterday, the stocks worst single day performance since April 2021. This followed the release of weak results which saw statutory profit reduce nearly 60.0 per cent.
Financial technology company Zip continued its negative performance, declining 7.1 per cent, down 75.9 per cent year to date. The company will release its 2022 full year results on 23 August.
Closing out the bottom movers was human resource consulting company Seek, decreasing 5.1 per cent. The company released its full year results yesterday, seeing total profit attributable down 78.0 per cent.
The Reserve Bank of Australia's monetary policy meeting yesterday highlighted that household spending will provide uncertainty for the economy's outlook.
Rising interest rates will buoy the cost of debt while consumer prices increase in line with inflation.
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The Jarden Brief is provided for general information purposes only. It reflects views and research available at the time of publication, using external sources, systems and other data and information we believe to be accurate, complete and reliable at the time of preparation. We make no representation or warranty as to the accuracy, correctness and completeness of that information, and will not be liable or responsible for any error or omission. The Jarden Brief is not to be relied upon as a basis for making any investment decision. Please seek specific investment advice before making any investment decision. Jarden Securities Limited is an NZX Firm. A financial advice disclosure statement is available free of charge at https://www.jarden.co.nz/our-services/wealth-management/financial-advice-provider-disclosure-statement/.
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