British Prime Minister Boris Johnson listens to the Emir of Qatar Sheikh Tamim bin Hamad Al Thani (not pictured) at the start of their meeting at 10 Downing Street in London, Britain May 24, 2022.
Matt Dunham | Reuters
Here are the most important news items that investors need to start their trading day:
1. The End of Boris Johnson
Boris Johnson’s political crisis has reached its peak. he announced that he will leave soon As Prime Minister of Britain he resigned as head of the Conservative Party. Johnson’s tenure has been rocked by scandal after scandal, and dozens of officials in his government have resigned to protest his leadership. Pound rises against dollar And the UK’s FTSE 100 stock index jumped as news reports about Johnson’s fortunes. Johnson’s departure could also have major geopolitical implications. He has been a staunch supporter of Ukraine in the war against Russia and as a key participant in the US and other Western powers, he wants to examine Vladimir Putin’s influence on the world stage.
2. Momentum for stocks?
Traders work on the floor of the New York Stock Exchange.
NYSE
US stock futures pointed to a higher open Thursday morning after three straight days of gains from the S&P 500. Investors are eager for signs of stability after the worst first half for stocks in more than five decades, which plunged the S&P 500 into a bear market. , It’s still unclear if the stock will break out in a meaningful way anytime soon, however, as price increases continue to take a toll on consumers and the Federal Reserve plans to aggressively hike rates to beat inflation.
3. The Fed’s Thinking
During a news conference after the two-day meeting of the Federal Open, US Federal Reserve Board Chairman Jerome Powell told reporters after the Federal Reserve raised its target interest rate by three-quarters of a percent to stem a disruptive surge in inflation. Asked questions. Market Committee (FOMC) in Washington, June 15, 2022.
Elizabeth Frantz | Reuters
Minutes of the Fed’s June meeting, which was released on wednesdayrevealed that the central bank is prepared to use even more restrictive measures to contain rising inflation. He indicated that the July meeting would bring in another rate hike of up to 75 basis points, and acknowledged the economy could face a slowdown. The minutes stated, “Participants agreed that it is necessary to move towards a restrictive stance of the economic outlook, and they acknowledged the possibility that an even more restrictive stance may be appropriate if rising inflationary pressures continue.” could.” Meanwhile, Treasury yields, continued to grow,
4. Samsung Launches Chip Rally in Asia
People walk past the logo of Samsung Electronics in Seoul on July 7, 2022. South Korea’s Samsung Electronics Co Ltd on Thursday turned in its best April-June profit since 2018, driven by strong sales of memory chips to server customers, despite inflationary demand. -Hit smartphone maker cool.
Jang Yeon-jae | AFP | Getty Images
Samsung gave chip stock a much awaited respite on Thursday when it offered “better than fear” revenue guidance for the second quarter. Shares of the South Korean tech giant edged up, prompting a rally in Asian chipmakers. It’s been a tough year for the semiconductor space, as it struggles with rising prices for materials and supply chain problems, which Russian war in Ukraine,
5. Pops for Some Ryan Cohen Shares
A screen displays the logo and trading information for Gamestop on the floor of the New York Stock Exchange (NYSE) on March 29, 2022.
Brendan McDermid | Reuters
Two companies linked to activist investor Ryan Cohen announced remarkable developments on Wednesday evening. meme stock GameStopWhere Cohen is chairman, its board said Approved 4-for-1 stock splitPromote a video game retailer in off-hours trading. elsewhere, bed Bath and Beyond revealed that interim CEO Sue Gove recently bought 50,000 shares of the troubled home goods retailer, pushing the stock higher. Gove took over at Bed Bath last week during a major executive reshuffle. Earlier this year, Cohen, who was pushing for a shake-up alongside sales of the retailer’s BuyBuy Baby chain, struck a deal with the company to put three of his firm’s people on board.
— CNBC’s Sylvia Amaro, Elliot Smith, Sam Meredith, Jesse Pound, Sarah Minn, Jeff Cox and Arjun Kharpal contributed to this report.
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