To begin their trading day, investors should be aware of the following key news items:
1. Stock Market Gains
Stocks continued to rise on Monday ahead of the Federal Reserve meeting and major corporate earnings releases. The S&P 500 increased by 0.32%, while the Nasdaq Composite and Dow Jones Industrial Average rose by 0.35% and 0.38% respectively. Tesla shares surged by 15% after reaching a milestone for releasing its advanced driver-assistance technology in China.
2. McDonald’s Performance
McDonald’s reported mixed results on Tuesday, with a slight revenue beat but earnings per share falling short of estimates. The company noted a decrease in spending by low-income U.S. customers.
3. Leadership Changes at Paramount Global
Paramount Global announced a shake-up in its C-suite, with CEO Bob Bakish being replaced by an “Office of the CEO” led by three executives. This new leadership team includes CBS President and CEO George Cheeks, Chris McCarthy, president and CEO of Showtime/MTV Entertainment Studios and Paramount Media Networks, and Brian Robbins, the head of Paramount Pictures and Nickelodeon.
4. Decline in Luxury Demand
Volkswagen reported a 20% decrease in operating profit for the first quarter due to weaker demand for its premium brands. Porsche, a luxury brand under Volkswagen, saw a significant 30% drop in operating profit compared to the previous year. Global automaker Stellantis also reported a 12% decline in revenue.
5. Walmart’s New Grocery Brand
Walmart announced the launch of a new grocery brand, BetterGoods, offering trend- and chef-driven foods at affordable prices, with most items costing under $5. Walmart’s reputation for low prices has benefited its food business, especially as shoppers navigate high inflation.
Source (CNBC)
