Business and Finance News - 8.1.24

Private payrolls increased by 122,000 in July, the slowest growth since January, and below the revised 155,000 in June and the expected 150,000. Wages for those remaining in their jobs rose 4.8% year-over-year, the smallest increase since July 2021, according to ADP. (CNBC)

*ADP National Employment Report - The ADP National Employment Report is a monthly report that measures the level of nonfarm private employment in the United States. It provides a snapshot of the labor market by analyzing payroll data from over half a million U.S. companies, offering insights into employment trends and helping gauge the overall economic health.

Nvidia (NVDA) stock surged over 10% on Wednesday, driven by a positive outlook from AMD and a bullish call from Morgan Stanley analysts after a recent decline. AMD's strong quarterly results and better-than-expected guidance alleviated concerns about the AI trade, while increased spending on data center infrastructure by Microsoft also boosted AI chip suppliers like Nvidia and AMD. (Yahoo! Finance)

*AMD (AMD) - AMD (Advanced Micro Devices) is a semiconductor company, primarily known for its development and manufacturing of computer processors and related technologies.

*Nvidia (NVDA) - Nvidia Corporation is a leading technology company specializing in designing and manufacturing graphics processing units (GPUs) and related technologies for gaming, professional visualization, data centers, and automotive markets.

Federal Reserve officials held short-term interest rates steady, noting inflation is nearing the 2% target but indicating more progress is needed before considering rate cuts. The Federal Open Market Committee acknowledged a better balance of risks to their employment and inflation goals but maintained that rate reductions are not imminent. (CNBC)

*Federal Open Market Committee (FOMC) - The Federal Open Market Committee (FOMC) is the branch of the Federal Reserve System responsible for overseeing the nation's open market operations, which involve buying and selling government securities. Its primary role is to manage the supply of money and interest rates to achieve macroeconomic goals such as maximum employment, stable prices, and moderate long-term interest rates.

Microsoft's AI-powered Azure cloud business grew 29% last quarter, down from 31% in the previous period, missing analyst expectations. The company's Intelligent Cloud segment earned $28.5 billion, up 19%, but investor disappointment caused a 7.8% drop in Microsoft's share price, affecting other tech stocks like Alphabet, Meta, and Apple. (Axios)

*Microsoft (MSFT) - Microsoft Corporation is a global technology company that develops, manufactures, licenses, supports, and sells a wide range of software products, hardware devices, and related services.

Starbucks’ quarterly revenue fell short of Wall Street estimates despite meeting earnings expectations, with same-store sales in China dropping 14%. The company reiterated its previously slashed outlook, anticipating continued sales challenges amid a "challenging consumer environment." (CNBC)

*Starbucks (SBUX) - Starbucks is a global coffee company and coffeehouse chain that provides a variety of beverages, including coffee, tea, and specialty drinks, along with a selection of food items.

Here’s how the major indexes did yesterday:

• Dow Jones Industrial Average: 40,842.79 +99.46 (+0.24%)

• S&P 500: 5,522.30 +85.86 (+1.58%)

• Nasdaq Composite: 17,599.40 +451.98 (+2.64%)

• Russell 2000: 2,254.48 +11.34 (+0.51%)

• CBOE Volatility Index (VIX): 16.36 -1.33 (-7.52%)

Here’s how leading market ETFs did yesterday:

• SPDR S&P 500 ETF Trust (SPY): 550.81 +8.81 (+1.63%)

• iShares Core S&P 500 ETF (IVV): 553.32 +8.50 (+1.56%)

• Invesco QQQ Trust (QQQ): 471.07 +13.54 (+2.96%)

• Vanguard S&P 500 ETF (VOO): 505.93 +7.85 (+1.58%)

• Vanguard Total Stock Market ETF (VTI): 272.57 +3.98 (+1.48%)

Here’s how The Magnificent Seven did yesterday:

• Microsoft (MSFT) [3.109T]: 418.35 -4.57 (-1.08%)

• Apple (AAPL) [3.405T]: 222.08 +3.28 (+1.50%)

• Nvidia (NVDA) [2.883T]: 117.02 +13.29 (+12.81%)

• Alphabet (GOOG) [2.131T]: 173.15 +1.29 (+0.75%)

• Amazon (AMZN) [1.946T]: 186.98 +5.27 (+2.90%)

• Meta Platforms (META) [1.204T]: 474.83 +11.64 (+2.51%)

• Tesla (TSLA) [740B]: 232.07 +9.45 (+4.24%)

Here’s how the major cryptocurrencies did yesterday:

• Bitcoin (BTC): $64,745.79 (5:40PM PST on 7/31/24)

• Ethereum (ETH): $3,235.09 (5:40PM PST on 7/31/24)

• Solano (SOL): $171.82 (5:40PM PST on 7/31/24)