Latest Financial News and Market Updates: Fed Meeting, Target Earnings, Intel Tower Semiconductor, Tesla Prices, JD.com Revenue

2023-08-16 14:10:18

Posted at 09:01, updated at 09:23

(Illustration: Camille Charbonneau)

NEWS ESSENTIALS

• The minutes of the Fed meeting could signal the end of interest rate hikes. Minutes from last month’s U.S. Federal Reserve meeting may signal an end to interest rate hikes on Wednesday, and whether potential risks to the economy from aggressive monetary tightening have gained more weight in policy debates. policy makers.

• Target stock climbs after rising quarterly earnings, despite downgraded forecasts. Target lowered its full-year sales and profit forecasts, although its quarterly profit beat Wall Street expectations, driven by reduced discounts and better-stocked shelves.

• Intel drops plans to buy Tower Semiconductor for $5.4 billion. Intel on Wednesday announced the abandonment by mutual agreement of its plan to buy Israeli chipmaker Tower Semiconductor for $5.4 billion. The companies said they did not obtain the necessary regulatory approvals in a timely manner, without giving further details.

• Tesla slashes Model S and X prices by more than 6% in China. Tesla cut the prices of its existing inventory of high-end Model S and Model X cars in China by 6.9%, the company said.

• JD.com beats revenue estimates amid economic slowdown. Chinese e-commerce company JD.com beat Wall Street estimates for second-quarter revenue, buoyed by its low-cost products that are attracting customers amid a slowing economy.

TRENDS BEFORE OPENING

Stock futures in Toronto edged lower on lower oil prices as investors await national indicators. U.S. stock index futures edged higher ahead of the release of the Federal Reserve’s July meeting minutes, which could give more insight into the path of interest rates. European equities also rose after the publication of positive results by insurance companies. In Asia, the Japanese Nikkei ended at its lowest level in more than two months and Chinese equities fell as risk appetite was dampened by China’s economic outlook. The weakening of the US dollar pushed gold higher.