Today’s highlights
- New records on Wall Street
- Peloton recalls treadmills
- UK100 jumps on copper spike
A new all-time high for the DJ30
Yesterday was a mixed bag for US stocks, as a surge in energy stocks was balanced out by lower real estate and utility names. The DJ30 finished 0.3% higher, reaching a new all-time high, while the NASDAQ100 registered declines. The SPX500 eked out a 0.1% gain, led by hotel and casino firm Caesars Entertainment, which added 7.8%. Caesars’ share price jumped after it revealed on an earnings call that weekends at its properties in Las Vegas are currently sold out for the foreseeable future. Stocks tied to work-from-home fell back yesterday, including digital contracts firm DocuSign and Zoom Video Communications.
Peloton stock craters as it recalls all treadmills
Exercise equipment and media firm Peloton Interactive ’s share price fell by almost 15% yesterday after it recalled all 125,000 of the treadmills it has sold following dozens of injuries and the death of a child linked to the machines. Until yesterday, Peloton had been fighting the Consumer Product Safety Commission on a requested recall of the treadmills, which range in price from $2,495 to over $4,000. Along with many stay-at-home stocks, it has faced a rockier 2021 as investors weigh up its growth prospects as gyms reopen. Year-to-date, Peloton’s share price has almost halved, although it is still more than triple what it was back in January 2020.
UK100 surges ahead of BOE report
Mining stocks led the UK100 to a 1.7% gain yesterday, with Anglo American, BHP Group, Rio Tinto, and Glencore all up by more than 4%. Housebuilder Taylor Wimpey, plus banks Barclays and NatWest Group, also helped the index higher. The jump in mining names came after the price of copper hit a 10-year high in anticipation of increased demand as economies around the world continue to recover from Covid-19. It has been a bumper year for miners so far, with Anglo American up by 35% and Glencore 33% higher. UK markets today may be affected by the Bank of England’s quarterly Monetary Policy Report, which will be released at 11:00 GMT.
Other highlights
Cryptos in the green: The crypto market was higher over the past 24 hours, as nearly all top 10 cryptos registered gains. Leading the pack was Bitcoin Cash, which surged more than 24% since yesterday. XRP and Cardano also registered double-digit gains. Bitcoin climbed about 4%, rising above $57,000 at time of writing.
Oil show correction: After yesterday briefly reaching a 2-month high, oil prices retracted, eventually closing lower for the session. This morning, however, the black gold showed signs of recovery.
Asian markets mixed: Both the JPN225 and HKG50 were in the green this morning, while the China50 was seen lower.
Moderna to report earnings: Pharmaceutical firm Moderna, which has been thrust into the spotlight during the pandemic, delivers earnings today. Moderna’s report comes just a day after news that President Biden may waive patent protections for Covid-19 vaccines, which resulted in the firm’s share price dropping 6.2%. For the most recent and significant price movements in markets, check out the Market Movers page.
Europe opens mixed: The UK100 opened 4 points higher, the GER30 was 15 points lower and the FRA40 opened nearly flat.
