July, 26 - The Bell is about to Ring!!!

July 26, 2018 - The Bell is about to Ring

1)    Facebook – Surprising downturn

Seems like the Cambridge Analytica Report have been one of the few factors that hit Facebook in the quarter that went by. It is clear cause the company has released earnings report below the expectations of the key analysts.

With its EPS being above the expectation though, the bother that took the investors to take away almost $120 Billion of the company’s market capital elsewhere; is the fact that the company took a hit at $13.23 billion vs. $13.36 billion per a consensus estimate.

Comments of the key company positions suggest that the growth may further decline as the company intends to offer its users more privacy options than before.

Well then, with its “privacy first” mantra what happens to the stock at the markets today will be a thing to look forward to.

2)    A little breather from Trade Wars... Thanks to The US – EU

Just for recap, that President Trump had threatened to levy a 25% tariff on cars made on Europe among other things on the Trade tariffs front. Isn’t that a sad thing for Americans, to pay more than they do now for the world-famous European cars.

That obviously brings the 2 countries to meet yesterday to discuss these concerns in depth, and the outcome of which for now look positive. As the steel & aluminum tariffs continue to be President Donald Trump and European Commission President Jean-Claude Juncker said they would work toward eliminating tariffs and barriers on trade.

With that news at hand shares of BMW & Volkswagen showed a gain of 3 & 4% respectively. Latest update says that; U.S. trade negotiations with the European Union formed the basis of a "real agreement" between the two parties that will reduce tensions, Treasury Secretary said Thursday.

While a breather does come from the EU & US side, not all’s good with the Chinese counter parts.

We say so because the Chinese Ministry of Commerce kept the clock ticking, on the final clearance that they were to give on the much-awaited takeover of the Dutch chip maker NXP by Qualcomm. Qualcomm who had been waiting nearly two years for this purchase to come through, keeps waiting and that becomes a latest casualty of the escalating trade war situations between US - China.

3)    Chinese company to enter NASDAQ, who is talking about trade wars then???

It's an online shopping platform where people can get goods for cheaper when they form groups of friends to buy similar stuff. Not only that but flash sales, free gifts, coupons etcetera can only make one think of this newbie to match the likes of eBay, Groupon.

Pinduoduo, A three-year-old Chinese startup will make its Nasdaq today and is set to raise around $1.5 billion in its initial public offering.

4)    ECB refrains from making any changes to rates, once more

A good sign for the economy, The ECB's has decided to keep the interest rate on its main refinancing operations, its marginal lending facility and the deposit facility unchanged at zero, 0.25 and -0.40 percent, respectively.

While we eagerly wait to hear from the President of ECB, Mario Draghi during the scheduled press conference at 1:30pm London time.

During the last meeting in June, the central bank had spoken of its massive bond buying program in December and had hinted that the rates may remain unchanged until the summer of next year. European policymakers repeated Thursday that this is their baseline scenario, which will only be subject to potential changes depending on upcoming data.

We would say The ECB might get around to raising rates in 2019 only if this global cycle keeps getter better from the current gloomy surroundings.

5)    EARNINGS CALENDER

Major Earning’s – Released Already

Comcast (CMCSA) – EPS of $0.65 beats by $0.05 & misses on Revenue by $120M at $21.74B

Valero Energy (VLO) – EPS of $2.15 beats by $0.17 & beats Revenue by $4.4B at $34.74B

Mastercard (MA) – EPS of $1.66 beats by $0.13 & beats revenue by $20M at $3.67B

McDonalds (MA) – EPS of $1.99 beats by $0.07 & beats revenue by $30M at $5.35B

Major Earnings - Yet to be Released (Forecasts)

Amazon – EPS $2.47 & Revenue of $53.37B forecasted

Amgen – EPS $3.54 & Revenue of 5.72B forecasted

Intel – EPS $0.97 & Revenue of $16.78B forecasted

6)    Markets as of NOW:

DOW Futures	Nasdaq Futures	S&P Futures
24454	7407.25	2835.50
+51.00 / +0.20%	-62.50 / -0.83%	-5.57 / -0.21%

China	UK – FTSE100	GERMANY - DAX
2882.94	7648.75	12759.00
-20.71 / -0.71%	+9.01 / -0.12%	+179.60 / +1.42%

Disclaimer

This Interim Financial Results & News posts or updates includes forecasts, projections and other predictive statements that represent Vtrade's assumptions and expectations in light of currently available information. These forecasts, etc., are based on industry trends, circumstances involving companies and other factors, and they involve risks, variables and uncertainties. The Group’s actual performance results may differ from those projected in these Interim Financial Results. Consequently, no guarantee is presented or implied as to the accuracy of specific forecasts, projections or predictive statements contained herein.