August 1, 2018 - The Bell is about to Ring

August 1, 2018 - The Bell is about to Ring

1)    Apple… surpasses expectations closer to the $1 trillion mark

And with the earnings results which were out last evening, Apple’s the closest among its competitors to reach the trillion $ mark, and why shouldn’t it, the tech company posted a $11.5 billion profit for the last quarter, up 32% from the same period a year ago.

Apple (NASDAQ: AAPL) shares rose 3.7% in pre-market trade to $197.34, a record high, putting its market capitalization at $954 billion.

Subsequently that also brings a lot hope to the technology sector which recently saw some ambush from the likes of Facebook, Twitter when they posted their earnings, with their stocks also turning down.

Apple also forecast revenue above expectations for the fall season which is when it releases its new models of iPhone, which can add to a good trading session today on market open for its investors.

And as we are talking about Apple, here’s to Huawei which is reports were to be believed said that they have surpassed Apple to become the number 2 sales grosser of smartphone, but on the revenue front… no comments.  

2)    Fear of US – China trade war escalation remains

While we had seen some news doing rounds that both regions wish to have a positive dialogue along the long on-going trade war, a recent address from the President has again put our hopes to rest, wish not for long though.

An uncertainty atmosphere was raised in the market after the Trumps administration proposed to increase tariffs to a 25% from the initially planned 10% on the $200 billion worth of Chinese goods that are imported into the United States of America.

This could escalate the trade dispute between the 2 nations further if the above changes are induced, investors feel alike that this can be a reason for gloomy atmosphere in markets and could really hit global growth.

3)    Key Interest Rate Decisions  

The Fed chair is supposed to draft and disclose their statement and decision around the interest rates status today at 2pm.

Though it seems that they shall keep the interest rates unchanged this time around however with the rising inflation and most of all major economic growth parameters showing a positive, two more interest rates hikes are a possibility in the near future.

The Reserve Bank of India (RBI) on Wednesday increased repo rate by 25 basis points to 6.50 percent. The Monetary Policy Committee (MPC), while retaining its 'neutral' stance, said inflation remained a major concern. This is RBI's second consecutive interest rate hike.

4)    TESLA Earnings After Market today

Another busy day for Earnings with Tesla entering the earnings race today scheduled to release its earnings today post market hours.

Whereas the Wall Street analysts are not very positive about the outlook on the company in the past quarter as they have suggested a loss per share of $2.78 and revenue forecast of $4.03 billion. This shows that the analysts have been squarely focused on the Model 3 sales, as well as the recent cash crunch and sustaining and meeting the capital requirements in future.

Some reports suggest that it is looking forward to investing $5 Billion to build a factory in China, also a move to meet the needs to the world’s fastest growing auto market and also to avoid the ongoing fearsome trade war between US & China.

Some other key earnings to look forward shall be that of Sprint (NYSE:S), Chesapeake Energy (NYSE:CHK), Sodastream (NASDAQ:SODA), Molson Coors (NYSE:TAP), and AMC Entertainment (NYSE:AMC), Square (NYSE:SQ), Wynn Resorts (NASDAQ:WYNN), US Steel X, T-Mobile (NASDAQ:TMUS), Marathon Oil (NYSE:MRO) and FireEye (NASDAQ:FEYE).

5)    MARKETS AS OF NOW

DOW Futures	Nasdaq Futures	S&P Futures
25391.00	7272.75	2820.00
-4.00 / -0.02%	+26.75 / +0.37%	+3.00 / +0.11%

China	UK – FTSE100	GERMANY - DAX
2824.53	7606.00	12741.00
-51.87 / -1.80%	-97.00 / -1.26%	-70.00 / -0.56%

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.