Summary
Due to the S&P 500's recent 2% decline, following a streak of 23 out of 30 weeks of gains, some investors fear it may signal an impending recession, drawing comparisons to the 1929 Depression. Dell's unexpected resurgence in the tech sector, fueled by advancements in AI technology, has propelled the company ahead of Nvidia and earned it anticipation for inclusion in the S&P 500. The standout performer in the market has been Abercrombie and Fitch, boasting its best quarterly sales ever with a 22% increase and $1.02 billion in revenue. Exxon Mobil saw 95% of shareholders vote to reelect all 12 directors, dealing a blow to climate activists. The company persists in lawsuits against activist investor groups despite the withdrawal of their proposals. In other fossil fuel news, crude oil prices have surged nearly 10%, while ConocoPhillips is set to acquire Marathon for $17 billion, underscoring the industry's growth despite ongoing emissions concerns.
For those who read...
In stock market news:
- The S&P 500 has sunk about 2% over the past week, despite previously advancing for 23 of the last 30 weeks. Consequently, some investors have interpreted this trend as the warning signs of a recession manifested. One analyst pointed out how today’s market holds historical parallels with the 1929 market pre-Depression. Back then, the S&P 500 had also gone on a run of 23/30 gains, just like today.
- Dell is making an unexpected comeback in the tech realm with its strides in AI technology. After launching new PCS specifically enhanced for AI, the company has now outpaced Nvidia, with analysts expecting the firm to report $21.65 billion in revenue for the year’s first quarter. Speaking of Nvidia, it probably didn’t hurt Dell stock that Nvidia CEO Jensen Huang gave them a huge complement, which some analytics say is responsible for boosting Dell’s stock 3.2% itself. The icing on the cake, Dell is expected to debut on the S&P 500 index in the near future. Truly, after years of jokes at their expense, things are surely looking up, up, up for Dell!
- The true dominator of the market lately hasn’t been Dell, however, or even Amazon; it’s Abercrombie and Fitch. On Thursday the company announced its best quarterly sales earnings report ever, which showcased sales increases of 22% and revenue that reached $1.02 billion. On top of that, Abercrombie and Fitch’s shares increased 20% further at the news. Well, the news is out: your aunt’s favorite stop at the mall is here to stay!
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In Other News:
- 95% of shareholders sided with Exxon Mobil and voted to reelect all 12 directors during the company’s annual shareholder meeting this week despite significant backlash over climate change. Talk about a blow to climate activists! Exxon previously sued two activist investor groups this year that had called for greater emissions cuts to the company; despite the fact that the two groups have now removed their proposal, the oil giant has not relented in its lawsuit, claiming that their proposal put forth an “extreme agenda.”
- Further news in fossil fuels: the price of crude oil has gone up nearly 10%, largely in part due to geological instability and disruptions in supply chains. Furthermore, a major merger is to take place with ConocoPhillips acquiring Marathon for 17 billion dollars. With companies in the fossil fuel industry continuing to grow and activists groups failing to see significant decreases in emissions, time will only tell what the future is for clean energy in a world so fit for fuel and profit.
That’s all from us in this episode of C2 Business! We hope you have a great weekend, and thank you once again for listening to Current2, the easy way to stay informed!
Bulletin Brief
Trends in S&P 500 indicate possible recession (MB)
Dell makes strides with AI technology (MB, Barrons)
Nvidia CEO complements Dell (indiatimes)
Abercrombie reports huge sale and revenue increase (MB, CNBC)
95% of shareholders side with Exxon amid climate change controversy (MB)
Crude oil prices rise and ConocoPhillips acquires Marathon (MB, Bloomberg)