Month: June 2020

(Bloomberg) — Tencent Holdings Ltd.’s shares just hit three milestones in a single day.The Chinese internet and gaming giant rose 4.9% to a record HK$497.40 in Hong Kong on Tuesday, leapfrogging Alibaba Group Holding Ltd. as Asia’s most valuable company. It’s also now doubled in value since a low in 2018, a year in which China’s restrictions on online games triggered the world’s biggest wipeout of shareholder wealth. The Shenzhen-based firm is worth $613 billion, the seventh most globally.Tencent has for years captivated investors and analysts with its massively popular online gaming business, payments system and WeChat social networking platform. …read more […]

The Monetary Authority of Singapore (MAS) has received a license application from scandal-hit electronics payments firm Wirecard under the country’s new Payments Services Act, the central bank said on Tuesday. It said Wirecard’s primary business activities in Singapore are to process payments for merchants and help companies issue pre-paid cards. Wirecard is operating under an exemption until the new law comes into force. …read more […]

(Bloomberg) — Tencent Holdings Ltd. surged toward a record Tuesday after a $305 billion rally since its 2018 low.The stock rose as much as 5.1% Tuesday, putting Tencent on pace for its highest-ever close. Shares, poised to have their best month since January 2012, have surged nearly 50% from March’s bottom to send Tencent’s market value above HK$4.7 trillion ($606 billion).After doubling in 2017, shares were almost halved at one point the following year as gaming approvals dried up and a slowing economy in China cooled advertising demand. But gaming has been a strong point in 2020 for Tencent in …read more […]

(Bloomberg) — China has penalized 10 of the country’s most popular livestreaming apps, suspending some of their operations in a renewed crackdown on fast-growing services backed by Tencent Holdings Ltd. and ByteDance Ltd.Regulators singled out ByteDance’s Xigua and three apps run by Tencent-backed firms — Bilibili Inc., Huya Inc. and DouYu International Holdings Ltd. — among those subject to punishments ranging from halting new user sign-ups to suspending content updates for “main channels,” the Cyberspace Administration of China said in a notice posted Tuesday. The watchdog said those services must rectify vulgar and other problematic content and that it’s blacklisted …read more […]

American Airlines Group Inc. (AAL) is planning to upsize its share and convertible bond sale to $2 billion, Bloomberg reports.According to the report the ailing US carrier will sell $1 billion of new shares in the offering, while a person familiar with the matter told Bloomberg that the shares will be priced at $13.50/share.This represents a 10% discount to Monday’s closing price, with shares falling 7% during the day’s trading. That brings the stock’s total year-to-date loss to 48% as AAL grapples with the financial fallout of the travel freeze triggered by the coronavirus pandemic.At the same time, the convertible …read more […]

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(Bloomberg) — Asian stocks and U.S. futures slid along with the yuan after a Trump administration official described the Sino-American trade deal as “over.”Treasuries climbed and crude oil dropped after Trump aide Peter Navarro said “it’s over,” when asked in a Fox News interview about the trade agreement with China. S&P 500 futures, which had opened higher, dropped over 1%. While Navarro didn’t specify whether the entire deal signed in January was now invalid, his remark revived concerns about deteriorating U.S.-China ties. The risk-off moves Tuesday morning followed what had been a constructive session on Wall Street Monday, when equities …read more […]

Navarro said his comments were taken ‘wildly out of context’, while U.S. President Donald Trump confirmed in a tweet the deal with the China was “fully intact”. “Hopefully they will continue to live up to the terms of the agreement,” Trump said on Twitter. Earlier, Navarro told Fox News ‘it’s over’ in an interview when asked about the trade agreement. …read more […]

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The stock market’s dim view of Norwegian Cruise Line (NCLH) has gotten even dimmer.Last week, NCLH announced the suspension of practically all its voyages between August 1 and September 30. The uptick in current coronavirus cases and stringent safety measures required to ensure passengers’ safety – and their effect on the sailing experience – appear to have resulted in the extension.If you were booked on a cruise and are disappointed by Norwegian’s actions, don’t blame the cruise operator for the cancellation, says Nomura analyst Harry Curtis. The blame lies squarely with the CDC (the Centers for Disease Control and Prevention). …read more […]

(Bloomberg) — American Airlines Group Inc. is set to raise $2 billion selling shares and convertible bonds after increasing the size of both offerings, according to people with knowledge of the matter.The carrier is selling $1 billion of new shares in the offering, the people said, asking not to be identified because the information is private. The shares priced at $13.50 each, a person familiar with the matter said.This represents at 15.6% discount to its closing price before the deal launched and a 9.5% below its closing price of $14.92 on Monday.The convertible note portion was increased to $1 billion …read more […]

More and more states report rises in COVID-19 cases…
And the markets continue to shrug it off.
Is this a shortsighted approach?
Perhaps.
But as traders, we have to play the prevailing trends.
So right now, we’ll continue biasing the upside – as dictated by the major market averages – all within our “quick, nimble and balanced” approach.
With that in mind, this leads right into today’s new Trade of the Day pick…
You see, a hugely popular trend that’s starting to gain serious traction right now is special purpose acquisition companies(SPACs).
Some characterize them as “blank check” companies simply because they raise money from investors in an …read more […]

It seems like people have forgotten about safety lately.
I’m not even talking about COVID-19. That’s a topic for a different publication…
I’m talking about money.
The market is very strong despite a collapse in corporate earnings.
In the first quarter, S&P 500 earnings per share fell 13%, the worst performance since the Great Recession.
And it’s expected to get worse. For the full year, S&P 500 earnings are forecast to plunge 19%.
Yet investors are scurrying into the riskiest assets on the market…
They are buying up shares of bogus biotech companies that claim to have a solution for the coronavirus despite years (and in some …read more […]

Stock futures ticked up slightly as late trading kicked off, with stocks steadying after another choppy session earlier on Monday. …read more […]

Yahoo Finance’s Rick Newman joins The Final Round to recap President Trump’s weekend and the turnout at the Tulsa rally. …read more […]