FINWIRES · TerminalLIVE
FINWIRES

Update: Nasdaq, S&P 500 Log Worst Day in More Than Four Weeks as Brent Tops $100

By
Update: Nasdaq, S&P 500 Log Worst Day in More Than Four Weeks as Brent Tops $100

(Updates with market moves at the end of the day.)

The Nasdaq Composite and the S&P 500 fell the most in more than four weeks on Thursday as Alphabet (GOOG, GOOGL) and Tesla (TSLA) shares tumbled, while Brent crude rose back above $100 a barrel.

The Nasdaq shed nearly 2.2% to settle at 25,137.69, while the S&P 500 fell 1.2% to 7,408.30 -- marking their biggest one-day declines since June 23. The Dow Jones Industrial Average dipped 1% to 51,711.65. Most sectors were in the red, led by communication services and consumer discretionary, while industrials paced the gainers.

Alphabet's class A shares tumbled 7.1%, the worst performer on the Dow, while its class C shares slumped 6.9%. Tesla slumped nearly 15%, the steepest decline on the S&P 500.

Late Wednesday, the Google parent and Tesla indicated rising artificial intelligence capital spending that analysts said could drive a bigger cash burn than previously projected.

Brent futures were trading 6.3% higher at $100.03 a barrel, crossing the $100 level for the first time since May. West Texas Intermediate crude jumped 5.5% to $91.59.

The Iran-backed Houthi militants in Yemen reportedly claimed attacks on two Saudi Arabian oil tankers in the Red Sea.

US President Donald Trump threatened "major military punishment" against Iran if its Houthi proxy continues attacking ships, according to his social media post on Thursday. The US Central Command said Wednesday it struck Iran for the 12th consecutive night.

Treasury yields jumped, with the two-year rate up 4.9 basis points at 4.35% and the 10-year rate rising 4.2 basis points to 4.7%.

"Rising oil prices have revived talk of a (Federal Reserve) rate hike, with rates markets now beginning to treat next week's (Federal Open Market Committee) meeting as a live decision after the 10-year yield pushed back toward its year-to-date high," Saxo Bank said in a report Thursday.

The probability that the Fed will leave its benchmark lending rate unchanged next week fell to 64% Thursday from 88% a week earlier, according to the CME FedWatch tool. The odds of a quarter-percentage-point increase rose to 36% from 12%.

Elsewhere in the corporate sector, RTX (RTX) and Lockheed Martin (LMT) raised their full-year guidance after both defense contractors reported second-quarter results above Wall Street's expectations. Lockheed jumped nearly 11%, the biggest gain on the S&P 500, while RTX advanced 7.3%.

Gold fell 2.5% to $4,047.90 per troy ounce, while silver lost 4.2% to $57.75 per ounce.

Related Articles

EU Raises Preliminary Concerns Over JD.com's $2.5 Billion Ceconomy Acquisition
US Markets

EU Raises Preliminary Concerns Over JD.com's $2.5 Billion Ceconomy Acquisition

The European Commission has notified JD.com (HKG:9618) of its preliminary objections over the Chinese e-commerce company's proposed $2.5 billion acquisition of German electronics retailer Ceconomy."The issuing of a statement of ​grounds is a ​formal step in an investigation under ⁠the Foreign Subsidies Regulation where the Commission informs the ​companies ​concerned ⁠in writing of the objections ​raised against ​them," ⁠the statement said.The Commission opened an in-depth investigation in May to assess whether JD.com had received foreign subsidies that could distort competition in the EU's internal market.It said it has concerns that JD.com may have benefited from preferential financing, tax incentives and grants attributable to the Chinese government.The Commission said those subsidies could strengthen the merged company's competitive position and negatively affect competition in the bloc after the transaction.JD.com announced the all-cash takeover offer for Ceconomy in July 2025, offering 4.60 euros per share.The deal aims to combine JD.com's e-commerce, logistics and technology capabilities with Ceconomy's consumer electronics retail business, which operates more than 1,000 MediaMarkt and Saturn stores across 11 European countries.Under the investment agreement, Ceconomy would continue operating as a standalone business in Europe with its existing workforce, employee agreements and sites.The European Commission's provisional deadline to complete its review is Oct. 2.

HKG:9618HKG:9988
Nestlé India's Fiscal First-Quarter Profit Surges 48% on Strong Demand
US Markets

Nestlé India's Fiscal First-Quarter Profit Surges 48% on Strong Demand

Nestlé India's (NSE:NESTLEIND, BOM:500790) profit jumped 48% during the first quarter of the fiscal year 2026-2027, with sales remaining solid despite the global supply chain being partially affected as a result of geopolitical tensions.Profit rose to 9.75 billion rupees from 6.59 billion rupees in the previous year, according to a Wednesday earnings release from the confectionery product maker.Earnings per share climbed year over year to 5.06 yuan from 3.42 yuan.Revenue increased to 63.8 billion rupees from nearly 51 billion rupees a year earlier.Total sales grew 25%, while exports jumped 36% from the previous year.Nestlé India's chairman and managing director, Manish Tiwary, said all four product groups - beverages, prepared dishes, milk products, and pet food - recorded double-digit growth. The company's chocolate brand KitKat continued to gain market share, while the Nescafé franchise expanded its reach due to increased coffee penetration and other factors."Even as we delivered strong business performance, we remained focused on building the capabilities, partnerships and value chains that strengthen our business for the long term," Tiwary said.Analysts from Jefferies noted that Nestlé India delivered a strong performance partly due to broader industry trends. However, the El Niño weather phenomenon may affect base ingredient prices as it brings lower crop estimates."Coffee prices are expected to remain soft, supported by higher output from Brazil or Vietnam although near-term volatility may persist. Cocoa & sugar prices remain under pressure due to erratic rainfall & lower crop estimates," Jefferies analysts said."Edible oil prices are elevated but stable. Wheat & milk are expected to remain range-bound, while protein complex continues to face inflationary pressure due to higher demand."

BOM:500790NSE:NESTLEIND
Australia's Jobless Rate Holds Steady in June as More Than 76,000 People Find Work
US Markets

Australia's Jobless Rate Holds Steady in June as More Than 76,000 People Find Work

Australia's unemployment rate held steady in June, in line with market expectations, amid a jump in part-time employment and a higher participation rate.The seasonally adjusted unemployment rate remained at 4.4% in June, unchanged from the previous month, data from the Australian Bureau of Statistics showed on Thursday.The result is in line with an estimate from Westpac, as well as with a consensus forecast compiled by Trading Economics.The number of employed people increased by 76,300 from the previous month to about 14.8 million, driven by a 47,000-person increase in part-time employment, while the volume of unemployed people rose by 12,700 to 686,800. As a result, the participation rate ticked higher to 67% from 66.7% in May.Part of the employment growth came from Australians who were waiting to start a job in May, representing "a stronger June movement than has been observed in recent years," said Sean Crick, head of labor statistics at the ABS.He added that people in the 55 to 64 age bracket recorded the largest annual growth in the participation rate, up nearly a full percentage point to 70.6%.The data also showed a 5 million increase in the overall number of monthly hours worked to about 2.01 billion hours in June, while the employment-to-population ratio edged 30 basis points higher to 64%.Earlier in July, Reserve Bank of Australia Assistant Governor Sarah Hunter said the country may need a period of higher unemployment to ease inflation expectations. The central bank left its official cash rate unchanged at 4.35% in June, and its next policy meeting is scheduled for August.

ASX 200