Boeing slips more than 2% as plane maker plans cuts 10% of workforce, strike enters 5th week,
Boeing (BA) shares slipped more than 2% as investors question the crisis-hit plane maker's future amid job cuts and a strike which is now in its fifth week.
On Friday the company said it will cut 17,000 jobs, or about 10% of its workforce.
"Beyond navigating our current environment, restoring our company requires tough decisions and we will have to make structural changes to ensure we can stay competitive and deliver for our customers over the long term," CEO Kelly Ortberg said in a message to employees posted on Boeing's website on Friday.
An ongoing strike by Boeing's biggest union, the International Association of Machinists and Aerospace Workers (IAM), is proving costly on several fronts for the company.
S&P Global put the cost estimate of the strike which started on September 1 at roughly $1 billion per month. Last week talks between Boeing and IAM broke down, with the company withdrawing its contract proposal.
Mon, October 14, 2024 at 2:46 PM GMT+1
Nvidia climbs 2%, hovers near record
Nvidia (NVDA) stock jumped more than 2% at the open on Monday, surpassing its June record high close of $135.58.
The stock was a couple of dollars away from its all-time intraday high just past $140.76.
Mon, October 14, 2024 at 2:30 PM GMT+1
S&P 500 eyes fresh record, Dow slips as focus shifts to earnings
The major averages opened mixed on Monday as investors turned their focus to upcoming big bank earnings and other quarterly results from major companies.
The S&P 500 (^GSPC) moved up roughly 0.3% to eye a new record high. On Friday, the broader index ended above 5,800 for the first time.
The tech-heavy Nasdaq Composite (^IXIC) was up 0.5% soon after the bell on Monday, while the Dow Jones Industrial Average (^DJI) slipped 0.2% from its Friday record close.
Earnings season continues in full swing this week, with Citi (C), United Airlines (UAL), AI chip equipment maker ASML (ASML), Netflix (NFLX), and American Express (AXP) among those expected to report.
Oil futures dropped more than 2% as OPEC cut its demand forecast for 2024 and 2025. Traders also reacted to a lack of detail from China's Finance Minister over the weekend on any large new stimulus spending.
Mon, October 14, 2024 at 2:16 PM GMT+1
Nvidia stock eyes record high and top spot as most valuable company ahead of Apple
Nvidia (NVDA) stock rose 1% in premarket trading to $136.22, putting the chipmaking giant on track to surpass its previous record closing price of $135.58 posted in June.
The AI chipmaker's shares have made substantial gains in October following a massive, $6.6 billion funding round for ChatGPT-maker OpenAI, much of which will be funneled back to Nvidia. AI leaders, including Nvidia CEO Jensen Huang, have cited furious demand for the company's latest Blackwell chips. Its stock is up 8% over the past week.
Nvidia's gains put it on track to once again claim the rank of No. 1 most valuable company in the world, in terms of market capitalization. It currently holds the No. 2 position, behind Apple (AAPL). The chipmaker's market cap stood at $3.3 trillion Monday, while Apple's was $3.46 trillion. Apple, Microsoft (MSFT), and Nvidia have traded places as the top three companies over the past year.
Nvidia is set to report earnings on Nov. 19. Wall Street analysts expect it to report revenue of $33 billion, up 82% from the prior year, according to Bloomberg consensus estimates. Some 90% of those covering the stock and tracked by Bloomberg recommend buying Nvidia shares.