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Club holding Caterpillar (CAT) delivered another strong quarter before the opening bell Tuesday, sparking a much-deserved rally of more than 8% to an all-time high above $287 per share. Revenue in the second quarter increased 22% year over year to $17.32 billion, exceeding estimates of $16.49 billion, according to Refinitiv. On the call, management called out strong demand in both North American residential and nonresidential construction. Fortunately, China represents less than 5% of sales with weakness being more than offset by strong demand elsewhere in the Asia/Pacific region. Caterpillar dealers are independent businesses and they're not going to increase inventory levels if they aren't seeing strong demand on the near-term horizon.
Persons: , Jim Cramer's, Jim Cramer, Jim, Brendan McDermid Organizations: Caterpillar, Revenue, Financial, Construction Industries, . Resource Industries, Energy, Transportation, Machinery, Energy & Transportation, CNBC Locations: North America, America, Europe, Africa, Asia, Pacific, China, Harbor, Brooklyn , New York
Bottom line It wasn't a bad quarter from Starbucks but with expectations low headed into the print, we wanted to see more. We also remain believers in the unrivaled name recognition of the Starbucks brand, which ended the quarter with a record 90-day active-user base of 31.4 million in the U.S., up 15% from last year. But the main focus for investors was on China, Starbucks' biggest market after the U.S. Revenues increased 51% from last year, to $821.9 million, with comparable stores sales up 46%. WUHAN, CHINA - OCTOBER 6: (CHINA OUT) An employee services in a Starbucks coffee truck at Wuhan International Plaza on October 6, 2022 in Wuhan, Hubei province, China.
Persons: we're, We're, Laxman Narasimhan, Narasimhan, That's, Jim Cramer's, Jim Cramer, Jim Organizations: Starbucks, Revenue, System, U.S, CNBC, Wuhan International Plaza, Getty Locations: U.S, China, North America, China —, WUHAN, CHINA, Wuhan, Hubei province
Rupee may struggle on dollar move, support seen near
  + stars: | 2023-08-01 | by ( Nimesh Vora | ) www.reuters.com   time to read: +2 min
MUMBAI, Aug 1 (Reuters) - The Indian rupee is likely to decline on Tuesday, pressured by the dollar's move higher versus its major peers and Asian currencies. Non-deliverable forwards indicate rupee will open slightly weaker to U.S. dollar from 82.2450 in the previous session. The dollar index rose above 102 in the Asia session, hovering near the highest in three weeks. Weakness on the Japanese yen contributed to dollar index reaching 102. Surging crude oil prices and the move higher on the dollar index to boost USD/INR, Kunal Sodhani, vice president at Shinhan Bank, said.
Persons: Kunal Sodhani, Nimesh Vora, Nivedita Organizations: U.S, Korean, U.S . Federal Reserve, Brent, Shinhan Bank, Thomson Locations: MUMBAI, Asia, China
Here are Monday's biggest calls on Wall Street: Goldman Sachs upgrades Chevron to buy from neutral Goldman said it sees a cash flow inflection for the oil and gas giant. Morgan Stanley names Keurig Dr Pepper a top pick Morgan Stanley said the beverage giant is its new top pick. Morgan Stanley reiterates Walmart as overweight Morgan Stanley said Walmart+ continues grow and gain new members. Morgan Stanley downgrades Salesforce to equal weight from overweight Morgan Stanley said positive catalysts are in the "rear-view mirror" for the stock. Morgan Stanley upgrades Adobe to overweight from equal weight Morgan Stanley said in its upgrade of Adobe that it sees generative AI driving creativity.
Persons: Goldman Sachs, Goldman, Bernstein, Morgan Stanley, Dr Pepper, Jefferies, Carvana, there's, Cowen, Piper Sandler, Apple, Piper, JPMorgan downgrades, it's, Ford, Oppenheimer, Evercore, Morgan Stanley downgrades Salesforce, Tesla Organizations: Chevron, Nvidia, Apple, Walmart, JPMorgan, JPMorgan downgrades Penske, " Bank of America, Hasbro, of America, Deutsche Bank, York Community, Deutsche, RBC, CSX, Electric, GE, Triple, SG, Wayfair, Suisse, UPS, Credit Suisse, Teamsters, Adobe, Barclays, EV, Detroit Locations: China, York
Take Club stock Nvidia (NVDA) for example. You can't own Nvidia if that's the data you're using to generate your worldview of future demand, especially after the monstrous run shares have already had this year. After all, those buying Nvidia's chips will need to harvest profits on their investment at some point but 12 to 18 months is a lifetime in the stock market. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. Nvidia CEO Jensen Huang,speaks at the Supermicro keynote presentation during the Computex conference in Taipei on June 1, 2023.
Persons: Jim Cramer, That's, Bernstein, we're, Jim loves NVDA, It's, , ByteDance, NVDA, Jim Cramer's, Jim, Jensen Huang, Walid Berrazeg Organizations: Nvidia, Semiconductor Manufacturing, Apple, Microsoft, Oracle, CNBC, Getty Locations: China, Taipei
Baupost Group's Seth Klarman, nicknamed "the Oracle of Boston," is revered in value investing circles for his disciplined investment philosophy, maybe because his style has stood the test of time. The billionaire hedge fund manager has been an almost religious follower of Benjamin Graham's investing style, buying out-of-favor and undervalued assets to ensure a margin of safety. Klarman has drawn comparisons to Warren Buffett — Buffett being a student of Graham's at Columbia University — for his patient, disciplined investment style. The 66-year-old Harvard and Cornell grad published his investment book, "Margin of Safety," in 1991. The hedge fund manager posted a mid-single digit decline last year, beating the S & P 500 which fell nearly 20%, the Financial Times reported.
Persons: Baupost, Seth Klarman, Benjamin Graham's, Klarman, Warren Buffett — Buffett, Columbia University —, Benjamin Graham, David Dodd, Klarman hasn't Organizations: Oracle, Boston, Columbia University, Harvard, Cornell grad, CNBC, Financial Times Locations: Baupost
CNN —E-cigarette company Juul Labs is seeking US authorization to sell a “next-generation” vape with age verification capabilities in the United States. If authorized by the US Food and Drug Administration, Juul Labs hasn’t yet decided on the name to market their new product in the US. Courtesy JuulAdvertising itself as an alternative nicotine product, Juul publicly advises that adults vape only as a replacement for combustible cigarettes. In total, Juul Labs has agreed to pay more than $1 billion in its various legal settlements. Even with limited flavors, the FDA banned Juul products in the US last year after reviewing Juul’s applications seeking marketing authorization for their devices.
Persons: CNN —, , Joe Murillo, it’s, Juul, Robin Koval, vaping, ” Koval, Kirk Phelps Organizations: CNN, FDA, US Food and Drug Administration, Juul Labs, Truth Initiative, Tobacco Survey, Labs, Canada, Tobacco, Virginia, Centers for Disease Control Locations: United States, Canada, Washington, DC, Virginia
Morning Bid: Will August retain July's heat?
  + stars: | 2023-07-31 | by ( Stephen Culp | ) www.reuters.com   time to read: +2 min
August 1 (Reuters) - A look at the day ahead in Asian markets from Stephen Culp, financial markets journalist. Asian stocks have closed the books on a July that ran fairly hot, and not just with respect to temperatures. On Tuesday, Australia's central bank is expected to follow in the footsteps of its global peers by hiking its policy rate by 25 basis points. Both reports should provide further clarity on the effects of the Federal Reserve's restrictive monetary policy on the world's largest economy. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.
Persons: Stephen Culp, Wall, Deepa Babington Organizations: CSI, Asia Pacific, Nikkei, China PMI, Bank of Japan's, Caterpillar, Institute for Supply, Labor, Reserve Bank of, Global, PMI, Thomson, Reuters Locations: Japan, China, Australia's, United States, India, Korea
Investors combing for value ahead of another big week of earnings should look no further, according to analysts. CNBC Pro looked through top Wall Street research to find stocks that are underappreciated as earnings season continues. Meanwhile chatter around the stock remains mostly balanced and positive, according to UBS. "We model an ~8% 5-yr. EPS CAGR and rate the stock buy as we believe this growth potential remains underappreciated," Serna said. ... We model an ~8% 5-yr. EPS CAGR and rate the stock buy as we believe this growth potential remains underappreciated."
Persons: Mauricio Serna, Lee, Wrangler, Serna, Jason Kupferberg, it's, Kupferberg, Matt Niknam, DigitalBridge, Niknam, Baird, Jassy, DBRG, Morgan Stanley Organizations: CNBC Pro, Kontoor Brands, International, Kontoor Brands UBS, UBS, Bank of America, Deutsche Bank, TAM
Its losing streak could carry on with the Fed taking a "data-dependent approach" to interest rates. Chair Jerome Powell said the central bank would start taking a "data-dependent approach" to rate hikes, with inflation cooling rapidly and the jobs market holding firm. When interest rates stop rising, the dollar becomes less attractive to foreign investors seeking higher yields, meaning the currency is likely to weaken against its rivals. The key number for currency traders to watch going forward will now be the monthly inflationary print, analysts said. If that cooling carries on, the dollar will likely keep sliding – but any flare-up could encourage the Fed to bring in further rate hikes, which could offer some support to the currency.
Persons: that's, Jerome Powell, John Hardy Organizations: Fed, Service, greenback, Federal Locations: Wall, Silicon
United Airlines to add Braille to plane interiors
  + stars: | 2023-07-28 | by ( Lilit Marcus | ) edition.cnn.com   time to read: +1 min
CNN —United Airlines will put Braille throughout its plane interiors in order to support customers who are blind or have visual disabilities, becoming the first US airline to do so. “By adding more tactile signage throughout our interiors, we’re making the flying experience more inclusive and accessible, and that’s good for everyone,” Linda Jojo, Executive Vice President, Chief Customer Officer for United, said in a statement. In addition, the airline is working with the National Federation of the Blind (NFB) and the American Council of the Blind (ACB) on other ways to support blind and visually disabled passengers on board. “United is taking additional steps to create an accessible airline passenger experience through Braille signage,” ACB Interim Executive Director Dan Spoone said in a statement. Braille is named for its creator, blind Frenchman Louis Braille.
Persons: ” Linda Jojo, Dan Spoone, ” It’s, Frenchman Louis Braille Organizations: CNN — United Airlines, United, National Federation of, American Council of, Blind, , ACB Locations: United States
This is especially true when it comes to specialty materials, like the 6 by 4½-foot sheets of neoprene from which Mr. Jones makes his couture-level surf suits. It would not be unreasonable to call Mr. Jones, 42, the Willy Wonka of wet suits. A self-taught designer and tailor, he has sewn wet suits for surf legends like Gerry Lopez, Mickey Muñoz, Skip Frye and L.J. Under the label Jonesea, he crafts wet suits in colors like goldenrod and merlot, and in cheetah and tie-dye prints. The suit retailed for $3,900 — significantly more than the Jonesea label suits, which start around $300.
Persons: ” Shane Jones, Jones, Willy Wonka, Gerry Lopez, Mickey Muñoz, Skip Frye, L.J, Richards, Evel Knievel, Minnie Mouse, Freddy Krueger’s, Thom Browne Locations: Japan, Brazil, Germany
Hermes defies luxury slowdown with strong sales
  + stars: | 2023-07-28 | by ( Mimosa Spencer | ) www.reuters.com   time to read: +2 min
Hermes' results come as luxury stocks have come under pressure due to uncertainty over the pace of China's post-pandemic recovery, while a months-long spending frenzy in the U.S. market cools amid rising inflation. "We've seen no interruption in (growth) trends," Hermes Executive Chairman Axel Dumas told journalists. "Strong print across the board," said Exane BNP Paribas, citing fast sales growth and consensus-beating margins. Analysts said the results showed the strength of Hermes' business model, which entails careful management of production and stocks. Hermes shares traded up 3.3% in early morning trading, while rival Kering was up 1% and LVMH was down 0.5%.
Persons: Veronique Nichanian, Gonzalo Fuentes, Birkin, Hermes, Richemont, We've, Axel Dumas, Dumas, Bernstein, Kering, LVMH, Mimosa Spencer, Silvia Aloisi, Sharon Singleton Organizations: REUTERS, BNP, Thomson Locations: Paris, France, U.S, China
Naija grew up in Nigeria, and she had a few Barbie dolls that she would sew her own African print attire for. “I never saw a Black Barbie growing up, not until I got to America in the late 90s,” the fashion editor said. In the pandemic, the dolls filled a creative void for her and she started collecting more and sharing online. She attended the convention for the first time this year.
Persons: Naija, Locations: Nigeria, America
Make It New and Difficult: The Music of Arnold Schoenberg
  + stars: | 2023-07-28 | by ( John Adams | ) www.nytimes.com   time to read: +2 min
SCHOENBERG: Why He Matters, by Harvey SachsIn 1955 Henry Pleasants, a critic of both popular and classical music, issued a cranky screed of a book, “The Agony of Modern Music,” which opened with the implacable verdict that “serious music is a dead art.” Pleasants’s thesis was that the traditional forms of classical music — opera, oratorio, orchestral and chamber music, all constructions of a bygone era — no longer related to the experience of our modern lives. Composers had lost touch with the currents of popular taste, and popular music, with its vitality and its connection to the spirit of the times, had dethroned the classics. One could still love classical music, but only with the awareness that it was a relic of the past and in no way representative of our contemporary experience. While Pleasants’s signaling the ascendance of popular music was right, much of the rest of “The Agony of Modern Music” was fallacious, not least its way of according value to a work of art based on the size of its audience. And for a large part of its public, no composer is more emblematic of that persistent feeling of alienation between composer and listener than Arnold Schoenberg.
Persons: SCHOENBERG, Harvey Sachs, Henry Pleasants, , Composers, Beethoven, Verdi, Wagner, Tchaikovsky, Arnold Schoenberg, “ Schoenberg, ” Sachs, Toscanini, Sachs, Schoenberg, Locations: obscurantism
Washington CNN —The US economy picked up steam in the second quarter despite punishing rate hikes and still-high inflation, the Commerce Department reported Thursday. Economic growth in the second quarter was driven by business investment, government purchases, inventory investment and consumer spending, though at a much weaker pace than in the first quarter. Consumer spending, which accounts for about two-thirds of economic output, grew at just a 1.6% rate in the second quarter, down sharply from a 4.2% rate in the first three months of the year. Nonresidential business investment rose sharply to a 7.7% growth rate in the second quarter, up from a 0.6% rate in the beginning of the year. The GDP report showed that spending on structure slowed to a 9.7% rate in the second quarter from a 15.8% rate in the prior one.
Persons: , Lydia Boussour, , ” Shannon Seery, Seery, , , Diane Swonk, Thursday’s, Carol Schleif, Jerome Powell Organizations: Washington CNN, Commerce Department, Gross, Federal Reserve, Fed, CNN, Employers, Wells, Investment Bank, Manufacturers, KPMG, restrengthens Investors, BMO Family Office, Investors, Locations: EY
Over its 1987 streak, the Dow climbed to 2,104.47, from roughly 1,895.95 — a gain of 11%. If the Dow were to finish higher Thursday, it would tie the stock benchmark's longest winning streak ever, which was in June 1897. Jim Cramer's Charitable Trust, the portfolio the Club uses for investing, owns just over a quarter of the stocks in the Dow. Honeywell 's (HON) 2.5% gain amid the Dow's 13-session winning streak is being wiped away by the stock's post-earnings slide Thursday. Microsoft 's (MSFT) roughly flat overall performance during the Dow's streak, squeaking out a just 0.2% gain, is due in large part to the stock's 3.8% decline Wednesday.
Persons: Warren Buffett hadn't, Paul Volcker, Dow, Jim Cramer's, Johnson, , We'll, Walt Disney, Jim Cramer, Disney, Jim, Spencer Platt Organizations: Dow Jones, Dow, Federal Reserve, Woolworth Company, Jim Cramer's Charitable Trust, Johnson, Enterprise, Industrial Caterpillar, Caterpillar, Procter & Gamble, Honeywell, Club, Wall Street, Vision, Microsoft, MSFT, CNBC, Street Bull, Financial, Getty Locations: New York City
ET, the yield on the 10-year Treasury was up by over 2 basis points to 3.873%. U.S. Treasury yields were up slightly on Thursday as investors considered the outlook for interest rates after the Federal Reserve's latest interest rate decision and comments from central bank chief Jerome Powell. Investors weighed what could be next for interest rates and the U.S. economy after the Fed announced a further 25 basis point rate hike on Wednesday after its latest meeting ended. "We're going to be making careful assessments, as I said, meeting by meeting," Powell said. Elsewhere, the European Central Bank is due to announce an interest rate decision on Thursday, with markets anticipating another rate hike.
Persons: Jerome Powell, Powell Organizations: Treasury, U.S, Federal, Investors, Fed, European Central Bank Locations: U.S
Stock futures were near flat on Thursday night as Wall Street awaited new inflation data due Friday morning. S&P 500 futures ticked higher by 0.03%, while Nasdaq 100 futures advanced 0.07%. Investors will watch for June data for the personal consumption expenditures price index, a gauge of inflation that's closely followed by the Federal Reserve. The S&P 500 and Nasdaq Composite each finished around 0.6% lower. Elsewhere on Friday, investors will watch for data on employment costs, personal income, consumer spending and consumer sentiment.
Persons: Roku, Dow Jones, Jay Hatfield, Dow Organizations: New York Stock Exchange, Stock, Dow Jones, Nasdaq, Intel, Federal Reserve, Infrastructure Capital Advisors, Procter & Gamble Locations: Thursday's
Earnings before interest and taxes (EBIT) increased slightly to $3.79 billion, well ahead of analysts' predictions for EBIT of $3.16 billion. With Thursday's results, management shows it is playing to win and that the fourth quarter was an outlier. Strong profitability and cash flow generation overall in the second quarter provided the much-needed offset. Quarterly commentary Ford Blue, which represents Ford's gas-powered and hybrid vehicles, delivered a strong quarter and was again profitable in every region in which it operates. By segment, Ford expects Ford Blue to deliver full year EBIT of "about $8 billion," up from about $7 billion, and Ford Pro's EBIT to be "approaching $8 billion," up from $6 billion.
Persons: Jim Farley, we've, Farley, we're, Ford, Ford Pro's, Jim Cramer's, Jim Cramer, Jim, Jeff Kowalsky Organizations: Ford, Refinitiv, Management, Ford Model, Ford Pro, CNBC, Electric Vehicle, AFP, Getty Locations: North America, Europe, EBIT, Dearborn , Michigan
Bank of America reiterates Roku as buy Bank of America said it's bullish heading into Roku earnings Thursday. Bank of America reiterates Mattel as buy Bank of America said it's standing by shares of Mattel after its earnings report, adding that "Barbie" should help drive toy sales. Bank of America upgrades Boeing to buy from neutral Bank of America said the worst for Boeing is behind it. Bank of America downgrades RTX to neutral from buy Bank of America downgraded the company formerly known as Raytheon and said it's concerned about slowing margins. Bank of America downgrades SunPower to underperform from neutral The firm said in its downgrade of the stock that it sees multiple headwinds.
Persons: Roku, it's, Needham, Rivian, Bernstein, KeyBanc, Morgan Stanley downgrades Carvana, Morgan Stanley, Jefferies, Estée Lauder, billings, Wells, Wells Fargo Organizations: . Bank of America, Bank of America, Apple, RBC, Owens, Mattel, Boeing, of America, downgrades, Pacific, Barclays, Raytheon, Labs Locations: China, Pacific
Morgan Stanley's top picks for the rest of earnings season
  + stars: | 2023-07-26 | by ( Hakyung Kim | ) www.cnbc.com   time to read: +4 min
While Wall Street's expectations are lower this corporate earnings season, there are still several stocks Morgan Stanley said could rise in the near term. Morgan Stanley's estimates for second-quarter earnings are down 9% year to date and flat sales growth, which the firm attributes to lagged and elevated costs. Amazon is one of Morgan Stanley's top picks for this earnings season. The firm believes potential catalysts include positive earnings revisions and its AWS Summit on cloud computing and generative artificial intelligence. He added that multiple appreciation and earnings revisions could drive the stock upward.
Persons: Morgan Stanley, Morgan Stanley's, Michelle Weaver, Brian Nowak, Brian Harbour, Yum, Elizabeth Porter, Porter, — CNBC's Michael Bloom Organizations: Pharmaceutical, Merck, Pfizer, Devices, Tech, Amazon, Yum Brands, Taco Bell Locations: North America, China
Asia-Pacific markets are set to fall as investors brace for the U.S. Federal Reserve's rate decision on Wednesday. The Fed is expected to approve what would be the 11th interest rate increase since March 2022. That would push the upper boundary of the federal funds rate to its highest level since January 2001. In Australia, futures for the S&P/ASX 200 were at 7,313, lower than the index's last close of 7,339.7, ahead of its inflation figures for June. The inflation print comes ahead of the Reserve Bank of Australia's rate decision on August 1, and will be a key consideration for the central bank.
Organizations: U.S, Reserve Bank, Nikkei Locations: Asia, Pacific, U.S . Federal, Australia, Japan, Chicago, Osaka
Theresa Sobocinski is a 22-year-old product designer who made nearly $100K a year on Depop. She says few people know that constantly refreshing items on Depop is crucial to boosting sales. In that situation, you'll need to refresh to get it back up on the feed. If I'm selling a top, I'll usually pair it with a nice skirt or whatever looks good with the top. But you don't really need experience selling on other platforms to start a Depop.
Persons: Theresa Sobocinski, Poshmark, anyone's, Depop, what's, you've, Aria Yang Organizations: Service, Tiger, Adidas Locations: Depop, Wall, Silicon, Europe, It's
Here are the biggest calls on Wall Street on Wednesday: Morgan Stanley reiterates Amazon as overweight Morgan Stanley said it's bullish on the e-commerce giant's earnings next week. Morgan Stanley downgrades RTX to equal weight from overweight Morgan Stanley said in its downgrade of the stock that risk/reward seems "balanced" right now. Morgan Stanley upgrades WW International to overweight from equal weight Morgan Stanley said shares of the company formerly known as Weight Watchers are underappreciated. Citi reiterates Meta as a top pick Citi said Meta is a top pick heading into earnings on Wednesday afternoon. Morgan Stanley reiterates General Motors as overweight Morgan Stanley said the stock's weak reaction to Tuesday's GM earnings report is a "headscratcher."
Persons: Morgan Stanley, it's bullish, it's, Raymond James downgrades, Raymond James, Morgan Stanley downgrades RTX, Needham, NFLX, Citi, Eli Lilly, Elliot, Burger, Disney, TD Cowen, bitcoin, GOOGL Organizations: Deutsche Bank, Spotify, Deutsche, Barclays, Apple, Target, Bank of America, NXP Semiconductors, International, Netflix, Citi, Goodyear Tire Deutsche, Elliot Management, Goodyear, Elliott Management, Operational, Restaurant Brands Citi, Microsoft, Hollywood, Meta, JPMorgan, United Airline, AFL, DAL, Motors, UAW Locations: 1Q23
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