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Since launching Wayve in 2017, CEO Alex Kendall has often felt like the self-driving car industry's mostly ignored little brother. In 2017, Kendall got a Ph.D. in deep learning and computer vision at the University of Cambridge. While there, he helped develop a deep learning algorithm for a computer vision concept called "semantic segregation." A delivery van outfitted with Wayve's autonomous driving software is part of the fleet of vehicles making grocery deliveries across London. When he and Kendall launched Wayve, "many of the big technology giants had just put billions of dollars of funding into building autonomous vehicles," Kendall says.
Persons: Alex Kendall, Kendall, Amar Shah, Wayve, Bill Gates, we've, it's, Shah, I've Organizations: Microsoft, Virgin, CNBC, University of Cambridge, PACE, Eclipse Ventures Locations: London, South, Cambridge, Asda, Kendall
HSBC identified nine "unloved stocks" listed on the London Stock Exchange that it says could be poised to surge due to several factors. The investment bank said U.K. markets have started to outperform other global indexes for the first time this year — since the release of the U.K.'s June inflation data on July 18. While the bank's strategists retain their underweight view on the U.K. market overall, they highlighted that London-listed stocks are "unambiguously cheap" on a valuation basis. The bank said the above stocks are FTSE 350 constituents with bottom-quartile consensus ratings indicating a sell or underweight rating. "By definition these screens are not relevant to everyone and should be viewed as a basis for further investigation," the HSBC strategists added in a note to clients on Aug. 15.
Persons: Edward Stanford, Hargreaves, — CNBC's Michael Bloom Organizations: HSBC, London Stock Exchange, of England, FTSE, SPX, HSBC FX, Pennon Group, Unilever
"Bear positioning strong tailwind for risk assets in H1…not the case in H2," Hartnett wrote in a summary of the closely watched survey. Cash allocations have dropped to 4.8% of portfolios, below the 5% dividing line that has traditionally been a buy signal. Even if there is a recession, managers expect it to be mild, with 65% expecting a "soft landing." Allocation to stocks is the least underweight as a share of portfolios since April 2022 and up 13 percentage points from July. The survey was taken Aug. 4-10 and entailed 247 panelists with $635 billion in assets under management.
Persons: Michael Hartnett, Hartnett, REITs, Lehman Organizations: Bank of America, Survey, FMS
Instead of attempting to outsmart the market, Ivo Kovachev rides stocks' momentum. While many fund managers aim to buy beaten-down stocks before they rebound, Kovachev goes against the grain by riding momentum in markets. "We are humble guys — we listen to the market," Kovachev said in a recent interview with Insider. As its name suggests, Kovachev's JOHCM Emerging Markets Discovery Fund sticks to unnoticed stocks in developing international markets. Fortunately for stocks in emerging markets, Kovachev said their interest rates can finally fall as inflation declines alongside oil prices.
Persons: Ivo Kovachev, Kovachev, it's, Stephen Lew, Emery Brewer, J, he's Organizations: Market, Discovery Fund, J O Hambro Capital Management, Nvidia, Voltronic Power Technology, Ink Holdings, KPIT Technologies, Narayana Locations: Taiwan, China, Korea, India
Tyson Foods — Shares of the food processing company fell more than 7% after Tyson's fiscal third-quarter report missed estimates on the top and bottom lines. Tyson generated 15 cents in adjusted earnings per share on $13.14 billion of revenue. Analysts surveyed by Refinitiv were expecting 26 cents per share on $13.59 billion of revenue. Sovos Brands — Shares of Rao's parent Sovos Brands' popped 25% in premarket trading after food giant Campbell Soup said Monday it would acquire the pasta sauce maker for $2.33 billion. Campbell will pay $23 per share for the company, which is 27.6% higher than the Sovos Brands' last closing price.
Persons: Tyson, Refinitiv, DaVita, Campbell Soup, Campbell, Wells, Warren Buffett's, BioNTech, it's, Nikola —, Viatris, , Fred Imbert, Samantha Subin, Yun Li, Tanaya Macheel, Jesse Pound Organizations: UBS, Brands, Campbell Soup, Berkshire Hathaway —, KKR —, KKR Locations: Covid
Kidney dialysis services company DaVita could soon see a turning point in treatment growth, according to UBS. The analyst forecasts the company could post $9 per share in 2024, which lies between 10% to 18% above other analyst estimates. Dialysis patient growth has improved over the past three quarters following the post-Covid recovery, said Mok. According to Mok, DaVita has outperformed initial earnings guidance in the first half of 2023 owing to multiple tailwinds. The analyst cited higher revenue per treatment, better mortality trends and continued execution on contract labor.
Persons: Andrew Mok, Mok, DaVita, Michael Bloom Organizations: UBS
Morgan Stanley has decided to take a break, downgrading MSCI China to equal weight while recommending a few consumer and industrial names. The Politburo meeting signaled policy easing, but outstanding issues — of debt, property, jobs and geopolitics — need significant improvement for sustainable inflows, the Morgan Stanley analysts said. Morgan Stanley has so far only changed it once this year: a cut in July to 5%. And despite their downgrade of Chinese stocks, the analysts added two mainland-traded A shares to their focus list. In its latest report, Morgan Stanley analysts also turned overweight on India.
Persons: Morgan Stanley, Laura Wang, Fran Chen, Wood, Warren Buffett, behemoth BlackRock, Biden, Liqian Ren, Ren, Hang Seng, Jack Ma's Alibaba, Morgan Stanley's, Morgan, WisdomTree's Ren doesn't, Ren doesn't, Michael Bloom Organizations: U.S, Chinese Communist Party, China ETF, WisdomTree Trust, Owned Enterprises ETF, Wall, JPMorgan, Baidu, State, Owned Enterprise Fund, Ping An Insurance Locations: China, . U.S, WisdomTree, WisdomTree Trust China, Morgan, Morgan Stanley's China, Hong Kong, India
Investment bank Bernstein picked a raft of Chinese and Indian stocks in sectors including tech, pharma and IT, naming them on a list of "opportunities for value, growth and quality." "We believe that it is time to increase risk exposure in China by adding more high volatility stocks," the analysts wrote. "GPT can accelerate development of its business and give the company the tailwinds to reshape its strategy," the analysts wrote. Indian stock picks Indian drug company Sun Pharma is also on Bernstein's list of outperform-rated stocks. In India … they have outperformed the market," the analysts wrote, and they also praised Sun's specialty drug portfolio in the U.S.
Persons: Bernstein, Rupal Agarwal, India … Organizations: pharma, " Pharma, Wuxi, Baidu, Sun Pharma, U.S, Infosys, Reliance Industries, New Locations: Asia, China, Wuxi, India, Bangalore, New Commerce
Here are five investments VanCronkhite loves now with market volatility likely to rise in late 2023. According to fund manager Bryant VanCronkhite, many investors make a common mistake when building portfolios: overlooking mid-sized stocks. After all, he's co-managed the $12.8 billion Allspring Special Mid Cap Value Fund (WFPAX) since early 2009 and has crushed his competitors in that span. Investors with the exact same priorities will likely target similar stocks and end up with average returns, VanCronkhite noted. 5 top stocks to buy as market volatility spikesAn outstanding rally for US stocks so far this year could get choppy in the coming months, VanCronkhite warned.
Persons: Bryant VanCronkhite, he's, Morningstar, VanCronkhite, James Tringas, they're suboptimal, VanCronkhite isn't, we're Organizations: Value, Value Fund
David Rosenberg is sticking with his recession call, despite many other experts backing down. In a client memo, he shared some of the extreme pushback he's received for his gloomy forecasts. David Rosenberg, a leading economist who called both the dot-com and housing crashes, remains fully convinced the US economy is headed for a recession. Recession indicators including the inverted yield curve, The Conference Board's Leading Economic Index, and the New York Fed's recession model are still flashing red. "The impatience and tempestuousness out there do not surprise me, either, having called the markets and the economy for nearly 40 years," he continued.
Persons: David Rosenberg, he's, Michael Burry, Warren Buffett, Merrill, Rosenberg, Merrill Lynch Organizations: Service, Internet, Conference, Biden, North Locations: Wall, Silicon, Houston, York, North American
I was there with 200 or so other patrons, a gloriously mixed crowd, to see “Oppenheimer,” one half of the Barbenheimer cultural moment. For a moment, it was possible to forget the grim realities that still linger for the cinema business, circling like vultures. So is Regal, which narrowly avoided having to close its theater in Union Square. On the day before the blockbuster weekend, the Regal UA in Staten Island, one of the last remaining theaters in that borough, closed its doors for good. In the time of streaming and 146-inch TV screens, the simple act of going out to the movies feels contrarian, even subversive.
Persons: “ Oppenheimer, , beheld, we’d, tellingly Organizations: AMC, Regal UA, Paris, Netflix, Radio City Music Hall, Machine, Union Locations: New Mexico, Union, Staten Island, Manhattan, York
The longtime VC firm just announced a new $250 million seed fund focused on AI. In tough economic times, the firm's leader, Navin Chaddha, believes it's a prime time to invest. That has essentially been Navin Chaddha's mantra since he took over the reins at venture-capital stalwart Mayfield Fund in 2009. With a dedicated $250 million AI seed war chest, Mayfield is now prepared to lean in even more. "We believe that AI will emerge as our teammate and that the Gen.AI wave will create many iconic companies," Chaddha said in a press release.
Persons: Mayfield, Navin Chaddha, it's, Navin, that's, Chaddha, – who's, Forbes, , Vijay Reddy, Reddy Organizations: VC, Mayfield Fund, Mayfield, Tiger, Insight Partners, Clear Ventures, Intel Capital, Wing Venture Locations: Bessemer, Sequoia
The euro slipped 0.25% against the dollar, government bond yields across the bloc edged lower while European stock markets dipped, with Spain's benchmark index down 0.65% in a clear underperformance. Meanwhile, U.S. stock futures , rose 0.2% and 0.3%, respectively, pointing to a positive open for Wall Street. With the Federal Reserve, European Central Bank and Bank of Japan meeting this week, a note of caution underpinned the mood across global markets. The benchmarks continued their fourth straight of week of gains last week, as supply is expected to tighten following OPEC+ cuts. HOST OF EARNINGSOn top of central bank meetings and economic data, investors also braced for a slew of earnings from both sides of the Atlantic.
Persons: Kai Pfaffenbach, Bruno Schneller, Schneller, Eddie Cheng, Allspring's Cheng, SPAIN UNDERPERFORMS, Fiona Cincotta, Nell Mackenzie, Dhara, Wayne Cole, Amanda Cooper, Peter Graff Organizations: REUTERS, Nasdaq, Fed, ECB London, Wall, Federal Reserve, European Central Bank and Bank of Japan, ECB, INVICO Asset Management, Bank of Japan, Japan's Nikkei, Allspring Global Investments, Brent, . West Texas, Intel, Microsoft, GE, Boeing, Exxon Mobil, Coca Cola, Ford, GM, U.S, Thomson Locations: Frankfurt, Germany, Spain, U.S, Spain's, Asia, Pacific, Japan, Ukraine, Russia, China, SPAIN, SPAIN UNDERPERFORMS Spain, Sunday's, Basque, Catalan, Coca, London, SYDNEY
Elon Musk rebranded Twitter as X over the weekend — a name that has long been one of his favorites. But focus groups thought the name sounded "seedy," according to Musk biographer Walter Isaacson. Musk wanted the company to be rebranded either as X.com or X-PayPal, but his fellow executives disagreed. Several of Musk's brands among his slate of companies include the letter X, including SpaceX and the more recent company xAI. Over the weekend, he changed the company's logo from the iconic blue bird to a white letter X against a black backdrop.
Persons: Walter Isaacson, Elon Musk, Musk, Peter Thiel, Max Levchin, Max Chafkin, Chafkin, Isaacson Organizations: Elon, PayPal, Service, Twitter, musing, SpaceX Locations: Wall, Silicon
The Wall Street bank's Conviction List comprises its top buy-rated stocks that it expects to outperform. Goldman gave Baidu's U.S.-listed shares a 12-month price target of $197, and its Hong Kong-listed shares a price target of 193 Hong Kong dollars. Shift4 Payments American payment processing company Shift4 Payments is also on Goldman's conviction list. "Its refreshed, modern restaurant POS [point of sale] platform and new verticals should drive market share growth," Goldman analysts wrote. Goldman gave Warner Bros Discovery, which is on its conviction list, a price target of $20, or potentially more than 50% upside.
Persons: Goldman Sachs, Baidu Goldman, Goldman, Johnson, Warner Bros Discovery Goldman, WBD, Solar Goldman, — CNBC's Michael Bloom Organizations: Baidu, Baidu's U.S, Hong, Johnson Controls, Warner Bros Discovery Locations: China, Hong Kong
The massive 2023 stock rally essentially has come down to just a handful of trading days, offering more proof of how difficult it is to time the market. Of the 137 trading days so far, 74 have been positive and 63 have been negative. By contrast, last year's swoon on the S & P 500 could be traced to just five big losing days. "There is simply no other way for the S & P 500 to keep rallying," he wrote. "There are 113 trading days left in 2023.
Persons: Nicholas Colas, swoon, Colas Organizations: Big Tech, Tech, Federal Reserve
To lower inflation back to 2%, the Federal Reserve needs to cut interest rates, not raise them. That view runs counter to what many economists and the Fed think, with Fed Chairman Jerome Powell set to raise interest rates once again at the FOMC meeting later this month. The Fed has hiked interest rates aggressively over the past 15 months, sending the fed funds rate from near 0% to in 2022 to just over 5% today. Cutting interest rates to lower inflation isn't Ritholtz's only contrarian view on what the Fed should do. "After the Great Financial Crisis, the economy was sluggish and zero interest rate policy/quantitative easing had driven rates near zero, 2% was a reasonable upside [inflation] target.
Persons: Barry Ritholtz, Ritholtz, Jerome Powell, Rithotlz Organizations: Federal Reserve, Service, Ritholtz Wealth Locations: Wall, Silicon
Walter Isaacson said on CNBC's Squawk Box that Musk's biggest motivator doesn't appear to be money. Musk is the world's richest man with a $254 billion fortune, per Bloomberg's Billionaire Index. For the world's richest person, Elon Musk is not all about the money. That's according to Walter Isaacson, the biographer who spent three years trailing Musk for a book releasing in September. The biographer has also previously made references to Musk's "demon mode" — describing him as industrious but "dark" and "with a real lack of empathy."
Persons: Walter Isaacson, Elon Musk, Isaacson, wouldn't, Musk, Jekyll, Hyde, Simon, Simon & Schuster, Sarah Jackson, Insider's Joseph Wilkins Organizations: Twitter, CNBC, Simon &, Bloomberg, SpaceX
That fear has led a net 39% of survey respondents to say they are taking less risk than normal, a 2 percentage point increase from June. Interestingly, Hartnett noted that 66% retail investors as gauged by the American Association of Individual Investors surveys are in stocks, the "most bullish since late 2021." Hartnett also noted a "capitulation" move out of commodities, as managers have taken their most underweight position in the sector since May 2020. The July survey captured the sentiment of 262 respondents with $652 billion in assets under management. Sentiment surveys often can be contrarian indicators, so rising pessimism can be a good sign for markets.
Persons: Michael Hartnett, Hartnett Organizations: Bank of America Global Fund, Survey, U.S . Federal, Nasdaq, Big Tech, American Association of, Investors
In a list of "23 for '23" picks, UBS included Baidu , Grab , Merck , Salesforce , Li Ning and Siemens . It updated its stock selection, adding Yum Brands and MGM Resorts International to the list last month, and removing AbbVie and Corteva . Our 23 for '23 theme showcases our highest conviction stock ideas that aim to benefit from these inflections," stated the authors of the UBS report, led by Nadia Lovell. UBS added MGM Resorts International to its picks, with analysts "encouraged by the continued strength in Las Vegas and a healthy outlook for MGM." Manufacturing and technology company Siemens made the UBS list for being "at the forefront of the Industrial Internet of Things (IIoT) transformation."
Persons: Li Ning, Nadia Lovell, Salesforce, Taco, — CNBC's Michael Bloom Organizations: UBS, Baidu, Merck, Salesforce, Siemens, Yum Brands, MGM Resorts International, MGM, Software, Manufacturing, Industrial, Taco Bell Locations: Swiss, Las Vegas
Data suggests recession risks remain high, but wages and U.S. and European interest rates are also still rising - so stick or twist? Here are five big calls investors are now making. Principal Global Investors chief global strategist Seema Shah said she maintained her view that government bonds would do well with recession still likely by year-end. Reuters Graphics4/ FRAGILE CHINASpluttering data, property market woes and meek economic stimulus have also busted new year bets of a Chinese mini-boom. Principal Global Investors' Shah said she still expected commodities to continue to struggle "because a combination of U.S. slowdown plus China slowdown should mean weak demand."
Persons: Bonds, Francesco Sandrini, Seema Shah, JP Morgan, Trevor Greetham, Florian Ielpo, Athanasios Vamvakidis, Morgan Stanley, Shah, Naomi Rovnick, Marc Jones, Alun John, Dhara Ranasinghe, Mark Potter Organizations: Treasury, Investors, Reuters, Global Investors, Royal London Asset Management, Lombard, Swiss, Bank of America, Fed, FX, JPMorgan, Thomson Locations: bitcoin, Europe's, British, tatters, Japan, CHINA
Robert F. Kennedy Jr. is a crank. Yet now that Ron DeSantis’s campaign (slogan: “woke woke immigrants woke woke”) seems to be on the skids, Kennedy is suddenly getting support from some of the biggest names in Silicon Valley. Jack Dorsey, who founded Twitter, has endorsed him, while some other prominent tech figures have been holding fund-raisers on his behalf. So what does all this tell us about the role of technology billionaires in modern American political life? What the Silicon Valley Kennedy boomlet shows is that this is actually part of a broader phenomenon.
Persons: Robert F, Kennedy Jr, Bitcoin, Ron DeSantis’s, , , Kennedy, Jack Dorsey, Elon Musk, Dorsey, . Organizations: Democratic, Twitter, Kennedy Locations: Ukraine, Silicon Valley
S&P 500 futures dipped 0.1% and Nasdaq futures fell 0.2%. Australia's resources heavy shares (.AXJO) fell 0.2% after the Reserve Bank of Australia held rates steady on Tuesday but warned of more tightening ahead. However, shares of some Chinese makers of products used to make chips rallied as supply concerns sent prices of the metals higher. "It now seems the thesis has evolved, and the market wants to see strong job creation, conditional on subdued wage growth." Brent crude futures fell 0.6% to $75.78 a barrel after climbing 2.1% overnight.
Persons: HSI, Andrew McCaffery, Janet Yellen, Chris Weston, Brent, Stella Qiu, Sam Holmes Organizations: Nikkei, SYDNEY, Federal, Day, Nasdaq, Japan's Nikkei, Reserve Bank of Australia, Fidelity International, Traders, Reuters, Australian, Thomson Locations: U.S, Asia, Pacific, Japan, China, US, Beijing, Washington, United States, Saudi Arabia, Russia
Learning platform startup Kinnu has raised $6.5 million from LocalGlobe and Cavalry Ventures. Kinnu aims to help users improve in areas like long-term memory and the rate at which they learn. A startup using generative AI to build a learning app to help people improve in areas like long-term memory and the rate at which they learn has raised $6.5 million in fresh funds. London-based Kinnu bills itself as a gamified learning platform for those who want to learn generalist knowledge. The platform is currently popular among adult generalist learners, "who love learning for the sake of learning," Kahler told Insider.
Persons: Chris Kahler, chatbots, Kahler, Kinnu, Tom Hulme, Guy Podjarny, Rene Rechtman Organizations: Cavalry Ventures, UK, Spark, Google Ventures, Moonbug Entertainment Locations: LocalGlobe, London
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailThere is room for the US housing market to run, says fund managerAnthony Doyle from Firetrail Investments explains why he thinks it "pays to take a contrarian view" and continue investing in the U.S. homebuilders sector.
Persons: Anthony Doyle Organizations: Firetrail Investments Locations: U.S, homebuilders
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