1. Stocks seek to shake off consecutive losses
Traders work on the floor of the New York Stock Exchange (NYSE) on July 25, 2022 in New York City. Shares rose slightly during morning trading as investors assess the upcoming Federal Reserve meeting on Wednesday coming up.
Spencer Platt | Getty Images News | Getty Images
2. Nancy Pelosi leaves Taiwan
Television broadcasts are broadcasting news about US House Speaker Nancy Pelosi’s visit to Taiwan in Taipei, Taiwan on Tuesday, August 2, 2022.
Lam Yik Fei | Bloomberg | Getty Images
House Speaker Nancy Pelosi left Taiwan on Wednesday around 6:00 am ET, marking the end of a brief but controversial stop on the self-governing island that China claims as its territory. While there, the California Democrat met with Taiwanese President Tsai Ing-wen and signaled his support for the Democratic Island. “Our [congressional] The delegation came here to send an unequivocal message: America is with Taiwan, “Pelosi said, according to NBC News. After repeatedly warning Pelosi against visiting Taiwan, Beijing responded by banning various imports of Taiwanese products into China. including biscuits, grapefruit and frozen horse China’s Ministry of Commerce has suspended exports of natural sand to Taiwan, and the country’s military has also begun conducting air and sea drills around Taiwan.
3. CVS Health improves forecasts for the full year
A pedestrian walks through the parking lot of a CVS Health Corp. store in Oakland, California, August 2, 2019.
Michele Corto | Bloomberg | Getty Images
Shares of CVS Health rose Wednesday after the company raised its full-year profit outlook and surpassed Wall Street expectations with second-quarter results. CVS now expects adjusted earnings of between $ 8.40 and $ 8.60 per share this year, up from the previous $ 8.20 to $ 8.40 guide. The company, which in addition to its pharmacies owns Aetna health insurance, saw second-quarter sales increase 11% year-over-year to $ 80.64 billion, surpassing Refinitiv’s estimates of $ 76.37 billion. . Quarterly adjusted earnings per share of $ 2.40 also surpassed analysts’ estimates of $ 2.17.
Even before Wednesday’s opening bell, Taco Bell owner Yum Brands reported mixed quarterly results.
4. Tuesday Night Earnings Summary
Brian Chesky, CEO and co-founder of Airbnb Inc., speaks during an Economic Club of New York luncheon at the New York Stock Exchange (NYSE) in New York, USA, on Monday, March 13, 2017.
Michele Nagle | Bloomberg | Getty Images
Several notable companies reported quarterly numbers after the close on Tuesday. Here’s a quick breakdown of how they did it:
- Airbnb reported better-than-expected second-quarter earnings and revenues that nearly met estimates, while publishing a guide for the third quarter ahead of Street’s estimates. The shares fell more than 7% in pre-market trading. CNBC’s Sofia Pitt has a full recap here.
- Advanced Micro Devices ‘second-quarter profits and sales exceeded analysts’ expectations, but the chip designer’s third-quarter revenue forecast came in slightly below estimates. His stock slipped about 6% in pre-market trading. Read the full earnings story of CNBC tech reporter Kif Leswing here.
- Starbucks’ quarterly results beat estimates on the top and bottom line, and interim CEO Howard Schultz indicated that the coffee chain’s customers did not withdraw their expenses or trade cheaper items despite persistently hot inflation. Shares rose nearly 2% in the premarket. CNBC’s Amelia Lucas sums up the earnings in full here.
- PayPal saw second-quarter revenue rise 9% year-over-year to $ 6.81 billion, beating analyst projections, while adjusted earnings per share of 93 cents surpassed estimates of 7 cents. Shares in the fintech firm, which also entered into an information sharing agreement on value creation with activist Elliott Management, were up nearly 13% in pre-market trading. Read a full quarter recap from CNBC’s Jordan Novet.
5. Mortgage applications increase for the first time in 5 weeks
Homes in Hercules, California, USA, Tuesday, May 31, 2022. Homebuyers are facing a worsening affordability situation with mortgage rates hovering around the highest levels in over a decade.
David Paul Morris | Bloomberg | Getty Images
Mortgage applications increased last week, the first time since June 24 that volume has increased on a weekly basis, according to the Mortgage Bankers Association. Total mortgage demand increased 1.2%, aided by the 30-year average fixed mortgage rate which recorded the largest weekly decline since 2020. Home purchase requests increased 1% from the previous year. previous week, while refinancing applications increased by 2%, the MBA said. The latest mortgage data comes amid concerns over weakening consumer confidence and a slowing US economy as the Fed tightens monetary policy in hopes of cooling the hottest inflation since the early 1980s.
– CNBC’s Su-Lin Tan, Melissa Repko e Lisa Rizzolo contributed to this report. NBC News also contributed.
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