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Plus, the growing threat of war between the United States and Iran is weighing on investor optimism. More on that below.
Here are the numbers from Thursday for the Dow, S&P 500, and Nasdaq:
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Now, here's a closer look at today's Money Morning insight, the most important market events, and stocks to watch.
The Top Stock Market Stories for Friday
- This morning, shares of semiconductor chip manufacturers were falling thanks to a weaker-than-expected earnings report on Thursday from Broadcom. Shares of Broadcom tanked after the company slashed its 2019 revenue forecast by 8% and reported quarterly revenue well below Wall Street expectations. The weakness is hammering tech stocks like Apple Inc. (NASDAQ: AAPL) and Cisco Systems Inc. (NASDAQ: CSCO) this morning.
- Oil prices dipped again Friday as concerns about global demand outweighed concerns about the recent oil tanker attack in the Strait of Hormuz. Although geopolitical analysts are blaming Iran for the attack on the tanker, the markets see very little chance of war against Iran by the United States. Markets are negative on oil prices after the IEA and OPEC both slashed their forecasts for economic growth and global oil demand. Brent crude was off this morning by $0.14 to hit $61.17 per barrel. WTI crude was off $0.28 to settle at $52 per barrel in pre-market hours.
- While tensions with Iran are flaring, China remains the biggest geopolitical rival to the United States. And this small $6 U.S. defense firm with a new top-secret technology could help the Pentagon stop a Chinese sneak attack dead in its tracks. Read more…
Stocks to Watch Today: CHWY, MAT, APRN
- Shares of Chewy Inc. (NYSE: CHWY) will make their public debut on Friday. The online pet retailer plans to launch shares at $22 each, above the expected range. The offering values the firm at $8.8 billion thanks to heavy demand. The firm sold 46 million shares in this offering, which was 5 million more than the anticipated volume. The firm is backed by PetSmart and private equity giant BC Partners.
- Shares of Mattel Inc. (NYSE: MAT) are under pressure after a controversial interview on CNBC. MGA Entertainment CEO Isaac Larian told CNBC that the company wasn't worth $6 per share, which is nearly 45% downside from current levels. Larian said the firm recently rejected a takeover bid – an action that was not in the best interest of shareholders. He predicted the firm will enter bankruptcy protection within a year if the firm maintains the status quo and continues to turn down deals.
- Shares of Blue Apron Holdings Inc. (NYSE: APRN) fell 9.5% this morning after the company announced a 1-15 stock split in order to remain in compliance with the New York Stock Exchange. Shares cannot remain under an average of $1.00 for 30 days. By doing a reverse stock split, the company can inflate its share price and remain listed.