The Dow Jones dropped to start the day in wait of tomorrow's unemployment report.
This morning, the U.S. Labor Department anticipates another 1.8 million Americans seeking unemployment benefits for the first time. The national unemployment rate could hit 19.5% for May.
But before we dive into the latest stories and more, here are the numbers from Wednesday for the Dow, S&P 500, and Nasdaq:
Index
Previous Close
Point Change
Percentage Change
Dow Jones
26,269.89
+527.24
+2.05
S&P 500
3,122.87
+42.05
+1.36
Nasdaq
9,682.91
+74.54
+0.78
Now here's a closer look at what I'm following today. These are the most important market events and stocks.
The Top Stock Market Stories for Thursday
The casino industry is back in the United States. Today, casinos in Las Vegas will reopen. Hotels will not need to limit capacity, but the gaming areas can only operate at 50% capacity. It remains uncertain how many people will flock to casinos. The city of Las Vegas had to pull a marketing campaign due to increasing social unrest across the area over the murder of George Floyd.
HSBC Holdings Plc. (NYSE: HSBC) and Standard Chartered Plc. (OTCMKTS: SCBFF) are two of the largest banks in Hong Kong. In a stunning development, both firms announced support for the controversial national security law that will expand China's power over the financial center. HSBC posted a picture on social media showing its Asia Pacific CEO signing a petition in support of the law. Standard Chartered, meanwhile, said that the new law "can help maintain the long-term economic and social stability" of Hong Kong. The new law has created new tensions between the United States and China. It's fueled concerns about trade stability between the nations.
Oil prices retreated yet again Thursday as concerns grew that OPEC and its allies may not extend their production cuts of 9.7 million barrels per day. Reports indicate that Saudi Arabia, Kuwait, and the United Arab Emirates will not extend those cuts past June, signaling that more output is coming in the months ahead. Meanwhile, traders are increasingly concerned about an uptick of U.S. crude inventories. New data shows that U.S. gasoline stocks increased by 2.8 million barrels, a figure that was three times larger than forecasts.
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Stock to Watch Today: AMZN, AMC, COTY
Warehouse employees at an Amazon.com Inc. (NASDAQ: AMZN) facility in Staten Island plan to sue the company for putting them and their families at risk of contracting COVID-19. Three employees at the location filed a lawsuit accusing the company of erecting a "façade of compliance" to health guidelines while pressuring employees to work in unsafe conditions.
Shares of AMC Entertainment Holdings Inc. (NYSE: AMC) continued to drop as investors fret about the future of movie theaters. Shares dipped another 1.6% after the movie chain said it had "substantial doubt" that it will remain in business due to the COVID-19 shutdown. The company said that due to theater closures, it lost between $2.1 billion and $2.4 billion during the first quarter. The firm said it is effectively generating no revenue. With a cash balance of just $718 million, the company could run out of cash this summer.
Shares of Coty Inc. (NASDAQ: COTY) rallied more than 4% after the company announced it was exploring a deal to collaborate with Kim Kardashian West. According to an SEC filing, the two sides would create a new beauty product line. COTY has previously invested in a company by Kim Kardashian's sister, Kylie. In 2019, COTY invested $600 million for a majority stake in Kyle Cosmetics.
Why Startups Can Have an Edge During a Recession
Uber, Airbnb, Slack, Pinterest, and Venmo have something big in common - something other than their big names.
These startups were founded during the last recession.
And now, some of the most iconic companies of our time could launch into Fortune 500s during days like today.
Garrett Baldwin is a globally recognized research economist, financial writer, consultant, and political risk analyst with decades of trading experience and degrees in economics, cybersecurity, and business from Johns Hopkins, Purdue, Indiana University, and Northwestern.