Weekly news summary for July 30 to August 5
Friday, July 30, 2021: Amazon Stock Falls on Slow Net Sales Growth in Q2
Shares of Amazon.com Inc. made a steep 6.0% drop in pre-market trade on Friday as the online retail giant’s growth slowed down in the second quarter, despite advancing its annual Prime Day to June in the third quarter.
Amazon reported a year-on-year net sales growth of 27% in the second quarter, compared with the 44% growth in the first quarter, while its net sales of $113.1 billion ended lower than analysts’ forecasts of $115.33 billion, marking a rare miss for the US company.
Monday, Aug. 2, 2021: US Senate Reveals $1T Infrastructure Bill
The US Senate has released the legislative text of the massive $1-trillion bipartisan infrastructure deal that aims to provide funding for roads, bridges, ports, high-speed internet, and other projects, with some expecting the chamber to pass the bill as early as this week.
The infrastructure package has bipartisan support in the Senate, although it may encounter an obstacle in the House of Representatives, where it would be intertwined with the Democrats’ $3.5 trillion budget, which seeks to address issues on poverty and climate change.
Tuesday, Aug. 3, 2021: Sanofi to Acquire Translate Bio for $3.2 Billion
Sanofi SA has entered a deal to acquire US biotech group Translate Bio for $3.2 billion to accelerate the use of messenger RNA (mRNA) technology across COVID-19 vaccines and treatments.
The French drugmaker stated that it would pay $38 per share in cash for all of Translate Bio’s outstanding shares, or $3.2 billion, while the boards of the two companies have both approved the arrangement, and the chief executive of Translate Bio and its biggest shareholder have backed the acquisition bid.
Wednesday, Aug. 4, 2021: Robinhood Rises Again after ARK Funds’ Big Buy
Robinhood Markets Inc. rose over 15% in Wednesday’s pre-market trade as interest from retail traders, and fund manager Cathie Wood prepare the investing app’s stock for a fourth session of gains after last week’s lackluster Nasdaq initial public offering (IPO) debut.
The catalyst for the increase was Wood’s ARK Fintech Innovation ETF purchasing an additional 89,622 shares of Robinhood, which brought its total holding to 682,031, with the fund accumulating almost 5 million shares worth around $229 million.
Thursday, Aug. 5, 2021: Gold Falls on Fed Vice Chair’s Hawkish Remarks
Gold edged lower on Thursday as investors processed comments from Federal Reserve Vice Chair Richard Clarida, which signaled that asset tapering could start later this year or early next year.
Gold futures shed 0.13% to $1,812.11, having gained over 1% in the previous session, after the US revealed a lower-than-expected ADP non-farm employment change of 330,000 for July, while services Purchasing Mangers’ Index (PMI) rose to 59.9 and the ISM services PMI hit a new record high of 64.1.
