Market Today: Mixed Market Performance Amidst Major Corporate Changes

Market update as of Oct. 2

Summary
  • A summary of key market news for Oct. 2.
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The S&P 500 saw a slight increase of 0.01% as markets concluded on 10-02-2023. In contrast, the Dow Jones Industrial Average experienced a downturn, finishing 0.22% lower. The Nasdaq Composite, however, rose by 0.66%. The 10-year Treasury yield also increased by 1.58% to 4.683.

Walmart (WMT, Financial) disclosed that its CEO and president, Douglas McMillon, sold 9.7K shares in the company on Sept.28. The sale was executed in a single trade with a sales price of $162.4043 pursuant to a Rule 10b5-1 plan. Despite this, shares of the company fell by 0.44% at $159.3.

Walgreens Boots Alliance (WBA, Financial) announced the departure of its Chief Information Officer, Hsiao Wang. The company has retained the former CIO of Northwestern Mutual, Neal Sample, as a consultant to advise on technology matters. Neal will also sit on Walgreens’ executive committee.

NextEra Energy (NEE, Financial) was the biggest loser among utility companies, with a 10.7% decrease to its lowest in more than three and a half years. This was due to concerns over NextEra Energy Partners and a broad loss in utility stocks in the wake of surging bond yields.

Ally Financial (ALLY, Financial) announced job cuts that will impact less than 5% of its overall workforce. The workforce reduction isn't limited to a single line of business and will occur across divisions. This comes as Ally, a popular auto lender, was said to have tightened underwriting standards.

The Biden Administration is reportedly giving China an additional warning that it will update its rules on export controls for semiconductors and semiconductor equipment, perhaps as soon as next month. This decision could help stabilize the relations between the two countries.

Amazon.com (AMZN, Financial) and Google (GOOG, Financial) are well-positioned to drive and capture the massive potential market in artificial intelligence, according to Morgan Stanley. The firm sees an estimated market of $205B and $820B in the U.S. and globally, respectively, for generative AI enterprise software.

NextEra Energy Partners (NEP, Financial) saw a 13.1% decrease in Monday's trading to extend its losses to 45% following its surprise cut to growth guidance and the decision from parent NextEra Energy (NEE, Financial) not to proceed with an asset dropdown.

Disclosures

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