European markets are mixed after disappointing earnings
8/4/20 Market Notes
US equities kicked off the month on a positive note, motivated by M&A activity and a better than expected ISM Manufacturing report while ignoring Congressional gridlock on a new stimulus bill. The S&P 500 increased 23 points (0.7%) to 3,295, while the Dow gained 236 points (0.9%) to 26,664. Nasdaq notched another new high, adding 158 points (1.5%) to 10,903, helped by a 5.6% gain in Microsoft after the company confirmed being in talks to purchase the US assets of TikTok. Treasury prices slipped while the Dollar paused its slide. Crude oil and gold prices both edged higher.
Asian stocks posted solid gains overnight, while European markets are mixed after disappointing earnings from Diageo Plc. and Bayer AG. US equity futures are following European stocks down, pointing to a soft opening as US-China rhetoric heats up. AIG is trading considerably lower pre-market after reporting a 56% fall in adjusted earnings. June factory orders and crude oil inventories are on today’s calendar, and Disney reports earnings after the close. For the remainder of the week all eyes will be on Washington for updates on further stimulus and Friday’s release of the July non-farms payroll report.
Disclosures: This market commentary is written by the 1879 Advisors® and represents the views of 1879 Advisors®. This commentary is not investment advice and should not be used as a basis to make investment decisions. Please consult with your registered investment advisor before making any investment decisions.