The pressure for international aid in resolving the ongoing
crisis in Ukraine ramped up on Thursday when a Malaysian Airlines
passenger jet was shot down near the border of Russia.
All 298 passengers and crew were killed in the worst tragedy the
conflict has seen since it began. Though it is unclear who is
responsible for the incident, most expect that an international
investigation will show that pro-Russian separatists backed and
trained by Moscow will be to blame.
Now, leaders in the EU and the U.S. will be working to determine
an appropriate response as they will be under pressure to do more
to end the ongoing power struggle in Ukraine.
In other news around the markets:
On Thursday, Google surprised markets by announcing business chief
Nikesh Arora's decision to leave the company to become Vice
Chairman of SoftBank Corp. Arora is not the first Google big wig to
leave or take on a new role; the company's senior personnel have
been changing quite a bit in recent months, something analysts say
reflects Google's desire to grow and expand.
reported that Twitter is expected to unveil new metrics that will
measure not only its user base, but the extent of its reach to an
audience outside the company's platform. When the company announces
its earnings on July 29, Twitter executives are hoping to change
investors' perception of Twitter to something similar to YouTube,
where information from the site is typically embedded and viewed on
other websites. On Thursday, FedEx Corp was charged with conspiring
to distribute drugs which had been purchased illegally. The
shipping company has been accused of facilitating the distribution
of controlled substances and could face a minimum fine of $1.6
billion if found guilty. In an effort to restructure the company
following its Nokia acquisition, Microsoft CEO Satya Nadella is
planning to cut about 14 percent of the company's workers. The cuts
will be the largest to date and are expected to be concentrated in
the tablet and handset divisions, which have grown significantly
since Microsoft's purchase of Nokia's handset business earlier in
Asian markets were mixed, the NIKKEI was down 1.01 percent, the
KOSPI lost 0.07 percent and the Hang Seng index was down 0.28
percent. However the Shanghai composite gained 0.17 percent and the
Shenzhen composite was up 0.40 percent.
European markets were lower; the FTSE lost 0.63 percent, the
STOXX 600 was down 0.51 percent, the DAX fell 0.70 percent and the
IBEX was down 0.80 percent.
Energy futures were higher with the conflict in Ukraine
worsening. Brent futures gained 0.32 percent and WTI futures were
up 0.36 percent. Gold and silver lost 0.56 percent and 0.68 percent
respectively, while industrial metals were mixed. Copper lost 0.70
percent and zinc was down 0.04 percent, but aluminum gained 0.96
percent and tin was up 0.11 percent.
The euro was steady at $1.3528 and gained 0.22 percent against
the yen, but lost 0.06 percent against the pound. The dollar fell
0.06 percent against the pound, but gained 0.21 percent against the
yen and 0.02 percent against the franc.
Notable earnings released on Thursday included:
UnitedHealth Group (NYSE:
) reported second quarter EPS of $1.42 on revenue of $32.60
billion, compared to last year's EPS of $1.40 on revenue of $30.41
Novartis AG (NYSE:
) reported second quarter EPS of $1.34 on revenue of $14.60
billion, compared to last year's EPS of $1.28 on revenue of $14.49
) reported second quarter EPS of $1.37 on revenue of $12.05
billion, compared to last year's EPS of $1.15 on revenue of $11.18
Morgan Stanley (NYSE:
) reported second quarter EPS of $0.60 on revenue of $8.52 billion,
compared to last year's EPS of $0.45 on revenue of $8.33 billion.
) reported second quarter EPS of $6.08 on revenue of $12.67
billion, compared to estimated EPS of $6.24 on revenue of $12.32
Stocks moving in the Premarket included:
Express Scripts (NASDAQ:
) was up 4.19 percent in premarket trade after losing 3.11 percent
over the past week. Berkshire Hathaway (NYSE:
) gained 1.49 percent in premarket trade after falling 1.24 percent
on Thursday. Johnson & Johnson(NYSE:
) was up 1.17 percent in premarket trade after losing 5.13 percent
over the past week. Iron Mountain (NYSE:
) fell 1.00 percent in premarket trade after falling 1.22 percent
over the past week.
Notable earnings releases expected on Friday include:
General Electric Company (NYSE:
) is expected to report second quarter EPS of $0.39 on revenue of
$36.30 billion, compared to last year's EPS of $0.36 on revenue of
$35.12 billion. Johnson Controls (NYSE:
) is expected to report third quarter EPS of $0.83 on revenue of
$10.82 billion, compared to last year's EPS of $0.78 on revenue of
$10.83 billion. Honeywell International (NYSE:
) is expected to report second quarter EPS of $1.36 on revenue of
$10.19 billion, compared to last year's EPS of $1.28 on revenue of
$9.69 billion. Ericsson (NASDAQ:
) is expected to report second quarter EPS of $0.16 on revenue of
$7.98 billion, compared to last year's EPS of $0.13 on revenue of
Friday's economic calendar will be relatively quiet with notable
releases including U.S. consumer sentiment, U.S. CB leading index
and Canadian CPI.
For a recap of Thursday's market action, click .
Tune into Benzinga's #PreMarket Prep today to hear Peter Schiff,
Nick Fenton & Larry Tabb by clicking
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