Latest news with #BrookeDiPalma
Yahoo
6 days ago
- Business
- Yahoo
June PPI data: How markets are moving in response
The Producer Price Index (PPI) came in softer than expected in June, helping lift stocks, while long-term yields (^TYX, ^TNX, ^FVX) remain elevated. Yahoo Finance Senior Reporters Allie Canal and Brooke DiPalma join Morning Brief to explain how the new data is shaping interest rate cut expectations and why markets are largely brushing it off. To watch more expert insights and analysis on the latest market action, check out more Morning Brief here. Ellie, let's start with you on this PPI data because I know you were watching those components of CPI yesterday quite closely. What story was PPI telling us? Well, PPI coming in softer than expected for the month of June. We did see the May numbers revised higher. All things considered though, you were just talking about consumer prices. This is going to keep the Fed on pause for now. And if you take a look at CME futures, markets are discounting the odds of a September rate cut. We are now firmly below 60%. We had been above that level pretty consistently here. So overall, there just seems to be less conviction that we will be seeing those rate cuts. That being said, considering we have PPI data softer than expected, that's helping lift futures trading this morning. We also saw long-term treasury yields, like the 10-year yield and the 30-year yield, edge a bit lower, but they're still pretty elevated. And that came after that inflation report yesterday. So we have the 10-year yield hovering around that 4.5% level. The 30-year yield is again hovering around that 5% level. And these are levels that tend to pressure equities. So something to just keep an eye on here as we continue to see this data. Economists have largely said that we're not going to see the full impact of tariffs until later this summer, possibly into the fall, especially since the goalpost keeps moving when it comes to when we could potentially see these retaliatory tariffs go into effect. Um, and Brooke, you know, maybe the 4 and a half percent level for the 10 year is problematic for stocks, but we have not seen the inflation data really weigh on stocks thus far. Absolutely. Well, we're seeing so far is really markets seem to be shrugging off all this latest data that we're getting. They shrugged off the CPI report. They seem to be shrugging off the fact that the producer price index came in largely unchanged or flat, year-over-year this morning. And also in addition to that, what we saw back in June is these large fluctuations as trade deals were announced, as we got more iteration, especially in May and June about how exactly the US and China, that 30% down from 145%. We got news from Vietnam, we saw large swings there, but what we've seen so far this week is sort of a tempered approach by investors as they really understand and really, you know, position themselves in this environment where they realize that these announcements are coming rapidly, they're coming frequently, and they're changing also rapidly as well. And so, markets seem to be shrugging off not only this latest economic data that we're getting, but also the announcement with the US trade deal with Indonesia on Tuesday. And now, you know, in addition to that, these big bank earnings largely not really moving overall futures higher this morning.
Yahoo
14-07-2025
- Business
- Yahoo
Food stock turmoil: Innovation is key for major food companies
Consumers are shifting away from traditional packaged foods, pressuring Big Food companies like PepsiCo (PEP) and Kraft Heinz (KHC) to innovate or face continued volume declines. Yahoo Finance Senior Reporter Brooke DiPalma, Lafayette College chief investment officer Krishna Memani, and chief strategist Michele Schneider join Opening Bid host Brian Sozzi to explain how shifting consumer habits and innovation will shape the future of big food. To watch more expert insights and analysis on the latest market action, check out more Opening Bid here. Well, big food ever see savory financial results and tasty stock price gains again? Uh, this is just love the stuff. Look at what we've seen here in this space. ConAgra Brands reported poor quarterly results owing to consumer pressure. PepsiCo earnings later this week are expected to be well bad or flat concerns around weight loss drugs. I've heard that stocks multiple two craft times reportedly exploring a breakup. There are two separate deals on the table to buy two divisions of the legacy company that was Kellogg and Brook. Uh, it's hard for me to find what is going to be that catalyst for the top and bottom line results for some of these big food companies, even if the consumer gets a little bit better, they continue to change how they eat and how much they eat. Brian, what I'm hearing from my sources is that innovation is key here in order for these companies to offset all the major volume declines that they're seeing, cuz as you're noting here, consumers preferences have changed. They have to be willing to spend in this sort of dynamic. And so if these big packaged food companies like say, uh, PepsiCo later on this week can really understand the consumer and understand just how much they're willing to pay and what they're willing to pay for, that's really what could drive volume back up here. But as you noted, it's expected to be, uh, you know, a negative report here is largely due to the fact that consumers are buying less and ultimately the cost of packaging, the cost of the ingredients are ultimately more in this environment. Christian, a lot of these stocks, uh, these big packaged food plays are trading at 52 week lows. That has pushed up, uh, what has historically been already attractive dividend yields even higher. Do you have any interest in in trying to pick a bottom in some of these names? Even, you know, just considering how far they have fallen and the yield on these stocks. So I, I would say, you know, these, uh, these stocks have the potential of turning into the ultimate value traps. Uh, these are not the sort of stocks that this market is looking for, and therefore, uh, they are unlikely to, uh, unlikely to do very well. I mean, uh, from a long-term holding standpoint, given the high dividend yields, they may end up being really good investments, uh, for uh, some kind of a conservative investor. But if you are looking at it for from the standpoint of these stocks keeping up with the rest of the market, uh, this wouldn't be where I would be looking at. Yeah, Brook Cuad's packaged, uh, craft cheese. I, you know, I don't you have to say it, I'll just say it. I mean, this stuff doesn't even look like cheese. Michelle, but this at the end of the day, these are still consumer plays. As you survey the consumer space, is there anything breaking out or any moves of late that have caught your attention? Well, to kind of pick up on what Brooke said about the changing consumer habits concerning food, I don't think we can discount at all the impact that is just beginning to emerge in the consumer market with the diet drugs. We are really establishing a new thin economy, and that's going to be a tremendous group of people who have suffered with obesity or just being morbidly overweight for their whole lives. Now getting a chance of having a new life. And what does that mean? Well, in terms of these food companies, they're certainly turning less to junk food, turning less to alcohol, more towards healthy living. Obviously, in that consumer space, you wanna be looking at what would happen to a person who finally is thin and can stay thin, so they would be looking to buy more beauty stock, skincare, supplements, going to the gym, apparel for working out, um, certain types of retail chains that might make it easier for them to buy without having to go into a store, dating. I mean, this is really where I'm looking at the consumer right now because I've heard that 6% of the GDP can be added from just this new thin economy. These diet drugs are still expensive, but that doesn't mean they aren't going to get cheaper, more effective, and like for example, a company like Viking Therapeutics working with a pill form. To me, this is such an exciting mega trend on so many levels. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
11-07-2025
- Business
- Yahoo
Levi Strauss stock jumps on earnings beat, raised guidance
Levi Strauss (LEVI) reported better-than-expected second quarter results. Adjusted earnings of $0.22 per share was better than the Bloomberg consensus estimate of $0.13. Revenue was $1.45 billion versus an estimate of $1.37 billion. The company also raised its full-year profit and revenue guidance. Yahoo Finance Senior Reporter Brooke DiPalma reports the breaking news. To watch more expert insights and analysis on the latest market action, check out more Market Domination Overtime here. Levi Strauss earnings just crossing the wire now, and Brooke DiPalma has the results. Brooke. Good afternoon, Josh. Certainly wowing the street, stock up nearly 8% in after-hours trading. Retail comeback for Levi's here, as they really stand out this year so far. The stock up more than 30%, and now this stellar report out from them after hours uh here on this Thursday. Adjusted earnings per share, revenue beating, also the company raising their outlook. That's what has Wall Street excited right now. Taking a closer look at the numbers. Adjusted earnings per share came in at 22 cents versus what Wall Street had expected of 13 cents. We also know that revenue also came in higher at $1.45 billion versus what Wall Street thought was going to come in at $1.37 billion. CEO Michelle Gass saying in the release that they delivered another strong quarter. She said that reflected broad-based strength across the board and clear evidence that their strategic agenda is gaining traction. They also said they're entering the second half of this year in a very strong position of strength. That led them to increase, or rather raise, their guidance for the year. Now, it's important to note here that last quarter, they chose not to raise their guidance because it was early April, tariffs were just announced as retaliatory tariffs. Now, this new guidance assumes that U.S. tariffs on imports from China remain at 30%. It also assumes that the rest of the world has a 10% at the remainder of the year. They now expect net revenue to come in up 1 to 2% compared to a previously expected decline of 1 to 2%. Adjusted earnings per share for the year also expected to now come in between $1.25 to $1.30. Wall Street had expected $1.23. And if you take a closer look at my screen right here, we have Levi Strauss ticker page up. It's up nearly 8%, once again, in these after-hour trading. Lots of excitement here, Josh. Yeah, and Brooke, they're showing Chief Financial and Growth Officer, I see, Harmit Singh talking about that strong first half, talking about uh as he puts it, the continued momentum across the business. And does they even despite the higher tariffs raising those uh full-year revenue EPS expectations. What are you going to be listening for on the call, Brooke? Josh, we're really going to be listening to hear more about how a retailer was able to overcome all the uncertainty that we've seen from both the tariff front and consumers. Ahead of this report, analysts were super intrigued by Levi's ability to really navigate these tariffs. They've been able to do that by those mitigation tactics that we've been talking about so much. But also, that supply chain. If I take a closer look at how exactly they've been able to do that over the past few years, they've been able to change exactly where their sourcing comes from. They took their China imports to the U.S. down from 15 to 16% in 2018 to now just 1%. Also, last week we heard about Vietnam now getting a 20% deal. Well, now they only import mid to high single digits from Vietnam. So certainly, what we expect to hear is more of Levi's really touting that they've been able to mitigate the impact of these tariffs. They now source from 20 countries. We also know that 57% of its sales are made outside of the U.S. And in addition to that, analysts believe that they really do have the ability here to raise prices in this environment because of brand equity that they have. Everybody knows the Levi brand, Josh. All right, thank you, Brooke. Sign in to access your portfolio
Yahoo
10-07-2025
- Business
- Yahoo
McDonald's Snack Wrap is back, Goldman upgrades the stock
McDonald's is bringing back a fan favorite — the Snack Wrap. The news is one of the reasons why Goldman Sachs upgraded the stock to Buy from Neutral. Yahoo Finance Senior Reporter Brooke DiPalma explains why the addition is a big deal for the company. To watch more expert insights and analysis on the latest market action, check out more Asking for a Trend here. McDonald's, hot off a new Goldman Sachs upgrade, is celebrating the rerelease of its fan favorite snack wrap, and today, Yahoo Finance's senior reporter Brooke DiPalma joins us to discuss the fast food giant, Brooke. Absolutely. Goldman Sachs upgrading McDonald's today from neutral to from neutral to buy, that is. And it's largely because of this product and marketing innovation that the company has been able to push through. They say that they could likely gain market share because of their ability to do this. That includes the return of that coveted snack wrap out today on July 10th. Now the addition in addition to that, they also added the daily double burger to their McValue platform. Goldman Sachs likes that too. But just to set the scene here, we're currently in this environment where we know that the low-income consumers are still under pressure there. They said that McDonald's could see a benefit from that. They also said that they have an advantage when it comes to scale, marketing, and their digital capabilities to really navigate this environment where consumers are still under pressure. But we've seen McDonald's do pretty poorly over the past year. They had that E. coli outbreak last fall, and over the past four quarters, we've seen same source sales growth down about 1%, and fall uh 3.6% in just the latest quarter here in the US as really less customers. They went to McDonald's, and in this environment, you think they would go. So marketing innovation, really the push here that Goldman Sachs likes. I feel like Goldman is really sleeping on the true hit here, the star of the show, the Oreo McFlurry. But let's move on. So, all right, that's the take on McDonald's. I see here though, love for McDonald's, not so much for Cheesecake Factory. They downgraded it, they downgraded that one to neutral. How come? Not so much love there. That's because Cheesecake Factory's, the stock is up more than 30% year to date. Great run. Limited upside here, according to Goldman Sachs, as they really evaluate, okay, what has worked for Cheesecake Factory? And exactly how much run do they have left in their? You see what worked here. They've proved their ability to really navigate this environment. They're able to, you know, get more customers in, get large groups in, and really beat on that value proposition. They've also benefited from those higher income customers. They're turning to Cheesecake Factory now in order to get the best bang for their buck. And also what Goldman Sachs previously liked here doesn't think has much upside now is that menu variety. They said that that's going to present a tailwind here, ultimately because of the fact that they were able to cater towards healthier consumers, maybe those looking for a sweet treat, also healthy. You know, large menu there, maybe that's presenting a bit of a tailwind now, not as many customers coming in as when they once were. They say, "We believe the more immediate catalysts in the near term have been have been already priced in." That's their takeaway. Thank you, Brooke. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
10-07-2025
- Business
- Yahoo
Stock market today: Dow, S&P 500, Nasdaq waver as Nvidia milestone, Trump tariffs vie for focus
US stocks were mixed on Thursday, putting a Nvidia-fueled (NVDA) rally on pause as Wall Street weighed Delta's (DAL) upbeat earnings amid fresh tariff threats from President Trump. The Dow Jones Industrial Average (^DJI) rose 0.5% on the heels of a winning day for the major gauges. Meanwhile, the S&P 500 (^GSPC) added 0.1%, and the tech-heavy Nasdaq Composite (^IXIC) fell 0.2% after notching a record high in the prior session. Markets are regrouping after Trump's latest salvos on tariffs, which have done little to sap the ebullient mood that has pervaded for more than two months. After Wednesday's market close, Trump issued his most stringent threat yet, threatening Brazil with rates of 50% on its imports. Before the bell, Delta (DAL) kicked off second quarter earnings season with its report, in high focus after the airline pulled its guidance last quarter due to Trump's trade moves. Its profit and revenue narrowly beat Wall Street expectations, and its shares jumped 12%. At the same time, and carrier restored its earnings outlook, citing "greater clarity" as trade deals get done. Market focus remains on potential trade pacts with bigger US trading partners, such as the EU, India, and Canada. While Trump has said a pact with India is close, the odds have narrowed after he warned of an extra 10% tariff on BRICS members. Read more: The latest on Trump's tariffs Amping up the pressure for deals, Trump has sent 22 letters to the heads of countries this week. Each has a similar formula, dictating the tariff rates he says will apply to their imports starting Aug. 1. Meanwhile, eyes are back on prospects for AI after the Nasdaq Composite clinched a new record close on Wednesday, thanks in large part to a continued surge from Nvidia. The chipmaker's stock rose early on Thursday, set to build on an all-time closing high hit after Nvidia became the first public company to cross a market value of over $4 trillion. In other news, jobless claims for the week ending July 5 were 227,000, a 5,000 decline from the previous week's revised level. The update comes as investors look for signs of how quickly the labor market is cooling as an indication of when the Federal Reserve will move to cut rates. Few Fed policymakers were open to a July start to lowering rates at their June meeting, according to minutes released on Wednesday. Yahoo Finance's Brooke DiPalma reports: Read more here. New government data showed that weekly jobless claims unexpectedly fell during the week ended July 5. But a deeper look shows a more mixed picture. Initial jobless claims came in at 227,000, a decline of 5,000 from the previous week's revised level. Analysts were expecting 235,000 claims, per Reuters. Meanwhile, continuing claims, which lag the headline data by a week, ticked up to 1.97 million. Investors have been closely watching labor market data for clues on when the Fed could next cut interest rates. The central bank is weighing its dual mandate of price stability versus full employment. While the labor market doesn't appear to be cooling significantly yet, some cracks have emerged. As of Thursday morning, investors were placing a 93% chance on the Fed holding rates steady at its July meeting. The probability of that scenario was 30% for its September meeting. Ramaco Resources stock (METC) surged more than 27% in early trading on Thursday after the Fluor Corporation (FLR) confirmed large rare earth element deposits at Ramaco's Brook Mine in Wyoming. According to Fluor's assessment, the rare earth deposits at Brook Mine are not only abundant but also economically viable, per FreightWaves. Rare earths are used in many products, from electric vehicles to military systems. The feasibility of this mine marks a strategic pivot for the Kentucky-based Ramaco, which was known for its coal-mining operations in Appalachia. It also positions Ramaco Resources as a key player in the lucrative rare earths market, which has been in focus as the US looks to reduce its dependency on foreign critical minerals and China, in particular, which controls roughly 85% of global rare earths production. Read more here. Stocks on Wall Street opened mostly flat as investors eyed trade developments with an Aug. 1 date for implementing tariff hikes looming. Meanwhile, Nvidia (NVDA) shares were headed toward a new record after touching a $4 trillion market cap in the prior session. The Dow Jones Industrial Average (^DJI) inched down 0.1%, while the S&P 500 (^GSPC) and the Nasdaq (^IXIC) were little changed. US airline stocks rose across the board after Delta (DAL) — the first airline to report earnings for the June quarter — posted upbeat results. United Airlines (UAL) gained 9.5% in premarket trading. American (AAL) rose nearly 9%. And Southwest (LUV) added 3.6%. Delta sparked the rally after indicating that bookings had stabilized in the most recent quarter. The Atlanta-based airline had pulled its guidance amid a swirl of "Liberation Day" tariff uncertainty but now feels confident enough to reinstate that guidance, seeing adjusted earnings in the range of $5.25 a share to $6.25 a share. Read more here. US-listed shares of Brazilian firms fell in premarket trading on Thursday after President Trump warned on Wednesday that he was prepared to slap a 50% tariff on Brazilian goods starting Aug. 1. Previously, the US had signaled it would tax Brazilian imports at a more modest 10%. "These Tariffs may be modified, upward or downward, depending on our relationship with your Country," Trump wrote in a letter, citing the trial of former president and Trump ally Jair Bolsonaro by Brazil's Supreme Court. Brazil's state oil company Petrobras (PBR) dropped 2% while Brazil's largest bank, Itau Unibanco (ITUB), lost 3.5%. Banco Santander (SAN) also fell 2.7%. The Brazilian real (BRLUSD=X) sank by as much as 2.4% against the US dollar following the escalating tensions. As my colleague Jenny McCall noted below, coffee futures (KC=F) also climbed on the tariff news, as around a third of the coffee consumed in the US comes from Brazil. The country also exports significant quantities of orange juice to the US. Orange juice futures (OJ=F) spiked 6% on Thursday morning. Read more here about the Brazilian markets. Circle stock (CRCL) jumped 3% in premarket trading on news that the Jack Ma-backed Ant Group Co. is reportedly considering adopting its stablecoin on the Chinese fintech company's blockchain platform. Bloomberg reported that Ant International, the company's global unit, is planning to incorporate Circle's USD coin (USDC-USD) on its blockchain platform after the asset becomes compliant in the US, according to people familiar with the matter. They did not give a timeline for when that might happen. Ant Group is also seeking to apply for stablecoin licenses; it has reportedly processed more than $1 trillion in global transactions last year, a third of which were on the blockchain. And Circle has been buoyed recently by increased optimism over the stablecoin regulatory environment. Circle stock is up over 500% since its IPO a little over a month ago. Read more here. Coffee futures (KC=F) rose on Thursday after President Trump threatened to slap a 50% tariff on Brazil, the world's largest producer. The news has shaken the industry and risks US consumers seeing a price surge. The FT reports: Read more here. Taiwan Semiconductor Manufacturing Company's (TSM) revenue rose 39% last quarter, boosting expectations that AI spending remains robust. Bloomberg reports that TSMC's sales to Nvidia (NVDA) and Apple (AAPL) reached roughly $32 billion for the June quarter, above expectations. Shares of TSMC advanced 0.88% in premarket trading. More from Bloomberg: Read more here. Delta stock (DAL) soared more than 12% in premarket trading after the company's earnings topped Wall Street estimates and Delta reinstated its guidance for the year. Delta CEO Ed Bastian told Yahoo Finance's Pras Subramanian that progress on trade deals and the approval of the tax deal were "helpful" in removing uncertainty for the airline. Subramanian reports: Read more here. Earnings: Delta (DAL), Conagra Brands (CAG), Levi's (LEVI), WD-40 (WDFC) Economic data: Initial jobless claims (week ending July 5); Continuing claims (week ending June 28) Here are some of the biggest stories you may have missed overnight and early this morning: Nvidia's real edge isn't just its products, but its customers The early winner in the 'Dexit' war for corporate relocations: Nevada Trump threatens to impose 50% tariff on Brazil Nvidia stock set to rise after company becomes first to hit $4T Kellogg stock soars 50% on report Ferrero buyout is near Xi signals China may finally move to end deflationary price wars Tesla to hold annual shareholder meeting in November Nvidia's Huang to meet Chinese leaders while AI curbs deepen MP Materials, Pentagon team up on rare earth magnets; stock jumps Yahoo Finance's Alexis Keenan reports: Read more here. Yahoo Finance UK's LaToya Harding reports: The FTSE 100 (^FTSE) hit a new all-time high on Thursday morning, while European stocks also advanced. The German Dax (^GDAXI) also touched a record, as traders shrugged off the threat of Donald Trump's escalating trade wars. The US president confirmed overnight that a 50% copper tariff will come into place on 1 August, and announced a 50% tariff on goods from Brazil. ... The Brazilian Real weakened by 2.29% against the US dollar on the back of the news, its biggest decline since 4 April, but mining stocks rallied in London, signalling that investors are not concerned about the new tariffs. ... Read more on UK and Europe markets here. Here are some top stocks trending on Yahoo Finance in premarket trading: Freeport-McMoRan (FCX) shares rose over 3% before the bell on Thursday after President Trump said he would impose 50% tariffs on copper. Southern Copper Corporation (SCCO) stock was also up almost 4% in premarket trading following Trump's announcement that he would hit copper imports with a 50% tariff. Ultragenyx Pharmaceutical Inc. (RARE) stock fell over 20% after announcing that the US FDA had granted Breakthrough Therapy Designation for GTX-102 as a treatment for Angelman syndrome. Dollar Tree (DLTR) rose 2% before the bell following the news that that its board authorized a $2.5 billion share buyback plan. Some analyst calls that caught my eye this morning as the Street preps for yet another earnings season. Advanced Micro Devices (AMD) HSBC analyst Ryan Mellor drops an upgrade on AMD (AMD) to Buy. Says Mellor: "Turning bullish on new product pipeline. We now believe there could be significant upside to FY26 estimated AI revenue as our revised forecast of USD15.1 billion is now 57% above consensus forecasts of USD9.6 billion driven by a higher-than-expected pricing premium of its recent MI350 series launch. We are also encouraged by its MI400 rack architecture (to be launched in 2026) but it remains too early to quantify. Hence, we now expect that upside to FY26 estimated AI revenue will lead to higher re-rating to AMD that is not fully priced in by the market despite the 14% share price rally post its AI day event (12 June). PepsiCo (PEP) JP Morgan analyst Andrea Teixeira is cautious on PepsiCo (PEP) going into its July 17 earnings report. Says Teixeira"We believe expectations are for another soft quarter for PEP as consumption trends in the U.S. deteriorated in the quarter for both PFNA and PBNA segments, while International should remain relatively solid with some puts and takes. We don't envision a substantial change to underlying guidance at this point following the cut to EPS with 1Q25 and a low enough bar for OSG, although USD softening could provide some relief to reported results. To date, PEP's initiatives to turn around the snacking business have disappointed with tracked channel trends remaining under pressure, and with more time elapsing from shelf resets and price portioning and pack size adjustments (to lower absolute price points), if the company doesn't begin to show signs of improving trends near term (i.e., getting less bad against easing comparisons) there could be a need for more meaningful investment." The maker of Nutella and Ferrero Rocher, Ferrero, is reportedly close to finalizing a deal to acquire WK Kellogg Co. (KLG) for a roughly $3 billion dollar price tag, per the WSJ. The stock soared in after-hours trading following the report, up over 50%. As of Wednesday's market close, the company had a market cap of roughly $1.5 billion. The cereal maker, behind brands like Froot Loops and Frosted Flakes, has been under pressure lately as consumers crave less breakfast food. Over the course of four weeks, ending June 29, cereal category sales fell 1.8% "in line with the trend from recent months," Stifel analyst Matthew Smith wrote in a note to clients. For WK Kellogg in particular, dollar sales were down 5.7% in that same time frame. It could get even worse when compared to the highs of the pandemic, per Smith. He said that "cereal sales had been running down -1.5% or so, we believe the volumes are likely to continue to move towards the historical decline rate." "The category is holding in and it's shifting ... we will shift with it," CEO Gary Pilnick told investors on its recent earnings call, "as consumers are looking for value, they're looking for health and wellness... No matter what the combination is, the cereal category is a tremendous destination for those consumers." WK Kellogg did not respond to a request for comment. Yahoo Finance's Brooke DiPalma reports: Read more here. New government data showed that weekly jobless claims unexpectedly fell during the week ended July 5. But a deeper look shows a more mixed picture. Initial jobless claims came in at 227,000, a decline of 5,000 from the previous week's revised level. Analysts were expecting 235,000 claims, per Reuters. Meanwhile, continuing claims, which lag the headline data by a week, ticked up to 1.97 million. Investors have been closely watching labor market data for clues on when the Fed could next cut interest rates. The central bank is weighing its dual mandate of price stability versus full employment. While the labor market doesn't appear to be cooling significantly yet, some cracks have emerged. As of Thursday morning, investors were placing a 93% chance on the Fed holding rates steady at its July meeting. The probability of that scenario was 30% for its September meeting. Ramaco Resources stock (METC) surged more than 27% in early trading on Thursday after the Fluor Corporation (FLR) confirmed large rare earth element deposits at Ramaco's Brook Mine in Wyoming. According to Fluor's assessment, the rare earth deposits at Brook Mine are not only abundant but also economically viable, per FreightWaves. Rare earths are used in many products, from electric vehicles to military systems. The feasibility of this mine marks a strategic pivot for the Kentucky-based Ramaco, which was known for its coal-mining operations in Appalachia. It also positions Ramaco Resources as a key player in the lucrative rare earths market, which has been in focus as the US looks to reduce its dependency on foreign critical minerals and China, in particular, which controls roughly 85% of global rare earths production. Read more here. Stocks on Wall Street opened mostly flat as investors eyed trade developments with an Aug. 1 date for implementing tariff hikes looming. Meanwhile, Nvidia (NVDA) shares were headed toward a new record after touching a $4 trillion market cap in the prior session. The Dow Jones Industrial Average (^DJI) inched down 0.1%, while the S&P 500 (^GSPC) and the Nasdaq (^IXIC) were little changed. US airline stocks rose across the board after Delta (DAL) — the first airline to report earnings for the June quarter — posted upbeat results. United Airlines (UAL) gained 9.5% in premarket trading. American (AAL) rose nearly 9%. And Southwest (LUV) added 3.6%. Delta sparked the rally after indicating that bookings had stabilized in the most recent quarter. The Atlanta-based airline had pulled its guidance amid a swirl of "Liberation Day" tariff uncertainty but now feels confident enough to reinstate that guidance, seeing adjusted earnings in the range of $5.25 a share to $6.25 a share. Read more here. US-listed shares of Brazilian firms fell in premarket trading on Thursday after President Trump warned on Wednesday that he was prepared to slap a 50% tariff on Brazilian goods starting Aug. 1. Previously, the US had signaled it would tax Brazilian imports at a more modest 10%. "These Tariffs may be modified, upward or downward, depending on our relationship with your Country," Trump wrote in a letter, citing the trial of former president and Trump ally Jair Bolsonaro by Brazil's Supreme Court. Brazil's state oil company Petrobras (PBR) dropped 2% while Brazil's largest bank, Itau Unibanco (ITUB), lost 3.5%. Banco Santander (SAN) also fell 2.7%. The Brazilian real (BRLUSD=X) sank by as much as 2.4% against the US dollar following the escalating tensions. As my colleague Jenny McCall noted below, coffee futures (KC=F) also climbed on the tariff news, as around a third of the coffee consumed in the US comes from Brazil. The country also exports significant quantities of orange juice to the US. Orange juice futures (OJ=F) spiked 6% on Thursday morning. Read more here about the Brazilian markets. Circle stock (CRCL) jumped 3% in premarket trading on news that the Jack Ma-backed Ant Group Co. is reportedly considering adopting its stablecoin on the Chinese fintech company's blockchain platform. Bloomberg reported that Ant International, the company's global unit, is planning to incorporate Circle's USD coin (USDC-USD) on its blockchain platform after the asset becomes compliant in the US, according to people familiar with the matter. They did not give a timeline for when that might happen. Ant Group is also seeking to apply for stablecoin licenses; it has reportedly processed more than $1 trillion in global transactions last year, a third of which were on the blockchain. And Circle has been buoyed recently by increased optimism over the stablecoin regulatory environment. Circle stock is up over 500% since its IPO a little over a month ago. Read more here. Coffee futures (KC=F) rose on Thursday after President Trump threatened to slap a 50% tariff on Brazil, the world's largest producer. The news has shaken the industry and risks US consumers seeing a price surge. The FT reports: Read more here. Taiwan Semiconductor Manufacturing Company's (TSM) revenue rose 39% last quarter, boosting expectations that AI spending remains robust. Bloomberg reports that TSMC's sales to Nvidia (NVDA) and Apple (AAPL) reached roughly $32 billion for the June quarter, above expectations. Shares of TSMC advanced 0.88% in premarket trading. More from Bloomberg: Read more here. Delta stock (DAL) soared more than 12% in premarket trading after the company's earnings topped Wall Street estimates and Delta reinstated its guidance for the year. Delta CEO Ed Bastian told Yahoo Finance's Pras Subramanian that progress on trade deals and the approval of the tax deal were "helpful" in removing uncertainty for the airline. Subramanian reports: Read more here. Earnings: Delta (DAL), Conagra Brands (CAG), Levi's (LEVI), WD-40 (WDFC) Economic data: Initial jobless claims (week ending July 5); Continuing claims (week ending June 28) Here are some of the biggest stories you may have missed overnight and early this morning: Nvidia's real edge isn't just its products, but its customers The early winner in the 'Dexit' war for corporate relocations: Nevada Trump threatens to impose 50% tariff on Brazil Nvidia stock set to rise after company becomes first to hit $4T Kellogg stock soars 50% on report Ferrero buyout is near Xi signals China may finally move to end deflationary price wars Tesla to hold annual shareholder meeting in November Nvidia's Huang to meet Chinese leaders while AI curbs deepen MP Materials, Pentagon team up on rare earth magnets; stock jumps Yahoo Finance's Alexis Keenan reports: Read more here. Yahoo Finance UK's LaToya Harding reports: The FTSE 100 (^FTSE) hit a new all-time high on Thursday morning, while European stocks also advanced. The German Dax (^GDAXI) also touched a record, as traders shrugged off the threat of Donald Trump's escalating trade wars. The US president confirmed overnight that a 50% copper tariff will come into place on 1 August, and announced a 50% tariff on goods from Brazil. ... The Brazilian Real weakened by 2.29% against the US dollar on the back of the news, its biggest decline since 4 April, but mining stocks rallied in London, signalling that investors are not concerned about the new tariffs. ... Read more on UK and Europe markets here. Here are some top stocks trending on Yahoo Finance in premarket trading: Freeport-McMoRan (FCX) shares rose over 3% before the bell on Thursday after President Trump said he would impose 50% tariffs on copper. Southern Copper Corporation (SCCO) stock was also up almost 4% in premarket trading following Trump's announcement that he would hit copper imports with a 50% tariff. Ultragenyx Pharmaceutical Inc. (RARE) stock fell over 20% after announcing that the US FDA had granted Breakthrough Therapy Designation for GTX-102 as a treatment for Angelman syndrome. Dollar Tree (DLTR) rose 2% before the bell following the news that that its board authorized a $2.5 billion share buyback plan. Some analyst calls that caught my eye this morning as the Street preps for yet another earnings season. Advanced Micro Devices (AMD) HSBC analyst Ryan Mellor drops an upgrade on AMD (AMD) to Buy. Says Mellor: "Turning bullish on new product pipeline. We now believe there could be significant upside to FY26 estimated AI revenue as our revised forecast of USD15.1 billion is now 57% above consensus forecasts of USD9.6 billion driven by a higher-than-expected pricing premium of its recent MI350 series launch. We are also encouraged by its MI400 rack architecture (to be launched in 2026) but it remains too early to quantify. Hence, we now expect that upside to FY26 estimated AI revenue will lead to higher re-rating to AMD that is not fully priced in by the market despite the 14% share price rally post its AI day event (12 June). PepsiCo (PEP) JP Morgan analyst Andrea Teixeira is cautious on PepsiCo (PEP) going into its July 17 earnings report. Says Teixeira"We believe expectations are for another soft quarter for PEP as consumption trends in the U.S. deteriorated in the quarter for both PFNA and PBNA segments, while International should remain relatively solid with some puts and takes. We don't envision a substantial change to underlying guidance at this point following the cut to EPS with 1Q25 and a low enough bar for OSG, although USD softening could provide some relief to reported results. To date, PEP's initiatives to turn around the snacking business have disappointed with tracked channel trends remaining under pressure, and with more time elapsing from shelf resets and price portioning and pack size adjustments (to lower absolute price points), if the company doesn't begin to show signs of improving trends near term (i.e., getting less bad against easing comparisons) there could be a need for more meaningful investment." The maker of Nutella and Ferrero Rocher, Ferrero, is reportedly close to finalizing a deal to acquire WK Kellogg Co. (KLG) for a roughly $3 billion dollar price tag, per the WSJ. The stock soared in after-hours trading following the report, up over 50%. As of Wednesday's market close, the company had a market cap of roughly $1.5 billion. The cereal maker, behind brands like Froot Loops and Frosted Flakes, has been under pressure lately as consumers crave less breakfast food. Over the course of four weeks, ending June 29, cereal category sales fell 1.8% "in line with the trend from recent months," Stifel analyst Matthew Smith wrote in a note to clients. For WK Kellogg in particular, dollar sales were down 5.7% in that same time frame. It could get even worse when compared to the highs of the pandemic, per Smith. He said that "cereal sales had been running down -1.5% or so, we believe the volumes are likely to continue to move towards the historical decline rate." "The category is holding in and it's shifting ... we will shift with it," CEO Gary Pilnick told investors on its recent earnings call, "as consumers are looking for value, they're looking for health and wellness... No matter what the combination is, the cereal category is a tremendous destination for those consumers." WK Kellogg did not respond to a request for comment.
