HTZ Hertz Global Holdings Inc

US Index Futures operated lower on Thursday morning due to concerns arising from the minutes of the last monetary policy meeting in the United States, which raised fears about the cycle of monetary tightening.

By 6:42 AM, Dow Jones futures (DOWI:DJI) was down 140 points, or 0.41%. S&P 500 futures were down 0.41%, while Nasdaq-100 futures were down 0.45%. Yields on 10-year Treasuries are at 3.977%, the highest since March.

On Thursday’s US economic schedule, traders will be watching the US Mortgage Market Index at 7:00 am. At 8:30 am, the US Trade Balance, ADP Private Employment, and US Jobless Claims reports will be released. At 10:00 am, the US Composite and Services PMI and JOLT job postings will be released. EIA Oil Inventory Change will be released at 11:00.

According to reports from financial institutions, the markets are adopting a cautious stance in the face of the imminent release of the formal US employment report, known as the Payroll, which will take place tomorrow, along with the preliminary labor market data that will be released today.

Elsewhere, the significant growth in orders to German industry deserves to be highlighted, which registered an increase of 6.4%, surpassing consensus expectations that pointed to a growth of 1.2%. Retail sales in the Euro Zone remained stable.

Elsewhere in commodities markets, West Texas Intermediate crude for August was up 0.22% to trade at $71.95 a barrel. Brent crude for September is close to $76.75 a barrel. Iron ore rose 1% on the Dalian stock exchange, in China, to US$114.52, still in anticipation of stimuli from the Chinese government.

At the close of Wednesday, US risk assets closed lower after the release of the Federal Open Market Committee (FOMC) minutes, as investors pondered the signals about the future trajectory of interest rates in the US inside the document. The Dow Jones closed down 129.83 points or 0.38% to 34,288.64 points. The S&P 500 closed down 8.77 points or 0.20% 4,446.82 points, while the Nasdaq closed down 25.12 points or 0.18% at 13,791.65 points. Even so, the yields on Treasuries with shorter maturities barely changed, despite the rise in long-term Treasuries.

The Fed’s next monetary policy decision will take place in three weeks’ time, when it will be confirmed whether the FFR increase actually takes place. The CME Group survey on Wednesday pointed to market pricing with a nearly 90% chance of a rate hike at the next meeting. The variation was little in relation to what was priced on Tuesday, which shows that the minutes did not bring big news.

On the quarterly earnings front, Thursday will bring earnings reports from Levi Strauss (NYSE:LEVI), sushi chain Kura Sushi (NASDAQ:KRUS) and Simulations Plus (NASDAQ:SLP), a provider of software for the pharmaceutical industry.

Wall Street Corporate Highlights for Today

Meta Platforms (NASDAQ:META) – Meta launched Threads to compete with Twitter, attracting millions of users within hours. With its integration with Instagram, Threads can divert ads from Twitter, while its rival struggles. Analysts see potential in the platform and expect it to be less disruptive. In other news, Quebecor (USOTC:QBCAF) has announced that it will be removing its ads from Facebook and Instagram in response to Meta Platforms’ decision to block access to news in Canada. Cogeco (USOTC:CGECF) will also withdraw its advertising investments from Meta. In addition, Italy is conducting a tax assessment of Meta, which could result in an invoice of €870 million ($925 million). The investigation is ongoing and the outcome will affect the prosecution of the case in other EU countries.

Microsoft (NASDAQ:MSFT) – According to analysts led by Daniel Ives, Microsoft is well positioned to take market share from Amazon’s cloud services business. With investor interest in AI growing, they believe Microsoft could join Apple in the exclusive club of companies valued at $3 trillion by early 2024. The company is investing in AI and its cloud service, Azure , is also benefiting from the trend. Microsoft shares are up 41% this year.

Bank of America (NYSE:BAC) – Bank of America (BofA) announced that it intends to increase its quarterly dividend on common stock from 22 to 24 cents per share beginning in the third quarter of 2023. BofA postponed its decision last week. The bank is in dialogue with the Fed to understand discrepancies in stress test results.

Goldman Sachs (NYSE:GS) – European hedge funds are reducing their exposure to US banks while maintaining their placements in European banks, according to a report by Goldman Sachs. European banks have outperformed their US peers as they have not faced a deposit flight.

SVB Financial (NASDAQ:SIVB) – SVB Financial Group, former owner of failed Silicon Valley Bank, has obtained court permission to sell its investment banking arm for $100 million after paying $280 million for the unit. The sale is supported by Jeff Leerink and his management team, as well as the Baupost Group. Despite initial concerns, US bankruptcy judge Martin Glenn approved the sale after adding legal restrictions. SVB Financial is facing a battle with Federal Deposit Insurance Corp. for more than $2 billion in cash deposited in the bank.

Blackrock (NYSE:BLK) – Larry Fink, CEO of BlackRock, has expressed increased enthusiasm for Bitcoin (COIN:BTCUSD) as his company seeks regulatory approval for a Bitcoin spot ETF. Fink claimed that cryptography is digitizing gold and can act as a hedge against inflation and currency devaluation. He highlighted the importance of making cryptocurrency more accessible and hopes that regulators will support the democratization of cryptocurrency.

Alphabet (NASDAQ:GOOGL) – PwC Australia allegedly provided confidential information to Google regarding the start date of a new tax law, according to Reuters. This ties in with the scandal involving the accounting firm that was revealed in January. A former partner shared confidential drafts with colleagues that were used to win deals with multinationals. Google has stated that its tax structure changes came after engaging directly with the Australian Tax Office. PwC has not publicly identified any customers in the scandal.

Tesla (NASDAQ:TSLA) – Tesla has cut prices on its Model 3 and Y electric vehicles in Japan by single-digit percentages. Prices for lower-priced Model 3 variants have been reduced by around 3%, while prices for Model Y variants have been reduced by around 4%. Model S and X pricing remained unchanged.

Stellantis (NYSE:STLA) – Stellantis has unveiled its new electric vehicle platform, the ‘STLA Medium’, which will be the foundation for all future models from the automaker. The platform was designed to allow for different propulsion configurations and support state-of-the-art batteries. Stellantis plans to produce up to two million vehicles a year using this platform. The company has ambitious electrification targets for its sales by 2030. In other news, Stellantis-LG Energy Solution will resume construction on a battery factory in Canada following increases in government subsidies. Production is expected to start in 2024, creating jobs and targeting an annual production capacity of more than 45 gigawatt hours. Furthermore, Stellantis does not plan to transfer production of the electric Peugeot e-208 from Spain to France, despite pressure from the French government. Carlos Tavares, CEO of the company, stated that the relocation would not be economically viable.

Nikola (NASDAQ:NKLA) – Nikola announced an increase in wholesale and retail sales of its electric vehicles in the second quarter, indicating a positive sign for the startup. Retail sales doubled to 66 trucks, while wholesale sales rose to 45. The company has faced financial challenges and fierce competition.

Xpeng (NYSE:XPEV) – Chinese electric vehicle manufacturer Xpeng expects strong delivery growth in the second half, driven by its price-competitive new model and smart driving technology. Xpeng has received a large volume of orders for its pure electric G6 crossover, and expects to increase monthly sales to 15,000 units in the third quarter and to more than 20,000 units in the final quarter of the year. The company launched the G6 at a price that was 20% less than Tesla’s best-selling model, and it also introduced advanced self-driving features.

General Motors (NYSE:GM) – General Motors has expressed concerns about proposed EPA emissions rules and other US state and federal regulations, citing compliance challenges related to electric vehicle (EV) requirements. The company stated that a lack of clarity and coordination among regulatory agencies could affect its ability to meet EV targets and remain compliant with regulations. GM reaffirmed its commitment to transition to 50% EVs by 2030 and 100% by 2035, but highlighted the need for greater clarity on compliance requirements.

Mullen Automotive (NASDAQ:MULN) – Mullen Automotive announced the hiring of a law firm to combat illegal short selling activities. The company believes its actions may have been subject to market manipulation and will take steps to expose any wrongdoing. Despite the 85.2% drop in June, the company posted revenue for the first time and is in a good financial position.

Hertz (NASDAQ:HTZ) – On Wednesday, Hertz received a “Buy” recommendation with a $24 price target from Jefferies, which sees growth potential in the car rental company’s pricing and margins, as well as opportunities in EVs. Analysts highlighted the tight vehicle supply and improved margin profile, as well as growth in the ridesharing business and EV partnerships. The company was also praised by other analysts, with a positive performance in the market.

JetBlue Airways (NASDAQ:JBLU), American Airlines (NASDAQ:AAL),  Spirit Airlines (NYSE:SAVE) – JetBlue Airways announced that it will follow the court order to terminate its alliance with American Airlines in order to protect its planned purchase of Spirit Airlines. While it disagrees with the decision, JetBlue will not appeal. American Airlines plans to appeal. The end of the alliance is a setback for American’s strategy to increase revenue. JetBlue intends to develop a retirement plan that will protect consumers.

BP Plc (NYSE:BP) – BP is investing $10 million in California startup WasteFuel, which uses uneaten food and other waste to produce low-emission fuel. The company converts municipal and agricultural waste into sustainable energy, including biomethanol for shipping. BP aims to produce around 100,000 barrels a day of biofuels by 2030 to help decarbonise the transport sector. WasteFuel has selected Dubai as the location for its first project and has plans for future expansion in partnership with BP. Other investors include Maersk and TIME Ventures.

Exxon Mobil (NYSE:XOM) – Exxon Mobil announced that it expects a decrease in second-quarter earnings due to lower natural gas prices in its exploration and production business. The fall in gas prices should impact results by up to US$ 2.2 billion. Scheduled maintenance and lower seasonal demand also contribute to this situation. Full second-quarter results will be released in late July or early August.

Duke Energy (NYSE:DUK) – Duke Energy announced that it will sell its commercial distributed generation business to ArcLight Capital Partners for $364 million. This sale includes REC Solar’s operating assets, as well as projects managed by Bloom Energy. Duke expects to use proceeds from this sale to drive the incorporation of renewable energy into its system and meet its climate goals. The deal is expected to close by the end of 2023.

Vimeo (NASDAQ:VMEO) – Vimeo Inc CEO Anjali Sud will leave the company in August to pursue new opportunities. Adam Gross will take over as interim CEO while the video platform seeks a permanent replacement. The company maintains its financial outlook and intends to accelerate its strategy of making video central to business communication. Vimeo’s stock soared after the announcement.

Lumentum Holdings (NASDAQ:LITE) – Lumentum Holdings was downgraded to “Underweight” from “Equal Weight” by Barclays on Wednesday. While the analyst raised the price target and earnings per share estimate, he considers the stock valuation to be high and unsustainable due to the limited expectation of AI tailwinds.

Affirm (NASDAQ:AFRM) – Shares in Affirm fell 4.7% to $14.70 in premarket trade Thursday after being downgraded to an “Underweight” rating of “Neutral” by Piper Sandler. The price target remained unchanged at $11.