Stock Indexes Wrap: Chip Sell-Off Continues; Energy Stocks 🍬Charge Higher

The Dow

Chevron (CVX) rose 2.6% as energꦜy stocks led the market’s gainers. 

Apple (AAPL) ticked up 0.3% despite becoming 澳洲幸运5官方开奖结果体彩网:the first company to be charged under the EU’s new Digital Markets Act. 

Most of the index’s tech stocks lagged—including Salesforce (CRM), down 2.1%, and Amazon (AMZN), down 1.9%—as the AI sell-off that began last week hastened. 

S&P 500

Nearly all of the index’s top performers Monday were oil and gas companies. SLB (SLB) gained 4%, while Occidental Petroleum (OXY) rose 3.8% and ConocoPhillips (COP) climbed 3.4%. Energy stocks have lagged the broader market for months as AI﷽ has dominated investor interest.

Target (TGT) rose 2.4% after it announced 澳洲幸运5官方开奖结果体彩网:a partnership with Shopify to expand 🎃its third-party digital marketplace,🉐 Target Plus.

ResMed (RMD) slumped 11.4% after Eli Lilly (LLY) 澳洲幸运5官方开奖结果体彩网:published research on Friday suggesting its weightless drug Zepbound could reduce the severity of patients’ sleep apnea, thus threatening ResMed’s sleep mask sales. Eli Lilly shares ticked up 0.8%. Dexcom (DXCM), another medical device maker threatened by the ඣrise of wei🌳ght-loss drugs, slid 5.3%.

Super Micro Computer (SMCI) tumbled 8.7% as last week’s AI sell-off continued. Nvidia (NVDA) dropped 6.7%, making Monday its second-worst day since the beginning of its AI rally in late 2022. Qualcomm (QCOM) shed 5.5%.

Netflix (NFLX) fell 2.5% amid reports of internal talks about offering a free, ad-supported tier to boost advertising revenue. 

Nasdaq 100

Food stocks gained as investors shunned high-growth AI stocks in favor of staples. Mondelez International (MDLZ) advanced 2.9% and Kraft Heinz (KHC) rose 0.8%. 

Chip stocks led the index lower. Arm Holdings (ARM) fell 5.8% and Broadcom (AVGO) declined 3.7%. The companies that sell the equipment required to make the most sophisticated chips, including ASML Holding (ASML) and KLA Corp (KLA), also fell.

Chipotle Stock Pri෴ce—One of the Highest on Record—Holds 🦂Steady Ahead of Split

Chipotle Mexican Grill (CMG) investors will soon see a much larger number of shares in their portfolios after Chipotle stock undergoes a 50-for-1 split after markets close Tuesday, with investors gaining 49 new shares for each one they owned before th꧙e split.

The fast-casual chain 澳洲幸运5官方开奖结果体彩网:announced plans for a split in Mar♋ch, and the move was approved by shareholders at its annual meeting earlier this mon🌠th.

Chipotle shares have climbed steadily since the company's public debut in 2006 at an 澳洲幸运5官方开奖结果体彩网:initial public offering (IPO) price of $22 per share. Shares are up more than 57% over the last year after first closing a🦩bove the $2,000 mark in April 2023.൩

The new shares will be distributed after markets close Tuesday, resulting in 50 times as many shares at a lower price per share, without changing the total value of investors' Chipotle holdings or the company's market capitalization. The first day of Chipotle's split-adjusted trading will be on Wednesday.

Chipotle shares were 0.3% lower at $3,199 late in the session Monday, though they've gained nearly 40% since the start of the year, and last Tuesday closed at a record high of $3,427.61, one of the 澳洲幸运5官方开奖结果体彩网:highest stock prices in history.

-澳洲幸运5官方开奖结果体彩网:Aaron McDade

Affirm Holdings Surges as It Gets a 'Buy' Rating From Goldman Sachs

Shares of Affirm Holdings (AFRM) jumped in intraday trading Monday as Goldman Sachs initiated coverage of the 澳洲幸运5官方开奖结果体彩网:buy now, pay later (BNPL) loan service with a "buy" rating, calling it “the leading provider of modern cr🧜edit solutions for 🍷consumers.”

Goldman also set a price💖 target of $42, a 41% premium to the closing price Friday.

The analysts noted that Affirm had “a diverse portfolio of products for point of sale financing, and every day spending,” and that they were particularly impressed with the sophistication of its underwriting compared with other 澳洲幸运5官方开奖结果体彩网:financial technology (fintech) companies.

Solid underwriting, the analysts said, should allow it to increase its reach with subprime and near-prime borrowers, a market that’s been hard for many lenders to “sustainably participateꦦ in.”

Affirm Holdings shares jumped more than 10% Monday but remained more than 30% lower year-to-dat🐲e. 

-澳洲幸运5官方开奖结果体彩网:Bill McColl

Target Teams With Shopify To Boost Online Sales

Target (TGT) shares advanced in intraday trading Monday after the retailer announced a partnership with the e-commerce platform Shopify (SHOP) to boost its online sales.

Target said the deal will expand Target Plus, its third-party digital marketplace, “through a hand-selected assortment of new and on-trend products."

Merchants who use Shopify c𓃲an apply to sell online on Target Plus through Shopify’s Marketplace Connect app, while some select ones will also be able to make their 💎products available in Target’s physical stores.

Target shares were up more than 2% Monday afternoon, and are up about 5% year-to-date. Shares of Shopify were down 2% and have declined ro🌺ughly 18% in 2024.

-澳洲幸运5官方开奖结果体彩网:Bill McColl

ResMed Shares Plummet on Eli Lilly's Sleep Apnea Trials

Shares of medical device maker ResMed (RMD) tumbled in intraday trading Monday as markets reacted to the results of a pair of 澳洲幸运5官方开奖结果体彩网:Phase 3 clinical trials from drugmaker Eli Lilly (LLY) that cou💧ld spell trouble for ResMed's core business.

Friday afternoon, Eli Lilly released data from two clinical studies that showed the capability of one of the company's 澳洲幸运5官方开奖结果体彩网:popu💫lar weight-loss drugs, Zepbound, to reduce the severity of sleep apnea without the need for a mask that is typically used to treat the disorder.

The company said in Friday's release that it has submitted the drug to the 澳洲幸运5官方开奖结果体彩网:Food and Drug Administration (FDA) to get sleep apnea added to the label as a condition Zepbound can treat, and said it expects "regulatory action" asꦇ early as the end of 2024.

Sleep apnea is ResMed's primary area of treatment, according to its own earnings materials. The company sells medical devices like sleep apnea masks, and generated about $1.2 billion in revenue, mostly from device sales, in its most recent quarter.

ResMed stock was ༒down more than 11% Monday afternoon. Eli Lilly shares were up 2%.

-澳洲幸运5官方开奖结果体彩网:Aaron McDade

Al𒐪nylam Stock Soars on Strongꩲ Results in Heart Drug Study

Shares of Alnylam Pharmaceuticals (ALNY) skyrocketed after the biopharma firm 澳洲幸运5官方开奖结果体彩网:announced strong results from a late-stage study of its𝓰 RNA interference drug for a rare heart condition.

The company reported a Phase-3 trial of its vutrisiran showed “a statistically significant reduction in the composite of all-cause mortality and recurrent cardiovascular (CV) events” in patients suffering from transthyretin amyloidosis with cardiomyopathy, or ATTR-CM. That’s a condition which causes the heart to stiffen and reduces its ability to pump blood. Alnylam added that vutrisiran also produced significant improvements across all secondary endpoints for those treated.

Alnylam said it would be moving ahead with submissions to health officials starting later this year, including asking the 澳洲幸运5官方开奖结果体彩网:Food and Drug Administration (FDA) for a Priority Review Voucher.

Vutrisiran, w💯hich goes under the brand name Amvuttra, has already been approved to treat nerve damage in th🍌ose with hereditary transthyretin amyloidosis.

Alnylam shar꧟es jumped 38%, bringing their year-to-date gain to 20%.

-澳洲幸运5官方开奖结果体彩网:Bill McColl

Apple aꦑnd Meta in Focus After Reportedly Discussing Generativ🐷e AI Partnership

iPhone maker Apple (AAPL) has held discussions with its big tech rival Meta Platforms (META) to integrate the Facebook parent’s 澳洲幸运5官方开奖结果体彩网:generative artificial intelligence 🔥(AI) model 澳洲幸运5官方开奖结果体彩网:into its recently announced personalized AI system, 澳洲幸运5官方开奖结果体彩网:Apple Intelligence, The Wall Street Journal reported on Sunday.

Such a deal would allow Meta to leverage Apple’s vast distribution of users through its iPhones, similar to how software companies gain exposure to millions of potential customers through the tech behemoth’s 澳洲幸运5官方开奖结果体彩网:App Store.

Apple, which recently 澳洲幸运5官方开奖结果体彩网:partneredꦏ with ChatGPT owner OpenAI and said it wants to integrate with Google’s Gemini, has also discussed adding generative AI technology developed by startups Anthropic and Perplexity into Apple Intelligence, people familiar with the discussion told the Journal,ౠ adding that talks held with Meta haven’t been finalized and could fall through.

While the 50-day 澳洲幸运5官方开奖结果体彩网:moving average crossed above the 200-day MA to form a bullish 澳洲幸运5官方开奖结果体彩网:golden cross pattern around the same time Apple shares broke out to a new rec⛦ord high earlier this month, the price has♈ recently retraced, increasing the likelihood for further weakness this week.

Looking ahead, investors should monitor the key $197 level, an area where the price finds support from a 澳洲幸运5官方开奖结果体彩网:horizontal line linking several prominent peaks ꦓover the past eleven months.

Since gapping more than 10% lower after issuing 澳洲幸运5官方开奖结果体彩网:weak revenue guidance in late April, Meta shares have continued to trend mostly higher, closing the gap and cli🤡mbing ba𓂃ck above the 50-day MA. 

If the stock moves lower, investors should keep an eye on the $446 level, an area where the price may find buying interest around a multi-month horizontal line. Conversely, an upside move may run into selling pressure near the stock’s 澳洲幸运5官方开奖结果体彩网:all-time high (ATH) set in early April at $531.49.

Apple shares rose almost 2% and are up around 10% this year; Meta's stock is 1% higher, bringing its year-to-date gain to more than 40%.

-澳洲幸运5官方开奖结果体彩网:Tim Smith

🍬RXO Surges After Buying Coyote Logistics Unit From UPS for More Than $1 Bilಞlion

RXO (RXO) shares soared in intraday trading Monday, a day after the package delivery firm 澳洲幸运5官方开奖结果体彩网:purchased Coyote Logistics, the third-party asset-light freight brokerage unit of United Parcel Service (UPS), for $1.025 billion in cash. 

RXO said the addition of Coyote will create the third-largest provider of brokered transportation in North America. The company noted that the deal will be “immediately and significantly accretive to RXO’s adjusted diluted earnings per share and adjusted 澳洲幸运5官方开奖结果体彩网:free cash flow.”

澳洲幸运5官方开奖结果体彩网:Chief Executive Officer (CEO) Drew Wilkerson explained that the acquisition “will increase the number of customers that do more than $1 million in business with us by approximately 80%.” He added that R𝕴XO would get “both immediate and long-term opportunities for revenue and earnings growth.”

The transaction is ex꧅pected to be completed by the end of the year.

The news sent ൲shares of RXO up more than 18%, although they are just up 3% in 2024. UPS shares rose 1%.

-澳洲幸运5官方开奖结果体彩网:Bill McColl

Nvidia Stock in Sp🌸otlight After Drop From Record ꦍHigh

澳洲幸运5官方开奖结果体彩网:Artificial intelligence (AI) chipmaker Nvidia (NVDA) 澳洲幸运5官方开奖结果体彩网:remains in the spotlight after shares dropped from their record high on Thursday.

Despite little in the way of company-specific announcements late last week, investors may have used a rare moment of broad market weakness for 澳洲幸运5官方开奖结果体彩网:profit-taking following the stock’s 澳洲幸运5官方开奖结果体彩网:meteoric rise this year amid the AI boom.

Since finding support around the 50-day moving average in April last year, Nvidia shares have tracked sharply higher, with investors viewing any dips as buying opportunities. However, Thursday’s intraday reversal from their 澳洲幸运5官方开奖结果体彩网:all-time high (ATH) created a 澳洲幸运5官方开奖结果体彩网:bearish engulfing pattern, a candlestick formation that warns of a potential downside rever💎sal, especially after a significant price advance.

If Nvidia’s price continues to retrace this week amid a shift in 澳洲幸运5官方开奖结果体彩网:sentiment, investors may keep an eye on chart levels around $119 and $110, both areas where the stock could find support from minor 澳洲幸运5官方开奖结果体彩网:pullbacks over the past three weeks. A failure to hold these key regions could see the shares revisit a horizontal 🐟lin༒e near $97 that connects several prior record highs.

Nvi🧸dia shares fell almღost 4% in early trading on Monday, but remain up more than 145% so far this year.

-澳洲幸运5官方开奖结果体彩网:Tim Smith

Stock Futures Mixed in Premarket Trading

Futures contracts coꦡnnected to the Dow Jones Industrial Average were up 0.2% in premarket trading on Monday.

S&P 500 futures were little changed.

Nasdaq 100 futures fell 0.2%.