Dow pares losses thanks to Amazon bump after DoD cancels $10B Microsoft cloud computing contract

Dow pares losses thanks to Amazon bump after DoD cancels $10B Microsoft cloud computing contract

Proactive Investors

Published

4:22pm: Nasdaq recovers from midday swoon The Dow closed down 209 points, 0.6%, at 34,577, after dipping as low as 34,358. The Nasdaq managed to salvage a positive day after a brief plunge into the red, climbing 24 points, 0.2%, to 14,664. The S&P 500 lost 9 points, 0.2%, to 4,344, ending a seven-day winning streak. Amazon.com Inc (NASDAQ:AMZN) stock surged nearly 5% to $3,675.74 after the US Department of Defense canceled its $10 billion Joint Enterprise Defense Infrastructure contract with Microsoft Corporation (NASDAQ:MSFT), according to media reports. Going forward, both companies will be solicited for cloud computing proposals. 12:22pm: S&P 500 winning streak appears likely to end The Dow was down 365 points, 1.1%, to 34,421 at midday in New York. The Nasdaq started higher but has since fallen to a 96 point deficit, a loss of 0.7%, to 14,543. The S&P 500 gave back 38 points, 0.9%, to 4,315. A losing day would end a seven-day winning streak for the S&P 500. "US Treasury yields are on the slide once again today, with a downturn in economic data doing little to boost sentiment around the recovery pathway," IG Senior Market Analyst Joshua Mahony wrote. "European markets have slumped alongside US indices, which appear to be resurfacing from their extended weekend with a largely pessimistic tone." Meanwhile, the 10-year Treasury yield has fallen below 1.4%. 11am: Proactive North America headlines: Recruiter.com Group Inc (NASDAQ:RCRT)  says latest survey shows high recruiter confidence but potential talent shortages Newrange Gold Corp (CVE:NRG) (OTCMKTS:NRGOF) (FRA:X6C) follow-up drilling discovers potential extension of historic Pamlico gold mine in Nevada Camino Corp (CVE:COR) (OTCPINK:CAMZF) says geophysical survey of copper and gold targets is underway at its Los Chapitos project in Peru Numinus Wellness Inc (CVE:NUMI) strikes deal to acquire Neurology Centre of Toronto, establishing psychedelic centre of excellence PyroGenesis Canada Inc (TSE:PYR) (NASDAQ:PYR) (FRA:8PY) signs $4M contract with HPQ Polvere as part of project to transform quartz into fumed silica KushCo Holdings Inc (OTCQX:KSHB) begins collecting votes for its proposed merger with Greenlane Holdings Talon Metals Corp (TSE:TLO) (OTCMKTS:TLOFF) (FRA:TAO) announces first assays for newly discovered pool of massive nickel-copper mineralization Thesis Gold Inc (CVE:TAU) (FRA:011) identifies several prospective targets, including Golden Furlong, at flagship BC project Trillion Energy International Inc (CSE:TCF) (OTCMKTS:TCFF) (FRA:3P2N) kicks off SASB gas development project in the Black Sea Alpine 4 Holdings Inc (OTCQB:ALPP) says subsidiary Alt Labs secures $2M order to produce gut health nutritional product line Psyched Wellness Ltd (CSE:PSYC) (OTCQB:PSYCF) (FRA:5U9) says preclinical study showed no adverse effects from Amanita muscaria-derived products ImagineAR Inc (CSE:IP) (OTCMKTS:IPNFF) (FRA:GMS1) signs C$185,000 white label app deal with entrepreneurship empowerment org BlackOwned Victory Resources Corporation (CSE:VR) (OTCPINK:VRCFF) (FRA:VR61) fast tracks permit process at Smokey after identifying high lithium values Algernon Pharmaceuticals Inc (CSE:AGN) (OTCQB:AGNPF) (FRA:AGW) says no Phase 3 coronavirus trial for Ifenprodil but it will continue to investigate the drug for other disease Clean Air Metals Inc (CVE:AIR) (OTCQB:CLRMF) (FRA:CKU) intersects multiple PGE massive sulfide veinlets at Escape Lake deposit on Thunder Bay North project Vanstar Mining Resources Inc (CVE:VSR) (OTCMKTS:VMNGF) (FRA:1V8) reveals drilling plans for the Nelligan project in Quebec Nextech AR Solutions Corp (OTCQB:NEXCF) (NEO:NTAR) (CSE:NTAR) (FRA:N29) lands multi-year contract with one of Fortune’s 2021 World's Most Admired Companies Silvercorp Metals Inc (TSE:SVM) (NYSEAMERICAN:SVM) (FRA:S9Y) hits high-grade veins in and above production areas with exploration drilling at SGX mine Orgenesis Inc (NASDAQ:ORGS) (FRA:45O) says Ranpirnase advancing towards multiple indications after FDA consultation and presentation of positive results Maverix Metals Inc (NYSEAMERICAN:MMX) (TSE:MMX) (FRA:7781) says recent asset news augurs well for organic growth CytoDyn Inc (OTCQB:CYDY) granted important US patent for methods of treating coronavirus infection with leronlimab Mawson Gold Limited (TSE:MAW) (OTCPINK:MWSNF) (FRA:MXR) hits continuing mineralization at depth and increasing antimony grades at Sunday Creek, Australia Ximen Mining Corp (CVE:XIM) (FRA:1XMA) (OTCQB:XXMMF) acquires the Wild Horse Creek property in the Kimberly gold trend 9.37am: Wall Street opens mixed The main indices on Wall Street opened on a mixed footing on Tuesday as traders searched for direction following the long July 4th weekend. Shortly after the opening bell, the Dow Jones Industrial Average was down 0.17% at 34,726 while the S&P 500 was flat at 4,352 and the Nasdaq rose 0.26% to 14,677. While the market as a whole wasn’t sure which way to turn, shares in troubled Chinese ride-hailing giant Didi Global Inc (NYSE:DIDI) were pointing firmly downwards as a regulatory crackdown on the firm in China sent the shares plunging 22.8% to US$11.98 in early deals. 7:55am: Wall Street to make mixed start Markets on Wall Street are set to open mostly lower on Tuesday as traders return after the long Independence Day weekend. Spread betting quotes suggest the Dow Jones industrial average will open 41 points lower at 34,745 and the S&P 500 4 points easier at 4,352. The tech-heavy Nasdaq 100, however, is expected to eke out a five-point rise at 14,733. Oil stocks are likely to be in focus after the OPEC+ talks ended in disarray yesterday. “Official OPEC+ negotiations have broken down but back-channel discussions continue. The negotiations have been very difficult because the UAE is touching upon the very nerve of the core strategy of OPEC+: to keep investments in check,” said SEB’s chief commodities analyst, Bjarne Schieldrop. “The UAE is planning to spend USD 25 bn to 2030 and lift its production/capacity by 56% from 3.2 m bl/d to 5 m bl/d. All of OPEC+ obviously cannot do the same. At the same time, the UAE cannot both have a lot more market share and still stay within a capex disciplined OPEC+,” he noted. “The best solution right now would be to decide to lift production by 0.4 m bl/d in August and then continue with the current difficult discussion about an extension of the current deal to December 2022 and what baselines to use. If production caps stays unchanged for August, it is likely that production will increase by 0.4 m bl/d anyhow and the group would look irresponsible and get a lot of political heat from both China and the US on top,” the Nordic investment bank’s commodities analyst added. The ISM services reading for June is the key US economic release today, although Daiwa Capital Markets observed it will probably carry less weight than usual with the June employment report already released last week. “Daiwa America’s Mike Moran expects the headline index to remain close to last month’s record reading of 64, while Markit’s less-followed services PMI should print in the same ballpark based on last month’s flash reading,” the Japanese broker said. Four things to watch for on Tuesday: Firms reporting earnings today include memory and data storage group SMART Global Holdings Inc (NASDAQ:SGH), plastic recycling group Loop Industries Inc (NASDAQ:LOOP) and water group Pure Cycle Corp (NASDAQ:PCYO) Ride-hailing app DiDi Global Inc (NYSE:DIDI) will be in focus as a crackdown on the firm by Chinese authorities sent its shares tumbling in pre-market trading Meanwhile, Facebook Inc (NASDAQ:FB) and Google, owned by Alphabet Inc (NASDAQ:GOOGL) could be eyed after they joined other tech giants in warning they could pull out of Hong Kong amid concerns over a new privacy law in the territory On the macro front, aside from the latest US services PMI there could also be interest in the latest business activity and economic optimism readings

Full Article