MARKET MOVERS
- Apple sells $5.5 billion of bonds to fund buybacks The longest portion of the offering, a 40-year security may yield around 150 basis points over US Treasuries. Proceeds from the sale are earmarked for general corporate purposes, including the financing of share buybacks and dividends, said the person, who asked not to be identified as the details are private.
- Amazon launches same-day delivery from some brick-and-mortar retail brands. To start, Amazon is offering same-day delivery from apparel stores PacSun, Diesel, and Superdry, as well as vitamin retailer GNC, in 10 cities across the U.S. The service is free for Prime members when they spend $25 or more, or $2.99 if they spend less than $25. Amazon continues to invest heavily to make one-day and, in some areas, same-day, delivery the default for its Prime members.
- Demand for commodities indicates we’re not in a recession, Goldman’s top oil analyst says. Jeff Currie, the firm’s global head of commodities research, said that demand for commodities remains strong, suggesting the U.S. is not in a recession. Currie noted that while a slowdown is occurring, demand is not contracting. This “key point,” as he called it, is getting lost in the broader narrative. Read more here.
- Nikola buys Romeo Power for 11% of the battery maker's SPAC valuation. The all-stock transaction between the two manufacturers values Romeo Power at about $144 million. That’s only about 11% of the roughly $1.33 billion value at which California-based Romeo Power agreed to merge with a SPAC. Nikola is Romeo Power’s largest customer and has agreed to provide $35 million of interim funding to help its supplier keep operating until the deal closes.
- Pinterest climbs on user numbers and investment even as financials disappoint. Pinterest posted disappointing financial results and gave guidance that missed Wall Street expectations, but user numbers were better than expected. The company blamed a weak advertising market for its revenue miss, following similar comments from Meta, Twitter, and Snap. Elliott Management confirmed that its Pinterest’s biggest investor and said it has “conviction” in the company.
WHAT TO WATCH
- Schwab Asset Management to list crypto ETF on NYSE. Finance giant Schwab Asset Management (SCHW) said its first crypto-related exchange-traded fund will be listed on NYSE from Aug. 4. The ETF will trade under the ticker STCE and will track Schwab's Crypto Thematic Index, the company said in a press release. Schwab's ETF will provide investors with exposure to companies that may benefit from the development or utilization of cryptocurrencies.
- Luxury jewelry brand Tiffany and Co. is putting CryptoPunks on-chain. Diamond chains. The company is selling 250 customized, diamond-encrusted pendant necklaces for 30 ETH (around $50,000) a pop to holders of the famed collection. Each necklace will include a combination of 30 diamonds and gemstones and will go on sale on Aug. 5 and are only available for CryptoPunk holders to purchase. Read more here.
- Estée Lauder is reportedly in talks to buy the luxury brand, Tom Ford. The deal could be a $3 billion or more deal representing the cosmetics giant’s largest-ever acquisition. Estée Lauder has been an active acquirer over the years, but its deals have been relatively small. Estée Lauder is especially interested in the beauty business, with which it already has a longstanding licensing deal, and could potentially look to license the clothing lines elsewhere. Read more here.
- Build-to-rent single-family homes are on the rise. Build-to-rent communities have gained traction as homeownership has gotten further out of reach for upcoming generations. These communities allow residents to experience the lifestyle a single-family home offers without the large down payment or long-term financial commitment of buying. Around $40 billion is expected to be invested in build-to-rent single-family homes over the next 18 months. Read more here.
- Tesla could become the new Standard Oil. Eddie Alterman says Tesla's got the best supercharger network right now. He thinks the other fast charging stations are terrible in performance compared to Tesla's. Elon Musk just needs to build more of those supercharges across the country and Tesla will basically be another monopoly. It will be like Standard Oil all over again. Source(21:27)
