Global Market Update
Canadian Markets
Canada’s TSX rose on a combination of factors that provided a favorable backdrop for the commodities-heavy index. Higher gold prices played a pivotal role, driven by a decline in the U.S. dollar. The greenback’s weakness was attributed to growing uncertainty surrounding President-elect Donald Trump’s tariff plans, which raised concerns about potential disruptions to global trade. Additionally, China’s central bank bolstered gold markets by increasing its gold reserves for the second consecutive month, signaling strong demand and adding further support to the precious metals sector.
American Markets
U.S. stock indices showed mixed performance, with the Nasdaq leading the way in the red, which was impacted by a significant drop in Nvidia’s stock, which weighed heavily on the tech-heavy index. Market participants adopted a cautious stance ahead of key economic data releases, including job reports and inflation figures, as well as awaited policy direction from the incoming Trump administration, leaving investors on edge about future fiscal and trade policies.
European Markets
In Europe, shares rose broadly as inflation data met expectations, soothing fears of runaway price increases and reinforcing the outlook for steady monetary policy.
UK equities lagged behind, pressured by weakness in financial and healthcare stocks, which faced headwinds from regulatory concerns and sector-specific challenges.
Corporate Stock News
AbbVie Inc
- Lowered its 2024 adjusted profit forecast due to $1.6 billion in acquisition and R&D expenses.
- Revised 2024 adjusted EPS to $10.02-$10.06 from $10.90-$10.94.
Alphabet Inc
- Facing a U.S. labor board complaint as a joint employer of contract workers, requiring union negotiations.
Apollo Global Management Inc
- Partnering in the C$8 billion acquisition of GFL Environmental’s services division.
Apple Inc
- In discussions with Indonesia’s industry minister regarding investment prerequisites for iPhone 16 sales.
Blue Owl Capital Inc
- Hired Yoichi Nakamura as Managing Director and Head of Japan Private Wealth.
Boeing Co
- Criticized by outgoing U.S. transportation secretary for ongoing cultural issues after a 737 MAX 9 incident.
Canadian National Railway
- Upgraded to “overweight” by JPMorgan, citing strong EPS growth outlook for 2025.
Coca-Cola Co
- Piper Sandler initiates “overweight” rating with a target price of $74 due to growth in emerging markets.
Denali Therapeutics Inc
- Experimental ALS drug DNL343 failed to meet main and secondary trial goals.
Exxon Mobil Corp
- Filed a lawsuit against California AG and environmental groups over alleged defamation of recycling initiatives.
Flowco Holdings
- Seeking up to $2 billion valuation through IPO, pricing shares at $21-$23.
Getty Images Holdings Inc & Shutterstock Inc
- Announced a $3.7 billion merger to navigate the AI era, raising potential antitrust concerns.
GFL Environmental Inc
- Selling its environmental services division for C$8 billion while retaining a C$1.7 billion equity stake.
KKR & Co Inc
- Exploring the sale of supermarket chain Seiyu for several billion dollars.
McDonald’s Corp
- Scaling back diversity practices citing legal changes; renames its diversity team “Global Inclusion Team.”
Meta Platforms Inc
- Added Dana White, Charlie Songhurst, and John Elkann to its board, aiming to advance AI and wearables.
Microsoft Corp
- Announced a $3 billion investment in AI and Azure expansion in India.
Nvidia Corp
- Unveiled new AI-driven products, gaming chips, and its first desktop computer at CES 2025.
NXP Semiconductors NV
- Acquired Austria’s TTTech Auto for $625 million to strengthen automotive software solutions.
Phillips 66
- Acquired EPIC NGL pipeline assets for $2.2 billion to enhance natural gas liquid operations.
Southwest Airlines Co
- Entered sale and leaseback deals for 36 Boeing 737-800 jets, generating $871 million.
Suncor Energy Inc
- Suncor achieved higher upstream production (874,000 bpd) and refinery throughput (487,000 bpd) in Q4 2024.
Tesla Inc
- NHTSA opened a probe into crashes involving the “Actually Smart Summon” feature.
Ulta Beauty Inc
- Announced CEO transition to Kecia Steelman and raised Q4 forecasts for sales and margins.
STA Research (StockTargetAdvisor.com) is a independent Investment Research company that specializes in stock forecasting and analysis with integrated AI, based on our platform stocktargetadvisor.com, EST 2007.
