Global Markets
Canadian Markets
Canada’s main stock index advanced on the back of rising gold prices, which saw gains as investors sought safety amid global economic uncertainty. The TSX Composite Index was buoyed by strong performances in mining and materials sectors, offsetting weaker energy stocks on falling oil prices.
American Markets
American markets traded lower as fresh inflation data revealed that the Personal Consumption Expenditures price index in October remained flat, failing to provide clear direction on future Federal Reserve monetary policy. The subdued inflation figures did little to reassure investors already navigating a volatile market landscape. Additionally, the U.S. dollar weakened as investors became cautious about President Trump’s tariff rhetoric and rebalanced their portfolios ahead of the month’s end, contributing to further uncertainty in equity markets.
European Markets
European markets also faced downward pressure, driven by a sell-off in automobile stocks. The sector was hit hard by disappointing earnings and weaker demand forecasts. Meanwhile, political instability in France, exacerbated by nationwide protests and strikes, weighed on its CAC 40 Index, dragging it lower. Broader European benchmarks also saw declines, reflecting the regional impact of sluggish economic data and geopolitical tensions.
Japanese Markets
Japan’s Nikkei closing in negative territory as a stronger yen, often a sign of risk aversion, placed additional pressure on export-oriented stocks. Concerns about ongoing tariff disputes further dampened investor sentiment across the region.
Corporate Stock News
Barrick Gold Corp
The Ontario Superior Court dismissed a case against Barrick Gold brought by Tanzanian residents, citing a lack of jurisdiction to consider the claims. The lawsuit alleged that Barrick exercised “effective and practical control” over local police stationed at the mine, who were reportedly involved in security incidents. Barrick stated that the case was improperly filed in Canada, as it lacked relevance to the Canadian legal system.
Brookfield Asset Management Ltd
Brookfield Asset Management has reportedly decided to abandon its pursuit of Spanish pharmaceutical company Grifols. Sources indicate the decision stems from a disagreement over the company’s valuation. While the exact reasons for the divergence remain undisclosed, the news sent Grifols’ shares tumbling. Sources also hinted at the possibility of talks resuming in the future, though nothing has been confirmed.
Alimentation Couche-Tard Inc
National Bank of Canada raised its target price for Alimentation Couche-Tard to C$87 from C$85. The upgrade follows the company’s solid second-quarter results, reflecting confidence in its growth trajectory and operational efficiency.
Stllr Gold Inc
National Bank of Canada initiated coverage on Stllr Gold Inc., assigning a target price of C$2. The bank highlighted the substantial resource potential of Stllr Gold’s Canadian mining assets, underscoring its long-term value proposition in the gold sector.
Autodesk Inc
Autodesk reported better-than-expected third-quarter revenue of $1.57 billion, exceeding analyst estimates of $1.56 billion. The company also adjusted its annual revenue forecast upward, now projecting $6.12 billion to $6.13 billion, slightly improving from its previous outlook. Autodesk announced Janesh Moorjani as the new CFO, effective Dec. 16, replacing interim CFO Elizabeth Rafael. Despite the positive earnings, shares dipped in extended trading as investors expressed concerns over growth expectations.
CrowdStrike Holdings Inc
CrowdStrike raised its annual revenue and profit forecasts following robust third-quarter results, driven by strong demand for cybersecurity services amid rising online threats. Revenue rose 29% to $1.01 billion, surpassing estimates of $982.4 million. However, shares fell in extended trading as its fourth-quarter revenue guidance of $1.03 billion to $1.04 billion narrowly aligned with analyst expectations, failing to ignite investor enthusiasm.
Dell Technologies Inc
Dell issued a conservative fourth-quarter revenue forecast, projecting $24 billion to $25 billion, below the consensus estimate of $25.57 billion. The company continues to face challenges in its PC business, with revenue from the client solutions group falling short of expectations. However, Dell’s infrastructure solutions unit, which includes AI servers, delivered strong growth, beating estimates with a 34% revenue increase to $11.37 billion.
HP Inc
HP forecasted weaker-than-expected first-quarter profit, citing persistently sluggish demand in the PC market. Analysts highlighted that AI-enabled PCs have yet to demonstrate clear benefits to drive demand. For fiscal 2025, HP expects adjusted earnings per share of $3.45 to $3.75, aligning with market expectations. Fourth-quarter revenue rose slightly to $14.1 billion, meeting estimates.
Nordstrom Inc
Nordstrom slightly raised its annual comparable sales forecast, now expecting 1%-2% growth. The retailer’s third-quarter revenue of $3.46 billion exceeded analysts’ expectations of $3.35 billion. Despite strong full-price sales and improved gross margins, inventory growth outpaced sales, leading to caution among investors.
Workday Inc
Workday’s forecasted fourth-quarter subscription revenue fell just below Wall Street expectations, coming in at $2.03 billion versus estimates of $2.04 billion. The company reported a strong third quarter, with revenue of $2.16 billion beating expectations and adjusted EPS of $1.89 surpassing estimates. Workday also appointed Rob Enslin as president and chief commercial officer, signaling a strategic shift to bolster its executive team.
IPO: Pony.ai Inc
Pony.ai raised $260 million through its U.S. initial public offering, valuing the company at approximately $4.55 billion. The robotaxi firm sold 20 million American depositary shares at $13 each, the top of its targeted range. It also raised an additional $153.4 million through a concurrent private placement, with trading set to commence on the Nasdaq.
Chevron Corp
Chevron criticized California’s new legislation requiring oil refineries to maintain minimum fuel inventories, calling it “flawed.” The law aims to prevent fuel shortages and stabilize prices but imposes fines of at least $100,000 per day for noncompliance. Chevron expressed concerns about operational and financial implications, emphasizing the need for collaboration with regulators.
HSBC Holdings Plc
HSBC lost its appeal against a $33.4 million EU fine for its role in a cartel that attempted to manipulate Euribor interest rates between 2005 and 2008. The decision by the EU’s second-highest court leaves HSBC the option to appeal to the European Court of Justice.
Solaredge Technologies Inc
Solaredge announced it would shut down its energy storage division and lay off 12% of its workforce to focus on its core solar operations. This decision led to a rise in its share price as investors welcomed the cost-cutting measures and renewed focus.
Southwest Airlines Co
The FAA decided against immediate corrective actions following a review of bird strike incidents involving Boeing 737 MAX planes operated by Southwest Airlines. The agency will address the issue through standard regulatory processes, with potential fixes affecting the certification timeline for Boeing’s MAX 7 and MAX 10 models.
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.
