Here are the key news, trends and analyzes that investors need to start their trading day:
1. Dow set to bounce, aided by gains in J&J stocks on split levels
Traders on the floor of the NYSE, October 28, 201[ads1]2.
US stock futures rose on Friday, aided by the pre-market strength of the Dow component Johnson & Johnson on plans to split into two companies. The US bond market reopened on Friday after the Veterans Day holiday, with the 10-year government bond yield flat, following this week’s rise following hot inflation data. The government is out with its job opening and job turnover survey at 10 ET. JOLTS in September is expected to show vacancies falling to 10.2 million after last month’s 10.4 million, driven by record redundancies. The Nasdaq and S&P 500 picked up again on Thursday. But the Dow Jones Industrial Average fell for a third consecutive session, pulled down by Disney’s 7% decline in disappointing quarterly results. The Dow stock Disney was modestly higher in Friday’s advance market.
2. J&J shall be divided into two companies: Consumer products, medical
Johnson & Johnson logo
SOPA pictures | LightRocket | Getty pictures
J&J shares rose about 3% in the pre-market after the health giant announced on Friday that it was splitting into two listed companies: one focused on consumer products, such as plasters and baby powder, and the other focused on medical equipment and medicines. , including the Covid vaccine. Johnson & Johnson was already in a big transition, as CEO Alex Gorsky has previously announced that he will resign in January. Joaquin Duato, who was chosen as Gorsky’s successor, will lead the new J&J after the separation of the consumer unit. The announcement is the second time this week that a large American company has revealed intentions to split itself. General Electric said on Tuesday that they plan to split into three companies, focusing on aviation, healthcare and energy.
3. Rivian founder RJ Scaringe is now worth over $ 2 billion since listing
RJ Scaringe, founder and CEO of Rivian Automotive, speaks after unveiling the R1S electric sports utility vehicle (SUV).
Bloomberg | Bloomberg | Getty pictures
Shares in Rivian Automotive rose nearly 4% in Friday’s advance market, a move that will increase the recent public electric carmaker’s two-day gain of 57%. Since Wednesday’s debut, Rivian’s market capitalization has risen to $ 105 billion and CEO RJ Scaring’s stake in the company he founded in 2009 was valued at $ 2.2 billion. Rivian, which has Amazon and Ford as supporters, pales in comparison to Tesla’s market value of more than 1 trillion dollars. Elon Musk, worth more than 275 billion dollars, took a shot at his rival on Thursday, saying that high production and break-even cash flow will be the true test for Rivian.
Singles Day, while dampened by China’s breakdowns, still had record sales
Delivery workers sort packages at a makeshift logistics station near the Central Business District (CBD) during the Singles’ Day Shopping Festival in Beijing, China on November 11, 2021.
Tingshu Wang | Reuters
Alibaba and JD.com raised around $ 139 billion in sales across their platforms at China’s Singles Day shopping event, setting a record. Singles Day used to be just a 24-hour affair, but it has turned into a multi-day extravaganza, ending at midnight on November 11. The highest sales ever come despite concerns about the strength of the Chinese consumer and the impact of Beijing’s crackdown on technology companies. Singles Day was a bit more subdued this year as Chinese technology companies continued to face scrutiny from regulators and Chinese President Xi Jinping’s pressure for so-called common prosperity.
5. Chinese President Xi further consolidates the leadership of Economy No. 2
Xi Jinping, Secretary General of the CPC Central Committee of the Chinese Communist Party, Chinese President and Chairman of the Central Military Commission, delivers an important speech at a ceremony marking the 100th anniversary of the founding of the CPC in Beijing, China’s capital, July 1, 2021.
Ju Peng | Xinhua News Agency | Getty pictures
Xi took another step to strengthen his grip on China, the world’s second largest economy, and to advance his vision of a strong Chinese Communist Party-dominated system. On Thursday, he joined the ranks of Mao Zedong and Deng Xiaoping as the country’s third leader to oversee a “historic resolution” at the conclusion of the much-watched CCP meeting. Party officials called Xi a “helmsman” and a “leader” on Friday, in a demonstration in support of his continued leadership. These terms were descriptions used more than 50 years ago during the cult of personality around Mao. Xi and US President Joe Biden are expected to hold a virtual meeting on Monday.
– Reuters contributed to this report. Follow all the marketing action like a pro CNBC Pro. Get the latest news about the pandemic CNBC’s coronavirus coverage.