S&P 500 falls from high, as private payrolls disappoint
The S&P 500 fell from record highs on Wednesday, as markets reacted to a weaker than expected private payrolls report.
ADP payrolls added 330,000 new positions in July, which was the lowest increase in jobs since February this year.
After revised figures showed a 680,000 rise in June, markets had expected last month’s number to come in at around 653,000.
Many believe the disappointing addition to jobs comes as Americans continue to opt to remain unemployed, due to the current benefits that are set to expire in September.
As of writing, the S&P 500 was trading 0.34% lower.
Robinhood up 100% week on from IPO
After rallying by as much as 25% in yesterday’s session, many would have been mistaken to believe that gains in Robinhood would end there.
Just 6-days after its initial public offering last week, shares in $HOOD have now more than doubled its IPO price.
Wednesday’s rally saw shares in the newly listed firm climb by as much as 80% today, hitting an intraday high of $85 per share.
Robinhood, which benefited from last year’s increase in retail stock trading, has now also won the confidence of Cathy Wood, who’s ARK Investment firm was said to have bought 89,622 shares of HOOD.
Shares in $HOOD were up by roughly 47.40% as of writing.
GM stock drops 10% despite strong revenue
Unlike Robinhood, shares in General Motors were down by over 10% in today’s session, despite the company posting better than expected earnings.
GM reported that revenue for the second quarter of 2021 came in at $34.17 billion vs. $30.9 billion expected, however its EPS fell below expectations.
It’s earnings per share for Q2 was reported at $1.97 vs. $2.23 expected, which many believe were due to recall charges.
Earnings were rumoured to have been weighed down by some $1.3 billion in warranty recall costs, in addition to a $800 million investment related to Chevrolet electric vehicles.
Quote of the day – “In trading/investing, it’s not about how much you make but rather how much you don’t lose.”– Bernard Baruch