- Dow’s Remarkable Streak: The Dow Jones has achieved an impressive 13 positive sessions, a feat not seen on Wall Street since 1987. If it manages to hit 14 on Thursday, it’ll tie a record dating back to a remarkable 1897, shortly after its creation. The recent win came after the Federal Reserve raised its benchmark rate by a quarter point to the highest level in 22 years. Federal Reserve Chairman Jerome Powell acknowledged moderating inflation but highlighted the need for further progress. The possibility of the Fed holding steady at the September policy meeting remains open.
- McDonald’s Victory: McDonald’s success owes thanks to a viral promotional campaign centered around its big, purple mascot, Grimace. The campaign drove customers to the company’s restaurants, contributing to a strong quarter. Sales experienced growth across the board, with China rebounding and the United Kingdom and Germany showing robust sales growth. In the U.S., the company’s largest market, sales surged by 10.3% in the quarter.
- Meta’s Strong Showing: Mark Zuckerberg’s Meta exceeded Wall Street’s estimates with its earnings report on Wednesday. However, what truly impressed investors was its guidance for the current quarter, which surpassed analysts’ expectations. Facebook’s digital advertising revenue rebounded, driven in part by Chinese companies and online retailers, according to Meta’s CFO Susan Li. Investors seem less concerned about the company’s metaverse business losses, leading to an 8% boost in Meta’s stock during extended trading. As of Wednesday’s close, the stock has already risen by 160% this year.
- Shell’s Declining Profit: Oil giant Shell reported a significant profit decline in the second quarter, impacted by falling commodity prices globally. While analysts had anticipated the decrease, given last year’s unusually high profits, the adjusted profit figure of $5.1 billion fell short of the $6 billion estimate. French oil giant TotalEnergies also reported a notable drop in earnings, with CEO Patrick Pouyanne noting a “favorable but softening oil and gas environment.”
- Comcast Beats Expectations: Despite cord-cutting and slowing broadband growth, Comcast, the cable, and entertainment giant, achieved another profitable quarter, surpassing Wall Street’s expectations. The company’s fledgling streaming service, Peacock, incurred financial losses, despite nearly doubling its subscriber count from the previous year. However, Comcast’s theme parks performed well, with Super Nintendo World driving attendance in Hollywood, though revenue at its Orlando, Florida park experienced a slight dip. (Disclosure: Comcast owns NBCUniversal, CNBC’s parent company).”
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