Apple layoffs | Calamatta Cuschieri

The article gives an overview of the market on Wednesday. It also explores Apple’s layoffs and a possible Brexit turnaround

Apple Inc.’s logo
Apple Inc.’s logo

European markets closed higher on Wednesday as investors went through the strong data from the U.S. and looked at how Brexit is developing. The Stoxx 600 closed 0.5% higher with most of the sectors in the green. The market would have closed for in the red however a stream of good news early in the morning in the US helmed the markets pushed the Index into positive territory. The retail sector was the best performer gaining 2% for the day helped by Marks & Spencer’s and Ocado’s reports that they are planning to start a new online food delivery system.

The US market had a negative trading day on Wednesday after a heavy political and geo-political news. The Dow Jones dropped 72.82 points while the S&P500 closed 0.1% to close at 2,792.38. The most negative point of the day was when a US trade representative announced that a trade deal with China was far from a certainty. He eluded to the complexity of the deal that has to include methods of enforcement and not just promises. Shares of Lowe climbed 2.5% after releasing better than expected quarterly results while General electric gained 2.1% after a Merrill lynch upgrade.

MSE was up on Wednesday with the MSE Total Return Index gaining 0.076% to close at 8,951.29.  There were three winners namely, RS2 plc, Malta International Airport plc and Malta post plc gaining 0.72%, 0.78% and 1.85% respectively. The losers were similarly three with Plaza Centres plc, PG plc and BMIT losing 0.97%, 0.73% and 1.87% respectively.

Apple layoffs

Apple is laying off 190 employees from its struggling self-driving department. The unit famously called by Musk as the “Tesla Graveyard”, has changed focus a number of times and has of yet to create a profit generating product. Most of the layoffs are expected to be in hardware and software engineers. Apple has ranked third out of all US firms in autonomous car permits but last in driver disengagement.

U.K.’s opposition party to lobby for second referendum

The labor party announced on Wednesday night that it was going to file a parliamentary motion to hold another EU leaving referendum before March 12th. Earlier Jeremy Corbin had already vowed to push for a second referendum if the Conservative government did not come up with a Brexit they could support. Sterling has moved marginally up on the news as it seems that a reversal of Brexit is possible even though unlikely.
 

This article was issued by Aaron Saliba, junior trader at Calamatta Cuschieri. For more information visit, www.cc.com.mt. The information, view and opinions provided in this article are being provided solely for educational and informational purposes and should not be construed as investment advice, advice concerning particular investments or investment decisions, or tax or legal advice. Calamatta Cuschieri Investment Services Ltd has not verified and consequently neither warrants the accuracy nor the veracity of any information, views or opinions appearing on this website.

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