Markets open higher | Calamatta Cuschieri

Markets wait for Fed, Apple buys Intel’s chip line & Boris Johnson set to be UK’s new PM

US markets opened the week higher as expectations around an interest rate cut by the Federal Reserve boosted sentiment on Wall Street. The Dow Jones Industrial Average gained 17.7 points, or 0.1 percent, to 27,171.9, while the S&P 500 index rose 8.42 points, or 0.3 percent, to 2,985.03. The Nasdaq Composite Index advanced 57.65 points, or 0.7 percent, to close the session at 8,204.14.

European markets meanwhile got off to a slow start with low volumes leading to the indexes closing around the flatline as investors await the latest on the European Central Bank’s monetary policy. The pan-European STOXX 600 index closed up just 0.07 percent with trade-exposed sectors such as technology and autos posting gains.

Maltese markets also rose on the back of light volumes with the MSE Equity Total Return Index closing up 0.424 percent at 9,812.834 points. BMIT Technologies Plc led the gains with shares up 1.89 percent at €0.540 followed by Go Plc which gained 1.77 percent to €4.60. Bank of Valletta plc closed unchanged at €1.125.

Apple considers buying Intel’s smartphone chip line

US tech giant, Apple Inc is in advanced talks to buy chipmaker Intel Corp’s smartphone-modem chip business, people familiar with the matter have said. Intel announced it would exit the 5G modem chip business in April, hours after Apple settled a longstanding legal dispute with Qualcomm Inc – Apple’s main supplier of iPhone modem chips.

Shares of Intel rose 1.5 percent to $52.10 while Qualcomm shares were down 2 percent on the report. Intel is expected to report second-quarter results on 25th July with Apple following shortly after on the 30th of July.

Britain’s next Prime Minister

Boris Johnson is expected to be elected leader of Britain’s governing Conservative Party and the next Prime Minister on Tuesday, as him and rival, Foreign Secretary Jeremy Hunt await for the winner to be announced at about 10:45 GMT at an event near Parliament.

Johnson, a former London mayor who resigned as foreign minister a year ago over May’s Brexit plans, is the clear favourite to replace her, with several polls putting him on around 70 percent. He will formally take over as Prime Minister on Wednesday afternoon if he wins the election.
 

This article was issued by Peter Petrov, junior trader at Calamatta Cuschieri. For more information visit, https://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.

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