S&P 500 Steadies | Beyond the Bell

And right now we are 2 minutes away fromthe end of the trading day. Romaine Bostick alongside Scarlet Fu.We're counting it down to the closing bell.Here to help, take us Beyond the bell. It's a global simulcast.We're joined right now by Tim Scientific, Emily Rafal in today forvacationing Carol Massar. Welcome to our audiences across all ofour Bloomberg platforms, television, radio and our partnership with YouTube.Tim Stocks still kind of a mixed bag as they have been since hitting thoserecord highs just about two weeks ago. Yeah, the S&P 500 kind of searching fordirection today.

We did see some kind of clear movesearly in the session, but it moved between gains and losses about a dozentimes so far today. I'm like so up about 1/10 of 1% rightnow, but no clear movement. Yeah, And Tim, we were just talkingabout earlier how stocks didn't really move that much on that jobs report orthe JOLTS report. But the bond market really seemed tolike it, but stocks really shrugging it off.Scarlet Fu. Yeah, I think it's really interestingthat bad economic news was seen as bad newsfor the stock market.

And that's definitely a change from,say, two weeks ago when the S&P 500 is at its record high and everyone wassaying, oh, the bad news is great. It means the Fed's going to move soon.Yeah, absolutely. Here and it gets to the question is,when do we get that clarity? We were speaking with Ryan Williams, thefounder of Cordray, about commercial real estate, and he really talked aboutthis idea, at least from a real estate perspective.That's really what the investors are looking for, is for the Fed to finallyprovide some clarity. And maybe that's also what investors inother asset classes are looking for as.

Well.Do you think we'll see that clarity next Wednesday?No, no, no. You know, the countdown is on now.And here's the thing. It's not the Fed's fault, because,again, I think Jay Powell will be as clear as he can be.But the market will, of course, interpret it in some janky way.And then we'll just sort of rinse and repeat for the next few months.Is that a technical term? I'm not trademarked.We get the closing bell here in New York.This is where people clap and cheer for.

A job well done.A mixed bag, though, in the markets here on the day.You do have some green across the screen where the Dow Jones Industrial Averageis going to finish the day higher by roughly 140 points or about 4/10 of apercent. The S&P 500 up about eight points or1/10 of a percent. The Nasdaq composite is higher by 28points or 2/10 of a percent. But here you're decliners on the day.You can find it in the cyclical and small cap space.Dow transports down 9/10 of a percent. S&P 400 mid-caps down 1.3.And the Russell 2000 guys down 1.3%.

Yeah, that Russell 2000 really taking iton the chin today. Much bigger movement than we saw on theS&P, the NASDAQ and the Dow. Speaking of the S&P, kind of an evensplit between gainers and decliners in the S&P 500, Scala, 230 did move higher,273 stocks move lower. And that's pretty much reflected in thesector performances as well. Let's take a look at the map, whichshows you how the different sectors performed.And the reason why there's so much more green on that screen is because techfinished up 4/10 of 1% for the third best performance.Real estate investment, Trust and.

Staples were the best performers.And yeah, give us some love, Scarlett. Right.Well, assets remain red, so we're the best performers over the past five daysas well. Your weaknesses, your weak spots arematerials, energy and financials with materials down about 1.2%.Okay, I got the gainers today because Carol's out, so I get to do the stocksthat moved higher. I do want to start with the least fitnurturer to when she's going. Oh, no, no, no.Emily gets that today. Tellurian shares finished the day higherby 17%.

This after Bloomberg reported earlierthat the company is in discussion with Saudi Aramco and Woodside Energy Groupto invest in its liquefied natural gas export project in Louisiana.Tellurian has reviewed reviewed various equity investment offerings from theenergy companies related to its plant, said the people who asked not to benamed as they're not authorized to speak to the media shares higher today by17.1% and shares of cruise operators surged today.I want to pick one out specifically. Carnival Corporation shares moved highertoday by more than 5%. We did get some news late yesterday thatthe company is going to sunset P&O.

Cruises Australia and Ford Australiaoperations into its Carnival cruise line operations.So Melius research came out with a note today that said that Carnival's decisionto consolidate its P&O Cruises Australia brand is, quote, hugely symbolic of thechange underway from CEO Josh Weinstein. Cunningham over at Miller's researchalso says that this could be the catalyst to start a rally.You also add Peel Hunt upgraded its recommendation to buy, noting that thecompany will appeal to more investors at Excel as it accelerates its debt forequity swap. And then a little M&A news coming at youfor it.

My final gainer today, core scientificticker CEO crazy just surging today, finishing higher by more than 40%.This after the company. Well, I should say Bloomberg reportedthat core weave has offered to acquire core scientific the Bitcoin miningcompany for about $1,000,000,000. This according to a person withknowledge of the matter. Corey's all cash bid of $5.75 was madeon Monday and comes as the company seeks to expand its A.I.data center capacity. This according to CORE.We aim for scientific. What's the name going to be when theycombine the course?.

Jeff They got to go.Double core. Yeah.That one I had to read very closely to make sure I got the course correctly.Yeah. And I'm still not sure you did, but Iwill go with it. All right.A band called the potentially Buy Encore.All right. Let's take a look at the decliners infour in for Carol today. I'm looking at Freeport-McMoRan.That was down as much as 6%, falling alongside the broader materials andenergy stocks amid a drop in global.

Commodity prices.Today, we saw copper falling below 10,000 as inventories are rising.Earlier, Bloomberg had reported that stockpiles on the Shanghai FuturesExchange climbed to the highest level since 2020.But of course, we also saw copper top, a record high just a few weeks ago ataround 11,000. So 10,000 here.Not not too bad for copper, but dragging down Freeport-McMoRan today, a miningcompany. I'm also looking at two retailers.Debbie, this is the owner of Designer Brands Designer Shoe Warehouse.Romain, I know you love that store.

I went in there once and it scared me.Yeah, there's a lot of shoes in there and they're just like, spread out on thefloor. What's.What's that? They're all over the place.You have to hunt. You have to hunt and peck.Anyway, the stock was down as much as 22%.Biggest drop since March. And the earnings were all around that itwas a miss on adjusted EPS and comp sales, the latter being down 2.5% versusanalysts estimating a gain of about 0.6%.The CEO, Doug Ho, did say we believe.

That we're on solid footing as we enterthe summer months and are pleased to reaffirm our guidance for 2024.But that was not enough to lift the stock again, down as much as 22%, downabout 20% at the close. And lastly, one more retailer, Bath andBody Work saw its biggest drop since April 2020 after another earnings Miss.Net sales were down 2% and it sees net sales down 2% to flat in the secondquarter. Analysts saying that this is going tolikely lead to a worsening in sales growth and earnings.All right. Well, we still have earnings, believe itor not here.

CrowdStrike crossing the wire.So, too, is HP. HP Enterprise here.There are two Q numbers. This is the fiscal quarter here.Revenue coming in. It looks like a big beat, 7.2 million.The Street was looking for 6.8 adjusted EPS beat as well, $0.42 versus what thestreet was looking for at about $0.39 a share here.The company's guidance for the fiscal third quarter, it sees net revenue at7.4 to 7.8 billion. The low end of that range is rightaround the average of analyst estimates. EPS, their guidance for the thirdquarter, $0.43 to $0.48.

The Street on average was looking for$0.46 a share. And the company guys saying that theystill see their full year of free cash flow, at least 1.9 billion.The Street looking for roughly about 2 billion.Okay. So shares of Hewlett Packard Enterpriseup about 8%. We're seeing a different move, thecomplete opposite coming from CrowdStrike.The company did report first quarter revenue that beat estimates, but sharesdown 7.4% right now for fiscal year revenue coming in between 3.98 billionto 4.01 billion.

That's above estimates.Second quarter revenue coming in or estimate coming in at $958.3 million to$961.2 million. Estimates were for $954.6 million.Again, first quarter revenue beating estimates, but the company is down byabout 6% in the after hours. Yeah, I'm looking at CrowdStrike.Part of it is because people were expecting the company to have a beat andraise quarter. And the big question here is its annualrecurring revenue and how that plays out.Going back to Hewlett Packard Enterprise for a moment here, I just looked at thecompany statement from Antonio Neri, the.

President CEO.He has two paragraphs and he mentions the words or the acronym AI.One, two, three, four, five, six, seven, eight times.That's it. That's quite a bit.But the headline here for them is that AI Systems revenue more than doubledfrom the prior quarter. Yeah.And you know, obviously this is where they see the growth coming from.Well, this is curious too, because I mean, we talk a lot here about how someof the companies that are supposed to be benefiting from, hey, I haven'tnecessarily shown that in earnings.

We saw that, of course, with Dell.We saw that with some of the software companies last week here.So at least in this one particular need for support out of HP, I guess you couldmaybe take some encouragement here, at least if you believe this is coming fromAI, that at least there's a benefit flowing immediately to investors?Yeah, they get about 100 basis points of a gain in the postmarket for each timethey mention it. I mean, that's a okay, you should usethat in your story. Emily That's Woodruff's.I do. I do want to just go back to CrowdStrikebecause it is a lower right now.

The company's president, CEO andco-founder George KURTZ, coming out and saying that the differentiatedarchitecture has a wide competitive moat and uniquely enables crowdstrike tosolve the industry's biggest cybersecurity i.t.And data problem. Still not a beat and raised, though, asscarlett mentioned, investors were expecting guys that is going to do itfor our cross cloud. Form coverage.We call it Beyond the Bell here on Bloomberg TV, Bloomberg Radio, BloombergOriginals, and pretty much everywhere you can get us, including YouTube aswell.

We'll be back, though, tomorrow, sametime, same place. We'll see you then.

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