Wed. Oct 4th, 2023
    Stock Market Update: Valero Energy and Marathon Petroleum Rise as Crude Prices Reach Highest Levels Since 2022

    In midday trading, petroleum refiners Valero Energy and Marathon Petroleum saw gains of 1.5% and 1.2%, respectively, as West Texas Intermediate and Brent crude prices reached their highest levels since November 2022. This positive movement in crude oil prices also led to a 1% increase in the oil services ETF and the S&P 500 Energy Index.

    However, chip designer Arm Holdings experienced a decline of 5.4% in its shares following its Nasdaq debut. Bernstein initiated coverage of Arm with an underperform rating, stating that it’s “too early” to consider the company an AI winner. Needham, on the other hand, initiated coverage with a hold rating, citing Arm’s valuation as “full” in a post-smartphone era.

    Moderna, a pharmaceutical company, saw a decline of over 7%, making it the biggest decliner in the S&P 500. This decrease can be attributed to the sale of 15,000 shares by co-founder and board chairman Noubar Afeyan. On the same day, pharmaceutical peer Pfizer stated that it expects a 24% vaccination rate for Covid-19 shots in the U.S. this year. Moderna’s updated Covid vaccines have been approved in both the U.S. and the U.K.

    Tesla, the electric vehicle maker, experienced a 2.3% drop in its shares after Goldman Sachs lowered its earnings estimate. The reduction was attributed to the potential for further price cuts and lower margins.

    PayPal, the payment platform, had a decline of 1.8% following a downgrade to market perform from outperform by MoffetNathanson. The firm highlighted that PayPal still faces challenges as a new CEO takes the helm.

    Ralph Lauren, the luxury retailer, saw its shares rise by over 1% after Guggenheim upgraded the stock to buy from neutral. Guggenheim stated that Ralph Lauren’s earnings are set to benefit from several cyclical tailwinds, including clean inventories, lower freight expenses, and lower cotton costs. They also mentioned that the recent pullback has provided an attractive entry point.

    These were just a few of the significant movements in the stock market during midday trading. Other notable changes include Enphase Energy losing 2.1%, Tenable Holdings gaining 2%, Vertex climbing 2.4%, DoorDash adding 1.6%, Micron Technology gaining 1%, Paramount Global falling 3.7%, Simply Good Foods rising over 4%, Iridium Communications jumping over 5%, and ASGN rallying 5%. Despite these fluctuations, the market remains dynamic and constantly evolving.

    – Petroleum refiners: Companies engaged in the processing and refining of crude oil into various petroleum products.
    – Chip designer: A company that designs the integrated circuits (chips) used in electronic devices.
    – Pharmaceutical company: A company involved in the discovery, development, and production of medications.
    – Electric vehicle maker: A company that designs, manufactures, and sells electric vehicles.
    – Payment platform: A technology solution that enables online payments and financial transactions.
    – Luxury retailer: A company that sells high-end, exclusive products and caters to affluent customers.
    – Memory and storage semiconductor maker: A company that produces semiconductor chips used for storing and retrieving data.
    – Digital innovations solutions company: A company that develops and provides digital solutions for various industries.
    – Satellite company: A company that operates satellites to provide communication services.

    – CNBC’s Alex Harring, Brian Evans, Samantha Subin, Yun Li, Lisa Kailai Han, Pia Singh, and Michelle Fox contributed reporting.