?? 28 February 2023 – Pfizer, Tesla, & Coinbase
Rise and shine, readers! ??
Are you ready to shake off the Monday blues and get the week rolling?! This Tuesday morning newsletter gives you a closer look into the forces that drive the stock market.
After last week’s losses, stocks (finally) rebounded – with tech, consumer discretionary, and industrial sectors taking the lead. The Dow gained 0.2%, the S&P 500 rose 0.3%, and NASDAQ increased 0.6%.
Housing data from the National Association of Realtors revealed an 8.1% surge in pending home sales in January from December. Other reports showed a decline in U.S. durable goods orders, which dipped 4.5% in January. Apart from aircraft orders, new orders for nondefense capital goods went up by 0.7% from the previous month.?
The 10-year Treasury note yield dropped to 3.921%, while the 2-year yield settled at 4.791%. In energy markets, the U.S. benchmark touched $75.68 a barrel.
Let’s get into the details!
Pfizer eyes biotech company Seagen for acquisition worth over $30 billion
Drug maker?Pfizer (PFE)?is reportedly looking to acquire Seagen (SGEN) in a deal that would probably cross the latter’s market value of $30 billion. Last year,?Merck & Co. (MRK)?was set to acquire Seagen for around $40 billion until the deal fell through. It will not be easy this time around either, with antitrust reviews in the mix. The deal would further equip Pfizer’s cancer drug arsenal and offset an estimated $17 billion in patent expiration losses after reaching $100 billion in sales in 2022!
Elon Musk reclaims title of “richest person in the world” as Tesla shares rise
On Monday, billionaire Elon Musk regained his “richest person on Earth” status on the Bloomberg Billionaires Index, valued at $187.1 billion. As CEO of EV maker?Tesla (TSLA), a significant chunk of his income is tied to the company’s stock. In the fourth quarter, Tesla saw a 37% rise in revenue from the previous year to $24.32 billion. Profits shot up by 59% to $3.7 billion annually. During the downswing in EV demand and supply chain constraints, Tesla sustained losses that it presently seems to be reversing!
Coinbase prepares to halt Binance stablecoin trading following disappointing quarterly reports
On Monday, cryptocurrency exchange?Coinbase (COIN)?took to Twitter to announce that it will suspend Binance stablecoin trading on its platform in two weeks. From March 13 onwards, traders will still be able to access and withdraw their Binance USD (BUSD). However, in light of the latest reviews of the coin in question - trading will be suspended. The move follows the company’s fourth-quarter reports that missed expectations. Revenue stood at $629 million, while earnings fell to a loss of $2.46 per share!