5 issues to know earlier than the inventory market opens Wednesday

Listed below are crucial information gadgets that traders want to start out their buying and selling day:

Home Speaker Nancy Pelosi left Taiwan on Wednesday round 6 a.m. ET, marking the top to a quick however controversial cease within the self-ruled island that China claims as its personal territory. Whereas there, the California Democrat met with Taiwanese President Tsai Ing-wen and signaled her help for the democratic island. “Our [congressional] delegation got here right here to ship an unequivocal message: America stands with Taiwan,” Pelosi stated, in response to NBC Information. After repeatedly warning Pelosi in opposition to visiting Taiwan, Beijing has responded by banning varied imports of Taiwanese items into China together with biscuits, grapefruit and frozen horse mackerel. China’s Ministry of Commerce paused exports of pure sand to Taiwan, and the nation’s army additionally started conducting drills within the air and sea round Taiwan.

Shares of CVS Health rose Wednesday after the corporate raised its full-year profit outlook and topped Wall Road’s expectations with its second-quarter outcomes. CVS now expects adjusted earnings between $8.40 and $8.60 per share this yr, up from its prior steering of $8.20 to $8.40. The corporate, which along with its drugstores owns well being insurer Aetna, noticed second-quarter gross sales rise 11% yr over yr to $80.64 billion, topping Refinitiv estimates of $76.37 billion. Adjusted earnings per share within the quarter of $2.40 additionally exceeded analyst estimates of $2.17.

Additionally earlier than Wednesday’s opening bell, Taco Bell proprietor Yum Brands reported mixed quarterly results.

Quite a few noteworthy corporations reported quarterly numbers after Tuesday’s shut. This is fast breakdown of how they did:

• Airbnb reported better-than-expected Q2 earnings and income that just about met estimates, whereas issuing third-quarter steering forward of Road estimates. Shares have been down over 7% in premarket buying and selling. CNBC’s Sofia Pitt has a full recap here.
• Advanced Micro Devices‘ second-quarter earnings and gross sales topped analyst expectations, however the chip designer’s Q3 income forecast got here up barely in need of estimates. Its inventory slid about 6% in premarket buying and selling. Learn CNBC tech reporter Kif Leswing’s full story on the earnings here.
• Starbucks‘ quarterly outcomes beat estimates on the highest and backside strains, and interim CEO Howard Schultz indicated the espresso chain’s clients have not pulled again on their spending or traded right down to cheaper gadgets regardless of persistently scorching inflation. Shares rose practically 2% within the premarket. CNBC’s Amelia Lucas recaps the earnings in full here.
• PayPal noticed second-quarter income rise 9% yr over yr to $6.81 billion, beating analyst projections, whereas adjusted earnings per share of 93 cents topped estimates by 7 cents. Shares of the fintech agency, which additionally entered an info-sharing settlement on worth creation with activist Elliott Administration, surged practically 13% in premarket buying and selling. Learn a full recap of the quarter from CNBC’s Jordan Novet.

Mortgage applications rose last week, the primary time since June 24 that quantity elevated on a week-to-week foundation, in response to the Mortgage Bankers Affiliation. Complete mortgage demand elevated 1.2%, helped by the typical 30-year mounted mortgage price recording its largest weekly drop since 2020. Functions to purchase a house elevated 1% in contrast with the earlier week, whereas refinance functions rose 2%, the MBA stated. The newest mortgage knowledge comes amid considerations about weakening client confidence and a slowing U.S. economic system, because the Fed tightens financial coverage in hopes of cooling the most popular inflation because the early Nineteen Eighties.

— CNBC’s Su-Lin Tan, Melissa Repko and Lisa Rizzolo contributed to this report. NBC Information additionally contributed.

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