Key Developments in Foreign Markets
Key developments in foreign markets today include the inclusion of Nvidia and Sherwin-Williams in the Dow Jones Index, Boeing workers preparing to vote on a new contract proposal, and a decline in the valuation of Trump Media & Technology Group. Additionally, noteworthy events in the energy sector and biotechnology are also emerging. Tesla's drop in sales in China is impacting the dynamics of the electric vehicle market.
Nvidia and Sherwin-Williams join the Dow Jones Index NVIDIA (NVDA) rose by 2% to $135.4 in pre-market trading following the announcement that it will replace Intel (INTC) in the Dow Jones Industrial Average Index starting November 8. The increasing demand for artificial intelligence applications has contributed to Nvidia's rise to be the second-largest company in the U.S. by market value at $3.3 trillion. During the same period, Sherwin-Williams (SHW), a chemical producer, gained 4.5% in pre-market trading after being added to the Dow Jones Index, replacing Dow Inc (DOW), which fell by 1.5%.
Berkshire Hathaway (BRKb) experienced a 0.3% decline after reporting a 6% drop in post-tax operating income to $10.1 billion for the third quarter. The company enters the fourth quarter without repurchasing its shares, while cash and cash equivalents increased by $48 billion to reach a total of $325 billion. Boeing workers are preparing to vote on a new contract proposal. Boeing (BA) has offered more than a 40% wage increase and a $12,000 signing bonus as a result of the strike. The vote could result in the end of the strike if the agreement is accepted.
Trump Media & Technology Group and other market developments Trump Media & Technology Group (DJT), the owner of the Truth Social platform, saw a pre-market decline of 6.1% as the week concluded. With the presidential elections approaching in the U.S., competition between Donald Trump and Kamala Harris is intensifying. Talen Energy (TLN) lost 14% following the rejection of a deal in Pennsylvania. Similarly, Constellation Energy (CEG) and Vistra Energy (VST) experienced declines.
Viking Therapeutics (VKTX) gained 23% due to the successful results of its experimental weight-loss pill's clinical trial. The pill, developed for abdominal obesity, has shown positive results, while competitor firms like Eli Lilly (LLY) and Novo Nordisk (NVO) continue to work on similar products.
Decline in Tesla's sales in China Tesla (TSLA) recorded a 5.3% decline in the sales of electric vehicles produced in China in October. According to the China Passenger Car Association (CPCA), Tesla's sales totaled 68,280 units. In contrast, Tesla's competitor BYD Auto Co. Ltd. set a monthly record with 500,526 passenger vehicle deliveries, marking a 66.2% year-on-year increase. The CPCA reported that new energy vehicle sales across China rose by 58% year-on-year and 14% month-on-month in October, reaching a total of 1.4 million units.
These developments indicate that competition, particularly in the energy and automotive sectors, is intensifying, while market fluctuations continue to capture the attention of investors.