Market Swings: Leadership Changes and Tech Triumphs

Disney is in the process of finding a successor to Bob Iger, with a Morgan Stanley executive leading the search.

On Monday afternoon, the Nasdaq recorded a 1.5% rise, gaining 277 points following President Joe Biden’s announcement of his withdrawal from the presidential race and his endorsement of Vice President Kamala Harris. The Dow Jones Industrial Average and the S&P 500 also experienced increases of 0.3% and 1.1%, respectively.

Polymarket, a cryptocurrency betting platform, indicates support for Harris as the Democratic nominee, while PredictIt, based in New Zealand, predicts she will become the 47th President of the United States.

In other market news, Nvidia shares jumped by 4% after reports surfaced that the company is working on a version of its new Blackwell AI chips tailored for the Chinese market. Partnering with local distributor Inspur, Nvidia is planning to release and sell the chip, tentatively named the “B20,” with shipments expected to begin in the second quarter of 2025, although Nvidia has declined to provide further comments.

Tesla’s stock rose nearly 5% just before the company is set to report its earnings, during which Elon Musk is anticipated to discuss the delayed introduction of the company’s robotaxi. Musk stated on X that Tesla will have prototype humanoid robots in low production for internal use next year, aiming for larger production by 2026.

Meanwhile, CrowdStrike, the cybersecurity firm involved in last week’s global tech outage, reported that many of the approximately 8.5 million affected Windows devices are gradually coming back online. However, CrowdStrike’s stock dropped over 13%, trading around $263 as of Monday afternoon.

Verizon’s shares decreased by nearly 6% following the release of its earnings report, revealing that the company missed quarterly revenue estimates. This decline is attributed to customers retaining their old phones longer, which has negatively affected upgrade rates for telecommunications providers. Verizon’s second-quarter revenue was recorded at $32.8 billion, slightly below analysts’ expectations of $33.06 billion, while its earnings per share stood at $1.15, meeting target projections.

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