Top News in Finance for July 6, 2023

KEY POINTS

Dive into this week’s key financial happenings with our succinct, easy-to-understand summaries of the most crucial economic events. Designed to keep you up-to-date, our roundup empowers you to navigate the week ahead and seize unfolding opportunities

• Meta’s “Threads” welcomes 10 million users
• Awaiting drop in job openings
• Bank of America announces dividend increase by 9%
• Exxon cuts Q2 earnings estimate due to low natural gas prices
• U.S. new vehicle sales skyrocket, GM and Honda lead

Meta’s “Threads” Enjoys User Influx

Meta Platforms introduced “Threads”, a social media platform aimed to rival Twitter, with an impressive 10 million users joining post-launch. Through Instagram, also owned by Meta, users can transfer their existing usernames to this new platform, accessible via a standalone app. Meta’s stocks saw a 1.5% increase in pre-market trading.

Anticipation Over Expected Decrease in Job Openings

As investors eagerly await Friday’s job report, fresh economic data will be available today. The ADP report, expected to show a rise of 180,000 in private payrolls in June, and the Bureau of Labor Statistics’ Job Openings and Labor Turnover Survey report are due. The latter is predicted to show job openings dip from 10.1 million to 9.9 million in May.

Bank of America Boosts Quarterly Dividend

Following successful Federal Reserve stress tests, Bank of America will boost its quarterly common stock dividend by 9% to 24 cents per share in Q3 2023. Other major U.S. banks have taken similar actions, demonstrating a robust banking sector despite Bank of America shares experiencing a 0.4% drop in pre-market trading.

Exxon Downgrades Q2 Earnings Forecast

Exxon, the oil behemoth, has reduced its earnings guidance for Q2 by $4 billion due to low refining margins and natural gas prices. This adjustment could lower the company’s net income to $7.5 billion, far beneath Wall Street’s expected $9.43 billion. Exxon shares traded 1.3% lower in pre-market.

U.S. New Vehicle Sales Soar, GM and Honda Leading

U.S. new vehicle sales rose by approximately 13% in the first half of 2023, hitting about 7.7 million vehicles according to Wards Intelligence. General Motors, Honda Motor, and Hyundai Motor lead the pack, despite GM’s shares dropping 1% in pre-market trading and Honda’s shares remaining flat.