Weekly Recap Jan 8th 2021
A note last updated by
on Jan 8, 2021
Weekly Recap: January 8th, 2021
Despite the mayhem in Washington D.C. on Wednesday, the stock market remain unfazed this week. For the week ending January 8th, the S&P 500 rose by 1.8%, Nasdaq rose by 2.4% and Dow Jones rose by 1.6%.
U.S. Bureau of Labor Statistics released Non-farm Payroll data and it showed U.S. economy shed 140,000 jobs (way lower than the gain of 71,000 jobs expected by analysts). This is the first decline in Non-farm jobs since the 20.87 million decline in April of 2020 as the economy shut down due to the COVID-19 pandemic.
Electric Vehicle-maker Tesla Motors $TSLA crossed social media giant Facebook $FB to become the fifth largest company by market capitalization in United States. This move in Tesla's stock made Elon Musk the richest man in the world surpassing Amazon $AMZN chief Jeff Bezos.
Boeing $BA was charged by U.S. Department of Justice on Thursday, January 7th over 737 Max fraud conspiracy. It agreed to pay over $2.5 billion. In a related 8-K filing with S.E.C, the company announced that "$1.77 billion has been included in amounts reserved in prior quarters for 737 MAX customer considerations. The Company expects to incur earnings charges equal to the remaining $743.6 million in the fourth quarter of 2020."
Chamath Palihapitiya announced Social Capital Hedosophia Holdings Corp V, a SPAC controlled by him will be merging with fintech company SoFi to take it public in a tweet on Thursday, January 7. Shares of the SPAC surged 58% after announcement.
Bed Bath & Beyond $BBBY announced fiscal third quarter 2020 earnings results this Thursday. Its stock price declined as it did not meet consensus analyst expectations for revenues and earnings. However, the most notable detail in its announcement was expansion in its adjusted gross margins to 35.4% due to optimization of promotions and favorable product mix.