Stock Markets

Stocks under pressure as investors play terminal rates guessing game

Published

2 years ago

June 24, 2023

Global stocks were poised to end the week lower on Friday as investors bet on interest rates remaining higher for longer to quell stubborn inflation, helping to lift the dollar and send oil tumbling.

Euro zone government bond yields fell on news that German business activity slowed notably in June, while French business activity contracted this month for the first time in five months.

There was also worrying economic news in Asia with Japan’s core consumer inflation exceeding forecasts in May.

Gold steadied after trading near a three month low and was set for its biggest weekly drop since February as the greenback was buoyed by hints from U.S. Federal Reserve Chief Jerome Powell of more rate hikes to come.

The MSCI All Country stock index was down 0.38% at 673.66 points, and off 1.6% for the week, though still up 11.5% for the year. “We are probably close to peak terminal interest rates for the Federal Reserve and Bank of England, but there is a feeling that central banks are prepared to risk a recession to try get core prices lower,” said Mike Hewson, chief markets strategist at CMC Markets.

“The idea that we get rate cuts in 2024 is starting to give in to the realisation that we are in for a much longer period of rates at current levels, and that is causing a revaluation of stock markets,” Hewson said.

In Europe, the STOXX 600 index was down slightly and set to end the week lower.

With a lack of stimulus for China’s sputtering recovery, recent unexpected hikes in Australia and Canada, and the Federal Reserve’s forecast of two more rate hikes, the growth fears are global.

“Central bankers are saying they have a very strong willingness to tame inflation and markets are believing this,” said Kevin Thozet, a member of the investment committee at Carmignac.

Investors, however, should keep a cool head because economic growth was not falling off a cliff, disinflation was on its way, long-term bond yields were behaving well, and central banks are near the end of their rate tightening cycle, Thozet said.

S&P 500 futures were down 0.4%.

OIL DOWN, DOLLAR UP

Oil prices fell for a second straight session and were headed for a weekly decline of more than 3% as a more hawkish tone from central banks cast a cloud over demand. A rising dollar also makes the commodity more expensive for some customers.

Brent oil futures were down 1.6% $72.95 a barrel, while U.S. West Texas Intermediate (WTI) crude futures were down 1.8%, at $68.26.

The U.S. dollar index rose 0.59% to 102.99 and was ontrack for a weekly gain, reversing three straight weeks oflosses as it drew support from growing risk aversion in markets.

The pound, still digesting news of Thursday’s bigger-than-expected 50 basis points rate hike from the Bank of England, fell 0.31% to $1.2709 and was on track for a weekly loss of nearly 1%, snapping three straight weeks of gains. Elsewhere, the euro fell 0.8% to $1.0869.

In Asian markets, the MSCI’s broadest index of Asia-Pacific shares outside Japan lost 1.2% and is down more than 4% for the week, its worst in nine months.

Japan’s Nikkei fell 1.45% and was set to snap a 10-week winning streak with a 2.7% weekly drop.

In bonds, U.S. Treasuries were steady after being sold when Fed Chair Jerome Powell reiterated on Thursday that further rate hikes are likely. Two-year Treasury yields were slightly weaker at 4.75% and 10-year yields at 3.73%.

Gold was trading at $1,917 an ounce, up 0.2% on the day.

Wheat futures took a breather after surging 20% in two weeks as traders braced for Russia to quit a deal guaranteeing the safe passage of grain over the Black Sea.

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Stock Markets

BioAge Labs (BIOA) Azelaprag Trial Halt Raises Questions About Pre-IPO Disclosures – Hagens Berman

Published

13 hours ago

December 26, 2024

San Francisco, California–(Newsfile Corp. – December 25, 2024) – On December 9, 2024, just months after conducting an initial public offering in September 2024, BioAge Labs, Inc. (NASDAQ: BIOA) made the startling announcement that it was discontinuing a Phase 2 study for its lead product, azelaprag, intended to treat metabolic diseases such as obesity.

Hagens Berman has opened an investigation and urges investors in BioAge who purchased shares in the company’s IPO or on the open market and suffered substantial losses to submit your losses now.

Visit: www.hbsslaw.com/investor-fraud/bioa
Contact the Firm Now: BIOA@hbsslaw.com
844-916-0895

BioAge Labs, Inc. (BIOA) Investigation:

The investigation is focused on the propriety of BioAge’s disclosures about the safety data and other matters related to azelaprag, which the company said in its IPO documents has been “well-tolerated in 265 individuals across eight Phase 1 clinical trials.”

BioAge’s disclosures came into question after the market closed on December 6, 2024, when the company announced the discontinuation of the STRIDES Phase 2 clinical trial evaluating azelaprag in combination with tirzepatide for the treatment of obesity. BioAge said that liver transaminitis was observed in patients receiving azelaprag.

This news drove the price of BioAge shares down almost 80% on December 9, 2024.

“We’re focused on whether BioAge was transparent to investors about the azelaprag safety profile before the December 6 announcement,” said Reed Kathrein, the Hagens Berman partner leading the investigation.

If you invested in BioAge and have substantial losses, or have knowledge that may assist the firm’s investigation, submit your losses now »

If you’d like more information and answers to frequently asked questions about the BioAge investigation, read more »

Whistleblowers: Persons with non-public information regarding BioAge should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email BIOA@hbsslaw.com.

# # #

About Hagens Berman
Hagens Berman is a global plaintiffs’ rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman’s team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/235182

Stock Markets

Celsius Holdings (CELH) Hit with Investor Class Action Amid Accusations of Oversold Inventory to Pepsi- Hagens Berman

Published

13 hours ago

December 26, 2024

CELH Investors with Losses Encouraged to Contact the Firm

San Francisco, California–(Newsfile Corp. – December 25, 2024) – Celsius Holdings (NASDAQ:), Inc. (NASDAQ: CELH) and certain of its C-Suite officers are embroiled in a securities class action lawsuit, claiming they misrepresented and concealed crucial information about the company’s financial performance, especially concerning its key customer, PepsiCo (NASDAQ:).

Hagens Berman is investigating the allegations and urges investors in Celsius who purchased shares and suffered substantial losses to submit your losses now.

Class Period: Feb. 29, 2024 – Sept. 4, 2024
Lead Plaintiff Deadline: Jan. 21, 2025
Visit: www.hbsslaw.com/investor-fraud/celh
Contact the Firm Now: CELH@hbsslaw.com
844-916-0895

Celsius Holdings, Inc. (CELH) Securities Class Action (WA:):

The lawsuit alleges that during the Class Period, Celsius failed to disclose to investors several critical points:

Oversold Inventory: Celsius significantly oversold inventory to Pepsi beyond demand, leading to a potential drastic reduction in future purchases.
Declining Sales: As Pepsi depleted its overstock, Celsius’ sales were projected to decline, impacting its financial health and outlook.
Unsustainable Sales Rates: The sales rates to Pepsi were unsustainable and created a misleading impression of the company’s performance.
Misleading Metrics: Consequently, Celsius’ business metrics and financial prospects were overstated

The situation came to light on May 28, 2024, when Celsius’ stock price plummeted nearly 13% following reports from Nielsen indicating slowed sales growth. Analysts highlighted the possibility of significantly reduced sales as Pepsi cut back its inventory.

The stock took another hit on September 4, 2024, dropping over 11% after a company presentation revealed a shortfall of $100 million to $120 million in Pepsi orders compared to the previous year. It was also disclosed that Pepsi had held several million excess cases over the last 18 months.

These revelations have led shareholder rights firm Hagens Berman to investigate the allegations.

“We’re investigating whether Celsius deliberately painted an overly optimistic picture of its relationship with Pepsi, misleading investors about the true state of its financial health and sales sustainability,” said Reed Kathrein, the Hagens Berman partner leading the investigation.

If you invested in Celsius and have substantial losses, or have knowledge that may assist the firm’s investigation, submit your losses now »

If you’d like more information and answers to frequently asked questions about the Celsius case and our investigation, read more »

Whistleblowers: Persons with non-public information regarding Celsius Holdings should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email CELH@hbsslaw.com.

# # #

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/235180

Stock Markets

Suriname fugitive ex-President Desi Bouterse dead at 79

Published

13 hours ago

December 26, 2024

By Ank Kuipers

PARAMARIBO (Reuters) -Suriname’s fugitive former President Desi Bouterse has died aged 79, the country’s government said on Wednesday, almost a year after he fled authorities to avoid jail following his conviction over the murder of 15 political activists in 1982.

“The government has been informed through the family and its own investigations of the passing of Mr. D. Bouterse, ex-President of the Republic of Suriname,” Foreign Minister Albert Ramdin told Reuters.

The former leader died on Tuesday, the government said, without confirming where, or even in which country. Last week Surinamese authorities raided his home – where supporters gathered to pay their respects on Wednesday morning – but did not find him.

Surinamese President Chan Santokhi, who investigated the case as a police commissioner and later as justice minister, expressed condolences to Bouterse’s family and urged calm in a statement.

“In the spirit of the holiday season and year-end, the president calls on all to remain dignified and calm, maintain peace and order and engage in prayer in the spirit of these special days,” the statement said.

Bouterse dominated politics in the tiny South American country for decades, leading a coup in 1980 and finally leaving office in 2020.

In 2019 he and six others were convicted for their role in the 1982 murders of 15 leading government critics – including lawyers, journalists, union leaders, soldiers and university professors – for which Bouterse received a 20-year prison sentence.

Bouterse had claimed the murdered men were connected to a planned invasion of the former Dutch colony.

Following years of legal back and forth, Bouterse was ordered to report to prison in January but he did not show up on the appointed date.

Though Bouterse avoided prison by going on the run, Reed Brody, a U.S. war crimes prosecutor who monitored the case for the International Commission of Jurists, said justice had caught up with the convicted former president before he died.