On Wednesday morning, the NASDAQ Composite Index climbed higher under weak ADP employment data and disappointing trade balance.
ADP reported this morning that the U.S. private sector added 185,000 jobs in July—a significant drop from last month’s 229,000 addition, also missing the 216,000 expected.
Trade balance worsened in June, with the total goods and services deficit at $43.8 billion. June’s trade balance was $2.9 billion larger than the $40.9 billion in May, and $1.0 billion larger than the expected $42.9 billion.
However, weak economic data makes a Fed rate hike in September less likely. As a result, the NASDAQ climbed 1.3%, the S&P 500 gained 0.9%, and the DOW also edged up 0.6% at around 10:30 a.m. E.T.
Top Technology Stories
BlackBerry Unveils New Smartphone
On Tuesday, BlackBerry announced a new smartphone—the Silver Edition of the BlackBerry Passport. The exterior of the new phone features a silver finish and rounded corners. The Silver Edition also has a reinforced stainless steel frame and a textured back that improves grip.
The Silver Edition costs $50.00 more than the original BlackBerry Passport, starting at $549.00.
Netflix Announces “Unlimited” Parental Leave Program
Also on Tuesday, on-demand video streaming giant Netflix announced “unlimited” paid leaves for employees in their first year as new parents. The employees can choose to return part-time, full-time, or return and then take another leave as needed. Netflix would pay them full salaries during this period.
Apple Lost $100 Billion in Market Cap
In premarket trading on Wednesday, Apple fell another 1.3% to $113.11 a share, after losing 3.2% on Tuesday. Its share price has declined 14.4% since its earnings report on July 21st. As a result, around $105 billion of Apple’s market value evaporated in just two weeks.
Top Stocks to Watch
The Walt Disney Company (NYSE:DIS)
The Walt Disney Company (NYSE:DIS) released its earnings after the closing bell yesterday. The company reported its best-ever profit for the quarter while its revenue missed Wall Street expectations. Moreover, Walt Disney lowered its profit guidance.
As a result of missed revenue and lowered guidance, Walt Disney’s stock price plunged. On Wednesday morning, shares of Walt Disney were trading 8.6% lower at $111.28 a share.
Etsy, Inc. (NASDAQ:ETSY)
Etsy, Inc.’s (NASDAQ:ETSY) stock price crashed 21.7% to $15.05 on Wednesday morning. The company released its earnings yesterday. While revenue increased 44.4% year-over-year and beat expectations, expenses also increased. In the reporting quarter, total operating expenses surged 49.3% year-over-year. As a result, the company had a net loss of $6.4 million for the quarter.
First Solar, Inc. (NASDAQ:FSLR)
First Solar, Inc. (NASDAQ:FSLR) had a great quarter, resulting in its stock price surging 16.8% to $51.99 this morning. The company’s revenue increased 65% to $896 million in the quarter. It also managed to turn profitable, with earnings of $0.93 per share, compared to a loss of $0.62 per share in the previous quarter.
First Solar also provided better-than-expected guidance for 2015, with revenue between $3.5 billion and $3.6 billion and EPS between $3.30 and $3.60. This is significantly above analysts’ expectations of $3.4 billion in revenue and EPS of $2.36.