In yet another attempt to refuel the economy and uplift the battered property sector, China has announced biggest rate cut ever. Favourable bets amid rising popularity of AI, Nvidia is replacing Tesla as Wall Street's most traded stock. Barclays' lays out a three-year revival plan. All this and much more on World Street.
Third time's the charm
Medical devices maker Medtronic raised its annual profit forecasts for the third time this fiscal year. The decision comes after surpassing third-quarter expectations on Tuesday, supported by heightened demand for its heart and diabetes devices. The surge in demand for medical devices is attributed to the resurgence of non-urgent procedures, which were postponed during the pandemic. Over the past year, as hospital staff shortages eased and individuals resumed regular check-ups, the demand for these devices has intensified.
Numero Uno
Nvidia is replacing Tesla as Wall Street's most traded stock, adding to its prominence after becoming the third-most valuable US company and showing more evidence of how central AI-related bets have become to investors, reports Reuters. Nvidia's outsized representation in day-to-day stock trading could leave investors more vulnerable should the chipmaker's revenue growth fail to meet investors' high expectations.
Dow's Amazon Upgrade
Amazon will replace Walgreens Boots Alliance in the Dow Jones Industrial Average, according to an announcement from S&P Dow Jones Indices, which manages the price-weighted measurement of 30 stocks. The move will result in more exposure to the Jeff Bezos-founded online retailer for investors who bet on the average, which is far smaller than the S&P 500 index. The change goes into effect before market open on February 26.
State Support
China announced its biggest ever reduction in the benchmark mortgage rate on Tuesday, as authorities sought to prop up the struggling property market and broader economy. The 25-basis point cut to the five-year loan prime rate (LPR) was the largest since the reference rate was introduced in 2019 and far more than analysts had expected.
Sharpening Focus
Barclays laid out a three-year plan to revive its flagging share price, including axing 2 billion pounds of costs, returning 10 billion pounds ($12.6 billion) to shareholders and investing in its high-returning UK bank. The lender's shares rose as much as 7 percent after the announcement, which also included a shake-up of its operating divisions, by Barclays chief executive CS Venkatakrishnan.
Bitcoin Bullishness
Bitcoin has leapt 22 percent this year to $52,005, pushing it past a market value of $1 trillion mark for the first time since its record heyday of late 2021. Its resurgence has electrified the broader cryptocurrency market, including ether and other digital coins, which has now exceeded $2 trillion, as per data from CoinGecko.
Future is Here
The first human patient implanted with a brain-chip from Neuralink appears to have fully recovered and is able to control a computer mouse using their thoughts, the startup's founder Elon Musk said. "Progress is good, and the patient seems to have made a full recovery, with neural effects that we are aware of. Patient is able to move a mouse around the screen by just thinking," Musk said in a Spaces event on social media platform X.
Small Cuts
German drugmaker Bayer announced its decision to adjust its dividend policy, aiming to pay the legal minimum for the next three years as a strategy to pare debt. This move came on the back of the drugmaker's significant debt burden and high interest rates, coupled with what Bayer describes as a "challenging free cash flow situation". Bayer's Chief Executive, Bill Anderson also emphasised that reducing debt and enhancing flexibility stand among the company's foremost objectives.
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