Alibaba shares in Hong Kong gained 4% ahead of earnings
Alibaba will report fiscal first-quarter earnings before the market opens, and analysts expect the Chinese e-commerce giant to post its first-ever revenue decline.
Alibaba is expected to have revenue of 203.19 billion yuan ($30 billion) for the June quarter, down 1.2 percent from a year ago, according to Refinitiv consensus forecasts.
Alibaba has faced a series of headwinds, from a tighter regulatory environment in China to a resurgence of Covid in the world’s second-largest economy that led to lockdowns in major cities. These factors have weighed on the Chinese economy, reducing advertising budgets and consumer spending, which will likely weigh on Alibaba’s June quarter results.
Still, analysts expect the company to return to growth in the coming quarters. Hong Kong-listed Alibaba shares were more than 4% ahead of earnings.
– Arjun Kharpal
Jim Cramer says the charts point to a rally in gold
CNBC’s Jim Cramer said now is a good time to buy gold as signs point to a rally, according to analysis by commodities trader Larry Williams.
The “Mad Money” host explained Williams’ analysis by looking at gold’s weekly action since 2014 and data on the positioning of small speculators on gold from the Commitments of Traders report from the Commodity Futures Trading Commission.
Gold prices typically peak shortly after small speculators become too bullish on the precious metal and bottom out when small speculators are too bearish, according to Williams.
“The charts, interpreted by the legendary Larry Williams, suggest that the general public is giving up on gold in droves and believes that this makes it the perfect entry time to do some buying,” Cramer said.
– Abigail Ng, Krystal Hur
Here’s how to invest for returns to get you through a bad year for stocks and bonds, according to the pros
Stocks are volatile and bonds haven’t fared much better this year, with US investment-grade bonds falling in 2022.
But recently analysts have been bullish on income investing as yields start to rise again.
Here are some ways professionals suggest investors can position their portfolios for diversification and protection against market volatility, as well as seek higher returns as inflation continues to rise. Professional subscribers can read the story here.
– Weizhen Tan
Fortinet shares fall
Fortinet shares fell more than 9% in extended trading after the cybersecurity firm reported its quarterly results, which included free cash flow of $283.5 million, compared with estimates of FactSet of $337.2 million. Service revenue also missed estimates.
Other cybersecurity stocks also fell after hours. CrowdStrike fell 1% and Palo Alto Networks lost more than 1%.
– Tanaya Machel
Walmart layoffs, about a week after its profit warning
Walmart has begun laying off corporate employees about a week after the retail giant cut its profit outlook and warned of a pullback in consumer discretionary spending due to inflation. The company described the layoffs as a way to “better position the company for a strong future” in a statement to CNBC. Shares were down less than 1% after hours.
– Tanaya Machel
Lucid shares fall nearly 12%
Shares of luxury electric vehicle maker Lucid Group fell 11.7% in extended trading after the company cut its full-year production targets for the second time to 6,000. The original forecast was 20,000. The company also reported a quarterly loss of 33 cents per share.
– Tanaya Machel