FT : Mining companies warn of weak commodity price outlook

Mining companies warn of weak commodity price outlook
‘Covid overhangs’ in Chinese economy have sapped demand for metals, says Anglo American chief

Some of the world’s largest mining companies have become increasingly pessimistic about a sustained rally in global commodity prices this year after an insipid recovery in China led to a drop in first-half earnings.

Duncan Wanblad, chief executive of Anglo American, said on Thursday that an “enormous amount of economic pressure” was making it hard to wager that sustained gains in the prices of its key commodities such as iron ore, copper and steelmaking coal would take place by the end of the year.

“We’ve been a little bit surprised at how slow the opening of China has been,” he said, adding that the world’s largest metals-consuming nation was still suffering from “Covid overhangs” that had sapped demand.

In reference to when commodity prices would bottom out and rally, he added that “it’s more likely to be early next year than later this year quite honestly”.

His comments came after the FTSE 100 miner cut dividends by more than half to $700mn following a fall in first-half core earnings of just over 40 per cent to $5.1bn. This occurred off the back of a 19 per cent drop in the price of its commodities and inflationary cost pressures.

On Monday, Beijing vowed to boost consumer spending and revive the economy but fell short of announcing stimulus measures that would help manufacturing rebound, prompting a shortlived bounce in metal prices.

Citigroup analyst Wenyu Yao said that China’s politburo meeting set a “positive tone” yet it was not the sort of “bazooka-style” stimulus required to push up Chinese demand for metals in the second half of the year.

Goldman Sachs analysts said that “the industrial metals complex has been caught for much of this year between disappointing growth momentum in China, a manufacturing slowdown in the west and accelerating supply for several metals”.

But they saw enough of a shift point in China’s rhetoric to merit upgrading the bank’s six-month copper price forecast by 3 per cent to $9,500 per tonne, compared with $8,600 per tonne at present.

Mining companies have been touting the prospective boost to prices from green policies around the world since building wind farms, transmission grids and electric cars requires a lot of metals.

Simon Morris, head of base metals at CRU Group, a business intelligence company, said that a lift to demand from the clean energy transition looked unlikely to materialise as quickly as hoped, while China is unlikely to compensate given a shift in its economic model.

“Will China continue to fuel demand as it has done? No . . . China won’t be as strong a demand story as it has been for 20 years,” he said. “There’s a lot of hyperbole around the energy transition.”

Rio Tinto, the world’s largest producer of iron ore, which is used to make steel, said on Wednesday its main commodities were trading below their 2010 average prices during the first half of this year.


“We saw lower prices, in general, for our commodities, in line with slowing global demand, with the Chinese recovery predominantly led by the service sector,” the company said in its earnings release.

Chief financial officer Peter Cunningham said the future direction of iron ore prices, which are down 10 per cent since January, would depend on what happens to the “extremely soft property market” in China.

The difficult conditions were further confirmed by shares in French mining group Eramet falling 12 per cent on Thursday after it revised down its full-year earnings because of expected weakness in manganese and nickel ore prices.

>>> US Early premarket gappers

Early premarket gappers

  • Gapping up:
    • CLS +33.7%, ENVX +15.1%, ALGN +14.6%, HLX +12.2%, NXT +9.5%, META +8.4%, ATHM +8%, IMAX +5.6%, OSTK +5%, QS +4.8%, CASH +4.6%, STM +4.6%, WU +4.5%, SLM +4.2%, ASGN +3.8%, LRCX +3.5%, EXLS +3.3%, VRCA +3.1%, NTGR +3.1%, NOA +3%, AIN +3%, ASX +3%, GFL +2.8%, CNMD +2.7%, NVDA +2.4%, EG +2.3%, TER +2.1%, MEOH +2%, VICI +2%, CLB +2%, AGI +2%, LQDA +1.9%, CCS +1.9%, QGEN +1.6%, AEM +1.6%, CVE +1.6%, AMZN +1.4%, AJRD +1.4%, GSHD +1.4%, SUI +1.4%, TAK +1.4%, FTI +1.3%, MYRG +1.2%, NOV +1.2%, ACGL +1.1%, TTE +1.1%, AR +1%, TNET +1%
  • Gapping down:
    • EYE -19.6%, OII -15.9%, PI -13.9%, LC -11.3%, MXL -10.4%, ESI -9.4%, CMG -8.5%, NOVA -7.6%, TROX -6.8%, PDM -6%, EBAY -5.7%, EW -5.6%, GGG -5.5%, PLXS -5.2%, EVTC -4.9%, VKTX -4.8%, PDS -4.8%, BCS -4.3%, CSL -4.2%, BBIO -3.2%, PTEN -2.6%, RJF -2.6%, CMPR -2.6%, NOW -2.5%, PTC -2.5%, LHX -2.3%, ATEN -2%, AGR -2%, LSTR -2%, ACDC -1.9%, VMI -1.9%, WFG -1.9%, FLEX -1.9%, URI -1.8%, HP -1.8%, ALSN -1.5%, SEIC -1.5%, EIG -1.5%, TAL -1.5%, EQC -1.2%, IART -1.2%, PEGA -1.1%, KBR -0.9%, FLR -0.7%, IEX -0.7%

FT : Chinese electric-car shares boosted by Volkswagen investment in Xpeng

Chinese electric-car shares boosted by Volkswagen investment in Xpeng
German group’s 5% stake will give it one seat as an ‘observer’ on Chinese carmaker’s board

Shares in Chinese electric-vehicle makers rose sharply on Thursday after Volkswagen announced a tie-up with Chinese rival Xpeng designed to boost the German car manufacturer’s lagging sales in the country.

Xpeng’s Hong Kong-listed shares climbed more than 33 per cent while those of domestic peers Nio and Li Auto rose 12 per cent and 4.2 per cent respectively. XPeng’s stock has doubled in the past six months, with analysts noting a strong recovery in sales momentum due to aggressive pricing of its new G6 model.

Volkswagen said on Wednesday it would invest $700mn in the group as it attempts to boost its presence in China’s highly competitive electric-vehicle market. The deal will give VW a 5 per cent stake in the Guangzhou-based EV maker as well as a seat as an “observer” on its board.

VW said the “initial stage” of their relationship would focus on jointly developing two VW-branded “midsized” electric vehicles, one of which is planned to hit Chinese roads in 2026.

The sprawling German group, which other than its eponymous VW brand includes companies such as Porsche and Audi, was one of the first western companies to enter the Chinese market in the late 1970s.

It still sells more cars in China than in any other company but is falling behind in the fast-growing electric segment as Chinese rivals such as Xpeng and Warren Buffett-backed BYD quickly gain market share.

BYD dominates China’s new-energy vehicle market, which includes plug-in hybrids and pure battery EVs, with a market share of more than 37 per cent.

Including the Xpeng stake, VW has this year alone announced investments worth nearly €5bn in China, the world’s largest car market and where the Wolfsburg-based company makes roughly half of its profits.

The VW-Xpeng deal was a vote of confidence in the Chinese EV industry, said Tu Le of Sino Auto Insights.

However, he added that it was also an admission by VW of its inability to compete in the electric market without Chinese technology.

VW’s increased investments in China also come as Berlin raises concerns over how reliant many German companies are on Beijing for profits amid rising geopolitical tensions.

Germany’s foreign minister Annalena Baerbock this month warned companies investing heavily in China that they would “have to bear more of the financial risk themselves”.

VW also announced on Wednesday that Audi was planning to expand its existing co-operation with SAIC, VW Group’s first partner in China.

The collaboration between Audi and SAIC would start with electric cars “in a segment where Audi does not yet have a presence in China”, VW said, without elaborating on the timing of plans.

>>> Stoxx 600 Pre-Market Indications

  • Aixtron (AIXA TH) +4.1%
    • Aixtron Boosts FY Orders Forecast
  • Mercedes (MBG TH) +1.2%
    • Mercedes Raises Guidance on Improved Car, Van Pricing (2)
  • Just Eat Takeaway (T5W TH) +1.1%
  • LVMH (MOH TH) +1%
  • Vodafone (VODI TH) +1%
  • Kion (KGX TH) +0.9%
    • Kion Boosts FY Adjusted Ebit Forecast
  • Airbus (AIR TH) +0.9%
  • UniCredit (CRIN TH) +0.8%
    • Barclays 2Q CIB Revenue Misses Estimates
  • Heidelberg Materials (HEI TH) +0.8%
    • Heidelberg Materials Forecasts FY Results
  • Stellantis (8TI TH) +0.8%
  • Deutsche Telekom (DTE TH) -0.6%
  • Shell (R6C0 TH) -0.8%
    • Shell Reports $3 Billion Buyback After Adj. Profit Miss: TOPLIVE
  • Rolls-Royce (RRU TH) -1%
  • VW (VOW3 TH) -1.2%
    • *VOLKSWAGEN 2Q ADJUSTED OPERATING PROFIT EU5.60B, EST. EU6.09B
  • Nel (D7G TH) -1.2%
  • K+S (SDF TH) -2.4%
    • DZ Bank cuts stock to hold from buy: APA

>>> TradeGate Pre-Market Indications

DAX:
  • Mercedes (MBG TH) +1.2%
    • Mercedes Raises Guidance on Improved Car, Van Pricing (2)
  • VW (VOW3 TH) -1%
    • VW Cuts Car Sales Outlook, Pledges Work on Flagging Cash Flow
MDAX:
  • Aixtron (AIXA TH) +4.2%
    • Aixtron Boosts FY Orders Forecast
  • Kion (KGX TH) +1.8%
    • Kion Boosts FY Adjusted Ebit Forecast
  • Telefonica Deutschland (O2D TH) +0.8%
  • Thyssenkrupp (TKA TH) +0.7%
  • Lufthansa (LHA TH) +0.1%
  • TAG Immobilien (TEG TH) -0%
  • Hochtief (HOT TH) -0.4%
  • Nordex (NDX1 TH) -1.3%
    • Nordex 1H Ebitda Loss EU114.3M
  • K+S (SDF TH) -2.2%
    • DZ Bank cuts stock to hold from buy: APA
SDAX:
  • Aroundtown (AT1 TH) +1%
  • DWS (DWS TH) +0.6%
    • DWS Raised to Overweight at JPMorgan; PT 38.60 euros
  • Wacker Neuson (WAC TH) -1.3%
  • Varta (VAR1 TH) -1.5%
  • Siltronic (WAF TH) -1.7%
    • Siltronic 2Q Sales Meets Estimates

>>> Europe : Brokers Upgrades & Downgrades - 27th of July 2023

>>> Up
* Cint Raised to Buy at Nordea
* Detection Tech Oy Raised to Accumulate at Inderes; PT 16 euros
* DWS Raised to Overweight at JPMorgan; PT 38.60 euros
* Heidelberg Materials Raised to Buy at AlphaValue/Baader
* Hexagon Raised to Buy at DNB Markets; PT 135 kronor
* SGS Raised to Hold at Kepler Cheuvreux; PT 83 Swiss francs

>>> Down
* Coty Cut to Hold at Jefferies; PT $14
* Covestro Cut to Add at Baader Helvea; PT 53 euros
* DSV Cut to Hold at SEB Equities; PT 1,510 kroner
* Estee Lauder Cut to Hold at Jefferies; PT $190
* Fermentalg Cut to Hold at Kepler Cheuvreux; PT 80 euro cents
* J. Martins Cut to Neutral at JB Capital Markets; PT 28.70 euros
* KMC Properties Cut to Hold at ABG; PT 6 kroner
* Multiconsult Cut to Hold at ABG; PT 165 kroner
* Sulzer Cut to Reduce at Baader Helvea; PT 86 Swiss francs

>>> Initiation

>>> Call
* Elis Results Solid, Stock Attractively Priced: Morgan Stanley

>>> What to look at today - 27th of July 2023

The dollar fell and Asia stocks gained on growing speculation the Federal Reserve is close to the end of its tightening cycle after the central bank said any further tightening would be data dependent. The commodity-driven New Zealand and Australian dollars strengthened the most against the greenback as traders trimmed bets on further Fed interest-rate increases this year. Major equity indexes advanced across the region, with Hong Kong-listed technology stocks gaining almost 3%.  The dollar is extending losses as the “market has digested the FOMC decision and the opinion is Powell isn’t more hawkish than before, therefore we’re back to the original peak rate expectation and timeline,” said Mingze Wu, a foreign-exchange trader at StoneX Group in Singapore. “S&P futures are climbing, with the dollar weakening as a result.” There was something for everyone in Fed Chair Jerome Powell’s remarks Wednesday after the Fed hiked its benchmark to a 22-year high, but the market finished the US session betting the next move would possibly be a pause. Traders and Fed policymakers will also have plenty of US data to examine on Thursday, including GDP, personal consumption expenditures and initial jobless claims. US stock futures climbed in Asia after the Dow Jones Industrial Average gained for a 13th day Wednesday — the longest winning run since 1987. 
Another driver in the US session was a batch of earnings reports, with results from big tech being scrutinized after shares notched a historic advance in the first six months of the year. Facebook parent Meta Platforms Inc. climbed in late trading after projecting revenue that beat estimates, while eBay Inc. fell on a disappointing profit outlook.  XPeng Inc. soared more than 30% Thursday, the best performer in MSCI Inc.’s Asia Pacific Index, after Volkswagen AG plans to invest $700 million in the Chinese electric-vehicle maker. Peers Nio Inc. and Li Auto Inc. also gained on the news. Samsung Electronics Co.’s shares also gained Thursday after the company reported earnings for the second quarter that beat estimates, another signal global tech spending is beginning to recover. Samsung’s results came a day after smaller rival SK Hynix Inc. reported better-than-expected sales. The current situation in Japan, with inflation running above target and wage growth ticking up, is right for the BOJ to spring the YCC tweak surprise, according to Homin Lee, senior macro strategist at Lombard Odier in Singapore. “It’s going to be a good story for the yen,” he said on Bloomberg Television.  Oil advanced amid declines in US crude inventories and gold rose for a third day. US after Hours ALGN +12.5%, CLS +8.2%, META +7.7%, LRCX +2% higher on earnings; PI -16.7%, MXL -9.1%, CMG -8.7%, NOW -3.7% lower on earnings.

Nikkei +0,79% Hang Seng +1,20% CSI +0,18% Shanghai +0,10% Shenzen -0,16%

Eur$ 1,1093 CNH 7,1373 CNY 7,1379 JPY 140,20 GBP 1,2948 CHF 0,8612 RUB 89,9916 TRY 26,9560 WTI$ 79,51 Gold 1976 BTC 29,465 ETH 1878

S&P +0,24% Nasdaq +0,58% EuroStoxx +0,39% FTSE +0,24% Dax +0,28% SMI

Macro :
- Fed Raises Rates to 22-Year High, Leaves Door Open For More

Keep an eye on :
- AALB NA : Aalberts 1H Revenue Meets Estimates
- AC FP : Accor Boosts FY Ebitda Forecast
- AIR FP : Airbus 2Q Adjusted Ebit Beats Estimates
- AI FP : Air Liquide 1H Recurring Operating Income Beats Estimates
- AIXA NA : Aixtron Boosts FY Orders Forecast
- AMG NA : AMG Critical Materials NV Sees FY Ebitda $350M to $380M
- APAM NA : Aperam 2Q Adjusted Ebitda Misses Estimates
- ANDR AV : Andritz 2Q Revenue Beats Est.; Sees Significant 2023 Growth
- MT NA : ArcelorMittal Lowers FY Global Ex-China Steel Consumption View
- ARGX BB : Argenx 2Q Vyvgart Sales Beats Estimates
- BANB SW : Bachem 1H Ebitda Misses Estimates
- BFSA NA : Befesa 2Q Adjusted Ebitda Misses Estimates
- BESI NA : BE Semiconductor 2Q Gross Margin Beats Estimates
- BB FP : BIC 2Q Net Sales Misses Estimates
- BNP FP : BNP Paribas 2Q Net Income Beats Estimates
- BUCN SW : Bucher 1H Orders Misses Estimates
- CA FP : Carrefour's French Profit Jump Validates Strategy Drivers: React
- CO FP : Casino 2Q France Net Debt EU5.52B
- DRW3 GY : Draegerwerk Still Aims to Return to Growth, Profitability '23
- ELIS FP : Elis 2Q Revenue Matches Estimates
- ENEL IM : Enel First Half Beats Consensus as New CEO Eyes Efficiency
- EOAN GY : E.ON, RWE Asset Swap Faces EU Top Court Challenge From Utilities
- ECV GY : Encavis, Badenova to Invest €200m in Renewable Energy, Form JV
- ERA FP : Eramet Cuts FY Ebitda Forecast
- ERA FP : Glencore to Pay Eramet $400 Million as Advance in Lithium Deal
- RF FP : Eurazeo SE 1H Net Income EU1.80B Vs. Loss EU96M Y/y
- FCT IM : Fincantieri 1H Revenue EU3.67B
- FRVIA FP : Forvia Boosts FY Operating Margin Forecast
- FUR NA : Fugro 2Q Adjusted Ebit Beats Estimates
- GLEN LN : Glencore to Pay Eramet $400 Million as Advance in Lithium Deal
- GTT FP : GTT Gets Order for Tank Design of 10 LNG-Fueled Vessels
- HEI GY : Heidelberg Materials Forecasts FY Results
- HOLN SW : Holcim Second-Quarter Sales Fall 11%, Missing Estimates
- IDR SM : Indra 2Q Net Income Beats Estimates
- IFCN SW : Inficon Boosts FY Sales Forecast, Beats Estimates
- INF LN : Informa Tech to Buy Channel & Mobility Firm Canalys
- INW IM : INWIT 2Q Ebitda Meets Estimates
- IPN FP : Ipsen Sees FY Core Op. Margin Above +30%, Saw About +30%
- DEC FP : JCDecaux Sees 3Q Organic Adjusted Revenue About +7%
- JMT PL : Jeronimo Martins' 7% Earnings Beat Can't Quell 2H Caution: React
- KARN SW : Kardex 1H Ebit EU43.1M Vs. EU23.8M Y/y
- KESKOB FH : Kesko Narrows FY Adjusted Ebit Forecast
- KGX GY : Kion Boosts FY Adjusted Ebit Forecast
- LEHN SW : Lem 1Q Ebit CHF26.2M Vs. CHF19.5M Y/y
- LIN US : Linde’s Focus May Be on Regions Outside of Europe: Preview
- MDM FP : Maisons du Monde 1H Sales EU543.4M Vs. EU603.9M Y/y
- MBG GY : Mercedes-Benz Raises 2023 Guidance on Improved Car, Van Pricing
- MERY FP : Mercialys 1H FFO EU57.5M
- ML FP : Michelin Boosts FY Total Segment Operating Income Forecast
- ML FP : Michelin CEO Planning More Acquisitions in Years to Come
- MONC IM : Moncler 1H Revenue Beats Estimates
- NESN SW : Nestle Sales Beat Estimates on Higher Prices for Purina, KitKat
- NXI IM : Nexity FY Revenue Forecast Misses Estimates
- NDX1 GY : Nordex 1H Ebitda Loss EU114.3M Vs. Loss EU173.3M Y/y
- OCDO LN : Short-Seller Favorite Ocado Adds £1.6 Billion in Wild Rally
- ORP FP : Orpea 2Q Organic Revenue +8.8%
- QDT FP : Bpifrance Takes Stake of About 5% in Quadient; to Buy More Stock
- RNO FP : Renault’s Margin Rises to Record on Strong Car Demand, Prices
- ROG SW : Roche 1H Sales Misses Estimates
- RWE GY : E.ON, RWE Asset Swap Faces EU Top Court Challenge From Utilities
- SAB SM : Sabadell 2Q Net Income Beats Estimates
- SAF FP : Safran Boosts FY Adj. Recurring Operating Income Forecast
- SPM IM : Saipem 2Q Revenue Misses Estimates
- SFL IM : Safilo and Fossil announce the renewal of their eyewear licensing agreement
- SGO FP : Saint-Gobain Raises FY Margin Guidance, 1H Ebitda Beats Est.
- SCR FP : Scor 2Q Net Income EU192M Vs. Loss EU240M Y/y
- SU FP : Schneider Electric Boosts FY Adj. Ebita Organic Growth Forecast
- SK FP : SEB's Robust Operational Model Supports Margin Upgrades: React
- WAF GY : Siltronic 2Q Sales Meets Estimates
- SOP FP : Sopra Steria Sees FY Organic Rev. at Least +6%, Saw +3% to +5%
- SPIE FP : Spie 1H Revenue Meets Estimates
- SNH GY : Steinhoff’s End Comes as Advisers Collect $495 Million in Fees
- STMPA FP : STMicro Boosts Quarterly Revenue 13% as Auto Demand Drives Sales
- TKTT FP : Tarkett 1H Adjusted Ebitda EU126.1M Vs. EU126.2M Y/y
- TE FP : Technip Energies Boosts FY Adj. Recurring Ebit Margin Forecast
- TEF SM : Telefonica 2Q Oibda Meets Estimates
- TOD IM : Tod's 1H Revenue Meets Estimates
- UCB BB : UCB 1H Core EPS Beats Estimates
- UMG NA : Universal Music 2Q Revenue Beats Estimates
- UNI SM : Unicaja 2Q Net Income Beats Estimates
- VACN SW : VAT Sees FY Ebitda Margin Below 32% to 37%
- VASTN NA : Vastned 1H EPS EU0.95 Vs. EU0.98 Y/y
- VCT FP : Vicat 1H Net Income EU94.0M Vs. EU78M Y/y
- VIV FP : Vivendi Enters Put Option Pact With Figaro for Sale of Gala
- VONN SW : Vontobel First Half Profit Beats Estimates Amid Client Inflows
- VOW GY : VW’s Xpeng Deal Is Evidence of China’s Growing Dominance in EVs
- VOW GY : Volkswagen Earnings Miss on Hedging Effects, China Pressure

>>> US After Hours Summary: ALGN +12.5%, CLS +8.2%, META +7.7%, LRCX +2% higher on earnings; PI -16.7%, MXL -9.1%, CMG -8.7%, NOW -3.7% lower on earnings


After Hours Summary: ALGN +12.5%, CLS +8.2%, META +7.7%, LRCX +2% higher on earnings; PI -16.7%, MXL -9.1%, CMG -8.7%, NOW -3.7% lower on earnings

After Hours Gainers:

Companies trading higher in after hours in reaction to earnings/guidance: ALGN +12.5%, CLS +8.2%, META +7.7%, ENVX +7.6% (also establishes R&D center in India; also sign manufacturing deal with YBS Intl), NXT +7.3%, CASH +4.6%, IMAX +4.3%, TNET +3.5% (also authorizes an incremental $1 bln for share repurchases), CMPR +3.4%, ASGN +3.3%, WU +2.5%, CNMD +2.4%, EG +2.3%, AGI +2.2%, AR +2.2%, NTGR +2.1%, AEM +2%, CLB +2%, LRCX +2%, TER +1.8%, NOV +1.6%, VICI +1.6%, MC +1.3%, MYRG +1.2%, ACGL +1.1%, SLM +0.9% (also acquires several key assets of Scholly), CHDN +0.7%, LSTR +0.7%, QS +0.7%, AM +0.6%, STAG +0.2%, WH +0.1% (also increases share repurchase authorization by $400 mln), BRKL +0.1%

Companies trading higher in after hours in reaction to news: NOA +3.5% (to acquire MacKellar Group for an $395 mln; also reports earnings), VRCA +1.8% (closes $125 mln debt financing), AJRD +1.4% (LHX says FTC will not block AJRD acquisition; expects to close deal on or about July 28), ACN +1% (NOW, NVDA and ACN launch AI Lighthouse), LMT +0.7% (awarded $489 mln US Navy contract modification), MDWT +0.6% (shareholders approve takeover), HTZ +0.3% (names new CFO), DKL +0.2% (increases dividend), ALSN +0.1% (wins US Army contract)

After Hours Losers:

Companies trading lower in after hours in reaction to earnings/guidance: OII -23.5%, PI -16.7%, EYE -9.3%, MXL -9.1%, GGG -9%, CMG -8.7%, NOVA -7.1%, LC -6.9%, CSL -6.7%, EW -6.3%, PLXS -5.2%, EBAY -4.5%, PTEN -4.5%, RJF -4.5%, ESI -4.3%, IEX -4.2%, VKTX -4.1% (also files mixed shelf securities offering), VSTO -3.8%, NOW -3.7% (also launches AI Lighthouse with NVDA and ACN), URI -3.6%, ATEN -3.6%, MOH -3.5%, HP -3%, PTC -2.9% (also names new CEO), FIX -2.5% (also increases dividend), ORLY -2.5% (also names new CEO), TROX -2.5%, ICLR -2.4%, AGR -2%, FTAI -2%, STX -2%, VMI -1.8%, WFG -1.8%, MAT -1.6%, SEIC -1.5%, EIG -1.4% (also authorizes new $50 mln share repurchase program), ROL -1.2%, EQC -1.1%, PEGA -1.1%, PDM -0.7%, FLEX -0.6%, GFL -0.6%, MEOH -0.5%, AWK -0.4%, CHE -0.3%, NLY -0.2%, NEU -0.1% (also increases dividend)

Companies trading lower in after hours in reaction to news: TAK -1.3% (NEJM publishes data from phase 2 study of TAK-994), BBIO -1.2% (stock offering by selling shareholders), FLR -0.7% (awarded contract by Mitsubishi Chemical), AMZN -0.2% (Amazon Fresh grocery store chains to eliminate "hundreds" of employees according to WaPo), NVDA -0.1% (NOW, NVDA and ACN launch AI Lighthouse), NNI -0.1% (awarded GSA schedule to expand support for govt agencies)