The Rundown - Apple WWDC Event Kicks Off, Moderna Reveals Positive Results for Covid/Flu Combo Vaccine

Episode Date: June 10, 2024

Stock market update for June 10, 2024.

Public.com presents the rundown, your daily market update in five minutes. My name is Zadmani, and today is Monday, June 10th. In today's episode, we get you ready for an action-pack week. We got Apple's WWDC. We have an inflation report coming out this week and a Fed meeting. We also tell you about Tesla's shareholder meeting this week, and then Elon will get his $50-plus billion pay package. And then stick around to the end of the show to find out about another wild stat about InVideo.

This one might be the most wild stat yet. All right, let's go. We're coming off a winning week for the stock market. The Dow, S&P, and NASDAQ were all up last week, and the S&P made record highs in the process. For the S&P and NASDA, they've been kind of on a roll. The last six out of the seven weeks have been positive. So great week for the portfolio. And we have another big week coming up.

Apple's WWDC conference kicks off today, and everyone, especially investors, are hoping to see some big AI announcements. Today's also the first trading day after the 10-1 Nvidia stocks. split, so we'll see how the market reacts to that. And we're also going to get an update on inflation. The May CPI report comes out on Wednesday morning. And the cherry on top, we also have a Fed meeting this week, which wraps up on Wednesday afternoon with a Jerome Powell press conference. The market is not expecting any rate cuts, even though other central banks have announced rate cuts on Friday, the European Central Bank announced rate cuts on Friday, but their economic situation is a bit different than over here. Because, you know, it's kind of hard to

expect the Fed to cut rates here when the stock market's making all-time highs, job market is strong, Bitcoin-year record highs, meme stocks are going crazy, all while inflation is still subverently stuck around 3%. Yeah, I can't imagine Jerome Powell's itching to cut rates anytime soon. We're going to be tuning into his press conference this week to see what he has to say. We'll keep you guys in the loop, so make sure you guys are catching every episode this week. Let's run through some headlines. Starting with Apple. Apple's worldwide developer conference kicks off today, and all the hype is around AI. What AI product is Apple going to show off today? We got some more information

over the weekend about what Apple plans to announce. Their new AI platform is going to be called Apple Intelligence, according to Bloomberg. Get it? AI? Apple intelligence? Yeah, good one, Apple. And according to the report, Apple's AI is going to be able to run on the iPhone, iPad, and Mac. Apple is going to run a version of its own in-house AI, but also include capabilities provided by Open AI. There's also supposed to be a chat sheet, BT like Chatbox. That's going to be powered by OpenAI. We're going to get all the details today. Event starts at 10 a.m. Pacific time, so set your Apple Watches, everybody. If you can't watch it, don't worry.

We're going to recap all the best stuff in tomorrow's episode of the rundown. This week is a big week for Elon as well. The Tesla Shareholder meeting kicks off on Wednesday, June 13th, and there are a lot of big votes on deck for this meeting, including Elon's $56 billion pay package. So Elon currently owns about 13% of Tesla, but if this pay package is approved, he's going to get bumped north of 20%. Now, on top of the compensation vote, Tesla is looking to move their corporation from Delaware to

Texas, and it's also seeking approval for its two new board members as well, which includes Elon's brother Kimball. So big week for Tesla, big week for Elon, and we'll keep you updated on what happens at this shareholder meeting. And finally, a Moderna announced that they developed a combo vaccine, which works to combat both the flu and COVID-19. And according to them, it's more effective at fighting the viruses than just the standalone shots. This announcement came after positive data results from a late stage trial for the

combination vaccine, and Moderna is planning to file for regulatory approval for this vaccine and hoping to hit markets by 2025. Moderna stock has been on an absolute heater over the last month, up more than 28%. Let's talk about some stocks making moves today. Starting with Southwest Airlines. Shares of Southwest Airlines are up this morning after the Wall Street Journal reported that activist investor, Elliott Management, has built up a $2 billion stake in the company, and they're going to be pushing the airline to make some changes. Southwest's stock has underperformed other airlines, and they've had a lot of issues recently. They've had a lot more customer service complaints, and who could forget the disaster

that happened in December of 2022, where they had a computer glitch that caused all their flights to get canceled. And now Southwest is facing issues with their fleet because their entire fleet is Boeing planes, and we kind of know all the drama around Boeing right now. So investors are kind of excited that Elliott management's going to start pushing for some changes that could help turn around the company, and more importantly for them, the stock price. This could mean that Southwest makes changes like removing their open seating policy, because one of the easiest ways for airlines to make money is to charge you to pick seats. It's still kind of wild that the open seating policy is there.

Also, don't be surprised if Southwest cuts the free bags, too. I think a lot of stuff is on the table here. Investors seem to be pretty excited this morning, and the stock is up more than 8% in the pre-market. On the flip side, company not doing so good this morning is 8%. is AMD. Shares of the chipmaker were down this morning after the stock was downgraded by Morgan Stanley. Their price target for the company is $176. Morgan Stanley says that the AI bar remains high for AMD and that investors are just better off investing in Nvidia instead. That's got to hurt to hear. I guess the folks over at Morgan Stanley were not impressed with the new chips that AMD showed

off last week at the Competex conference in Taiwan. AMD shares are down more than 2% in the pre-market. Let's wrap the show with the fun fact. And speaking of Nvidia, Today's fun fact is about NVIDIA. NVIDIA is worth over $100 million for every employee that works at the company. This is according to the charter newsletter. So the company recently crossed $3 trillion in market cap and overtook Apple to be the second largest company in the world. And they did that with just 30,000 employees.

Just to put that into perspective, Apple is also worth around $3 trillion, but they have around $160,000 employees. In Microsoft, which has a $3.1 trillion market cap, has over $220,000 employees. This is just one of those crazy Nvidia facts that just blows my mind. Being worth $3 trillion with 30,000 employees, just wild stuff. Well, all right, guys, that's the rundown for today. Super excited for this week. There's a lot going on.

There's tech stuff. There's economic stuff. There's Fed meeting. I mean, I'm excited for this week. If you guys want to stay in the loop of all the stuff that's happening in the markets this week, make sure you guys are subscribed to the podcast. Hit that notification bell as well on Spotify. If you guys want to be notified as soon as an episode goes up every morning.

And give us a five-star rating on Apple and Spotify. that engagement really does help the show grow. Thank you guys so much for listening. Shout out to Connor and Mike for all the help behind the scenes. We'll see you guys back here tomorrow. This is the rundown, your real-time resource for news events and trends in the markets. All views presented in the show reflect the opinions of the guests. You should not take any mention of a publicly traded security as recommendation to buy, sell, or hold that security.

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