Shares of Yellow dive after the trucking company filed for bankruptcy and Berkshire Hathaway reports a 6% increase in earnings after it boosted its investment income. Here’s what investors need to know today.
1. Yellow Shares Plummet After Trucking Company Files for Bankruptcy
Shares of troubled trucking company Yellow (YELL) plummeted 27% in pre-market trading after it filed for Chapter 11 bankruptcy protection on Sunday, following a week where its share price shot up more than 400% after announcing its intentions to file. The company, which had mounting debt and was in a labor dispute with the Teamsters union, said it will secure a loan to help with the sale of its assets.
2. Berkshire Hathaway Shares Rise on Higher Investment Income
Berkshire Hathaway (BRK.B) shares traded 1.5% higher after the company reported a 6% increase in earnings for the second quarter, posting a quarterly profit of $35.9 billion, beating the $43.5 billion loss from the same period the year prior. The holding company operated by CEO Warren Buffett reported its operating profits were lifted by its higher investment income and strength in its insurance underwriting business.
3. Lucid Cuts Price of Air Sedan as It Ups Competition With Tesla
Electric vehicle maker Lucid Group (LCID) announced it would lower the price of its Air sedan, ahead of its second-quarter earnings report scheduled to be released today after markets close. The price cuts to the three different models come after rival Tesla (TSLA) has also made similar cuts and are expected to help make the automaker backed by the Saudi Arabia’s Public Investment Fund more competitive. Both Tesla and Lucid shares were up about 0.4% in pre-market trading.
4. Warner Bros. Discovery Shares Climb After Barbie Breaks $1 Billion in Ticket Sales
Shares of Warner Bros. Discover (WBD) traded 0.75% higher after its hit movie Barbie broke $1 billion in global ticket sales, while another movie from the studio, Meg 2, grossed $30 million to be the second-highest-grossing film of the weekend. Shares of Comcast (CMCSA) were down 0.75% as its summer hit Oppenheimer surpassed $500 million in global ticket sales.
5. Federal Reserve to Release June Consumer Credit Report
The Federal Reserve will give investors a look at U.S. credit when it releases its monthly report on consumer credit at 3 p.m. ET. The G.19 Consumer Credit report is expected to show outstanding credit reaching $11.0 billion, compared with $7.3 billion from the previous quarter.