Beat the Street: Israel-Hamas reaction; airline stocks fall; safe-haven assets rise; Bristol-Mirati
Oil, gold and defence stocks gain on renewed Middle East tensions, while airline stocks fall. Safe havens are in vogue once again. Shard Capital's @Bill_Blain explains why Saudi Arabia will be key to how this conflict progresses.
(Video Transcript Summary)
Middle East conflict disrupts multiple sectors
In this edition of Beat the Street, host financial analyst Angeline Ong kicks things off by talking about how the conflict between Israel and Hamas is causing some major ups and downs in the market. She explains how this is affecting different market sectors like oil, airlines, coal mining and defence.
Angeline interviews Bill Blain from Shard Capital, who talks about the fear of the conflict turning into another big war and how that could impact things like oil prices and the bond market. He also gives his thoughts on how Saudi Arabia and Russia might respond and what that means for the global economy.
Conflict could spill over into other countries
Next up, the show covers some breaking news about Israel shutting down an offshore gas field. Angeline speaks with Chris Vecchio from tastylive, who emphasises the increased risk due to the conflict and how it could potentially lead to a larger conflict in the Middle East involving multiple countries.
They also discuss some upcoming events for the week, like the release of the consumer price index (CPI) and bank earnings, and how these could contribute to market volatility.
Angeline then shifts to corporate news, specifically mergers and acquisitions in the pharmaceutical industry. She highlight Bristol-Myers Squibb's acquisition of Mirati Therapeutics, as well as other big deals involving Pfizer, Merck and Sanofi.
UAW strike still ongoing
She also mentions the ongoing strike by the United Auto Workers (UAW) at Volvo's Mack trucks and the targeted strike against the 'Detroit Three' automakers by the UAW.
To wrap things up, Angeline includes a technical analysis of the S&P 500 by IG financial analyst Axel Rudolph. He looks at certain support and resistance levels and gives his thoughts on where the market might be headed based on these levels.
The video ends with breaking news of the US sending military support to Israel and a promise to keep covering how the market reacts to the conflict.
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