The S&P 500 and the Dow Jones remained relatively flat this past week as new data on inflation showed a monthly uptick in consumer prices for the first time in 12 months.
The S&P was down 0.5% on a weekly basis at the time of writing Friday, while the Dow was up 0.6%. The Nasdaq Composite fell 2% on a weekly basis as some investors took profits from a July tech rally.
The consumer price index for July rose to 3.2% in annual inflation, up from 3% in June. Core CPI decreased from 4.8% in June to 4.7% in July.
The producer price index also grew in July. July’s index grew by 0.3%, led by an uptick of 0.5% from the service sector. Without a seasonal adjustment, the real increase was 0.8% as compared with last year.
Sports betting firm's deal with ESPN pays off
Shares of gambling and sports betting company Penn Entertainment Inc. spiked more than 20% on Tuesday as the company announced an exclusive sports betting deal with ESPN, a subsidiary of The Walt Disney Co. The agreement includes the launch of ESPN Bet, a sportsbook that will be operated by Penn, which has agreed to pay roughly $2 billion over the next decade for using the ESPN brand. Penn shares took a dive during the following days and are now down 3.2% on the week.
Disney stock was up 4% this past week after the company reported a mixed third quarter. Revenue grew 4% annually for this quarter but came in below analyst expectations at $22.3 billion.
Shares of meme stock AMC Entertainment Holdings spiked on Tuesday after the company reported earnings, but corrected over the course of the week.. The company’s revenues beat the Street consensus and grew 15.6% year-on-year.
EV manufacturer Rivian Automotive Inc. lost 15.6% of its value this past week as the company reported losses of $1.08 per share on its latest call.
Hydrogen fuel cell bull Plug Power Inc. (NASDAQ: PLUG) was one of the worst losers of the week, with shares tanking as much as 23.3% on a weekly basis as of Friday, despite reporting better-than-expected quarterly results.
Cannabis stocks fizzle on earnings
Pioneer Canadian cannabis producer Canopy Growth fell 12% weekly after the company’s financial struggles and difficulties reaching profitability destabilized investor trust. American multistate operator Curaleaf Holdings Inc. lost 18% of its value after reporting losses of 9 cents per share, almost double the anticipated 5 cents. Canadian producer Aurora Cannabis Inc. had a more moderate drop of 3.5% weekly, reporting revenues of $75.1 million versus $50.1 million in the prior year period.