Day in Review: July 30, 2020

A daily recap of major events and headlines affecting the market with individual investors in mind.

  • Four of the largest tech companies added $200 billion in value after hours Thursday following strong earnings reports. As of Thursday’s close, Apple, Amazon, Alphabet and Facebook were collectively worth $4.9 trillion. The companies will likely surpass $5.1 trillion as of Friday’s open, taking into account Thursday’s after-hours gains.
  • Amazon cloud revenue growth slows to 29% in Q2. Amazon’s cloud unit faced slower growth than ever before in the second quarter, with some customers getting hit especially hard by the pandemic.
  • Apple announces 4-for-1 stock split. The shares will be distributed to shareholders at the close of business on August 24, and trading will begin on a split-adjusted basis on August 31.
  • Impossible Foods brings meatless burger to Walmart. Impossible Foods’ partnership with Walmart is a “very significant” step for the company, CEO Patrick Brown said Thursday.
  • A group of Republican senators introduced a new proposal for a second set of stimulus checks on Thursday. This time, payments would be $1,000, but would apply to both adults and dependents. A family of four would stand to receive $4,000.
  • The worst might be over for the economy, but the future’s not so bright, either. Most economists, including those at the White House, have been expecting that the brutal numbers would turn around in the third quarter. Those expectations are being tempered.
  • Tax hike on California millionaires would create 54% tax rate. Democrats in the California state legislature this week proposed a tax hike on the state’s highest earners to help pay for schools and services hurt by the pandemic.
  • WHO says young people appear to be causing coronavirus cases to surge in some countries. “We have said it before and we will say it again, young people are not invincible,” WHO Director-General Dr. Tedros Adhanom Ghebreyesus said during a press conference.
  • Coca-Cola on Tuesday announced it will release a hard seltzer under its Topo Chico brand later this year.
  • FDA says it would clear a coronavirus vaccine so long as it’s safe and at least 50% effective. “If we get to 50% but it’s not safe, to me, it’s not a vaccine that we can authorize,” FDA Commissioner Dr. Stephen Hahn said.
  • Second-quarter GDP plunged by worst-ever 32.9% amid virus-induced shutdown. Neither the Great Depression nor the Great Recession nor any other slump over the past two centuries have ever caused such a sharp drain on the economy.