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Ivan, a reporter from China Fund News

On July 25, Eastern Time, the market focused on the PCE inflation data to be released this week to speculate on the Federal Reserve's future policy direction. The three major U.S. indexes rose and fell.

Ford Motor's performance fell far short of expectations and its stock price plummeted by more than 18%, marking its worst single-day performance since 2008.

The new weight loss drug was recommended beyond expectations, and the biotech company Viking Therapeutics surged more than 28%.

Markets await important inflation data

The three major U.S. indices rose and fell

On July 25, Eastern Time, after experiencing a sharp drop in the previous trading day, investors did not completely stop selling technology stocks today. U.S. stocks continued to fluctuate, with only the Dow Jones Industrial Average closing higher among the three major indexes.

As of the close, the Dow Jones Industrial Average rose 81.20 points, or 0.20%, to 39,935.07; the Nasdaq fell 160.69 points, or 0.93%, to 17,181.72; and the S&P 500 fell 27.91 points, or 0.51%, to 5,399.22.

Large technology stocks failed to counterattack today, with only Tesla closing up 1.97%, Apple down 0.48%, Amazon down 0.54%, Google down 3.1%, Facebook down 1.7%, Nvidia down 1.72%, and Microsoft down 2.45%.

Results significantly below expectations

Ford Motor plunged more than 18%

On July 25, Eastern Time, Ford Motor Company plummeted more than 18%, marking its worst single-day performance since 2008, closing at $11.16 with a latest total market value of $44.554 billion.

On the news front, the company attributed its significantly worse-than-expected performance to a surge in warranty costs for its older vehicles.

Recurring quality issues have driven up Ford’s warranty costs for years, but an $800 million surge in costs in the second quarter surprised investors. Chief Financial Officer John Lawler said it was a one-time jump in costs due to quality-related issues with models built in 2021 and earlier.

Ford Motor's revenue in the second fiscal quarter was $47.8 billion, up 6.2% year-on-year, and its EBIT was $2.8 billion. Its total revenue in the first half of the year was $90.6 billion, up 4.8% year-on-year; its net profit was $3.2 billion, and its EBIT was $5.5 billion. Among them, Ford Models, the electric vehicle business, sold 26,000 vehicles in the second quarter, with revenue of $1.1 billion and a loss of $1.1 billion in EBIT, with an average loss of $42,300 per electric vehicle.

Biotech company Viking Therapeutics surged more than 28%

On July 25, Eastern Time, biotechnology company Viking Therapeutics bucked the trend and surged by more than 28%.

On the news front, Viking Therapeutics mentioned in its earnings report released after the market closed on Wednesday local time that its subcutaneous injection drug "VK2735" for weight loss treatment will enter the Phase III trial stage. According to the research data previously released by the company, the company's oral weight loss drug has achieved positive results in clinical trials, not only with good weight loss effects, but also with low side effects.

Editor: Xiaomo

Audit: Wooden Fish