Trump Media Stock Drops After Guilty Verdict

Equities

On Thursday, the FTSE 100 rebounded from a six-day downturn, closing up by 0.6%. This upswing was notably supported by Auto Trader Group, which saw its shares surge 12.9% following a profit announcement that exceeded expectations. Another significant mover was Ocado Group, which recovered 6.5% after a sharp drop of over 12% the previous day. The recovery came amid news that the online supermarket could be demoted to the mid-cap FTSE 250 index, sparking a flurry of activity as hedge funds covered their short positions.

Across the Atlantic, the US stock market faced challenges as the S&P 500 fell by 0.6% and the Nasdaq Composite dropped by 1.1%. This decline in US indices was led by a sharp fall in technology stocks, particularly after Salesforce reported a disappointing forecast, leading to a 19.7% plunge in its share price. This was a significant blow given Salesforce's influence on the tech sector, which saw a broader 2.5% decline.

Another noteworthy US company, Tesla, contrasted with the general downtrend by climbing 1.5% after reports surfaced of its plans to roll out advanced 'Full Self-Driving' software in China. Conversely, Dell Technologies saw its shares tumble by more than 12% following the release of its quarterly results, which failed to meet market expectations. Similarly, Kohl's shares plummeted by 22.9% as the department store chain cut its annual sales and profit forecasts, reflecting a tough retail environment.

Forex & Commodities

The US dollar weakened, with the dollar index dropping by 0.34% to 104.77, following a revision in US first-quarter GDP data which showed a slower growth rate than initially estimated. This adjustment, from a 1.6% to a 1.3% annualised growth rate, came alongside downward revisions to consumer spending and influenced Treasury yields, which also declined.

The British pound saw an uplift, rising 0.26% to $1.2734 against the dollar. Meanwhile, the euro appreciated by 0.26% to $1.0828. These shifts come ahead of the release of the US Personal Consumption Expenditures price index, the Federal Reserve's favoured measure of inflation, expected on Friday.

In the commodities market, gold prices increased slightly by 0.13%, reaching $2,341.94 an ounce, reflecting a retreat in both the dollar and bond yields. Conversely, oil prices experienced a decline; US crude fell by 1.67% to $77.91 a barrel, and Brent futures dropped by 2.08% to $81.86 per barrel.