Stocks mixed in Wall Street – Dell returned to the markets

The US stocks were mixed on Friday trading in Wall Street. The Dow Jones index was down 0,52 % to 23018 points, but the Nasdaq-index ended up 0,08 % to 6584 points. Larger S&P 500 index ended down 0,13 % to 2485 points.

Technology-company Dell Technologies (DVMT) returned to the markets, when its listing started again. The shares were listed in NYSE after six years as a private company. During Friday, the banking group Wells Fargo (WFU) announced that it will pay 575 million dollars to the state as settlement of phony accounts and customer abuses.

The e-cars manufacturer Tesla (TSLA) announced two new board members as part of the SEC settlement. The Oracle co-founder Larry Ellison and HR director Kathleen Wilson-Thompson will join the board. Tesla shares gained after the news. California is also the first US state to mandate women in boards.

In Europe the stocks gained and for example in London the FTSE 100 -index rose 1,89 % to 6653 points. In Germany the DAX-index ended up 1,71% to 10558 points and in France the CAC 40 index ended up 1,74 % to 4678 points.

In Asia stocks were mixed. In Tokyo the Nikkei-index ended down 0,31 % to 20014 points, while in Hong Kong the Hang Seng index gained 0,10 % to 25504 points.

Euro was trading slightly up 0,20% at 1,14 dollars and the UK sterling 0,47 % up to 1,27 dollars.

Brent oil, ICE, was up 0,08% to 52,20 dollars per barrell.

The year 2018 has been very downside trend for the global stocks and according to Bloomberg this year has been the worst year since 2008.

The volatility is expected to continue in 2019. On the agenda there is for example the Brexit vote, USChina trade talks, US Goverment shutdowns and the monetary policies of central banks.

Business Finance

Tesla to fund the growth – 500 million dollars stock offering

Tesla Motors Inc. (TSLA) has announced a 500 million dollars stock offering. According to the company release this public offering will accelerate the growth of Tesla Energy, development of the new Model 3 and the Gigafactory.

Underwriters for this offering are Goldman Sachs, Morgan Stanley, JP Morgan Chase, Deutsche Bank, Bank of America and Wells Fargo.

Elon Musk, the CEO of the company, will buy shares worth 20 million dollars. The company made the IPO in June 2010 and raised capital worth 226 million dollars. After that the company has raised debt offerings including also the credit line of max 750 million dollars in June 2015.

According to the company interim report in early August 2015 the company said it will expand its network of Tesla Stores, service centers and Supercharges. The new model of Tesla car, the Model 3, is expected to the markets during 2016 and the world´s largest battery manufacturing facility is expected to be ready during 2017. The factory is based in Nevada and the initial investment of the facility and equipment was 5 billion dollars.

Finance Tech

Blackstone and Wells Fargo to buy real estate assets worth 23 billion dollars

The world largest private-equity investor in real estate Blackstone and Wells Fargo announced yesterday that they will buy most of General Electric Co´s real estate assets valued at 23 billion dollars. According to Bloomberg News the deal consists real estates in California, Seattle, Chicago and also some European office, retail and industrial properties and commercial mortages in Mexico and Australia.The deal is the largest real estate transaction since the financial crisis and among the biggest for Blackstone.

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Business