The Week in Business: Robinhood Fizzled as Silicon Valley Sizzled

Robinhood’s much-anticipated public offering turned bleak on Thursday. Shares at the stock-trading start-up opened at $38, but End of day fell 8.4 percent. The decline reflected investor skepticism about Robinhood’s grand mission to elevate Wall Street. As part of that mission to democratize investment, Robinhood offered one third of its initial shares to its customers through its app. This could have eased the earlier day trading “pops”, typically driven by retail investors who opted out of an initial public offering. Robinhood ended Thursday with a value of about $29 billion — still not bad for an eight-year-old company.

The pandemic has been terrible for the world, but it has been great for Silicon Valley companies. Alphabet And Microsoft Both announced record profits last week. Google’s parent company Alphabet reported a profit of $18.5 billion in the latest quarter, which is more than it earned in 2015. Its chief executive, Sundar Pichai, credited it with a “rising tide of online activity”. Microsoft made $16.5 billion, and its top executive, Satya Nadella, said the use of its collaboration products “has never been higher.” Apple, Facebook And heroine Also reported a significant jump in profits. Tesla where sold In the three months ended June, more than double the number of cars finished during the same period last year.

US economy revived in second quarter reaching its pre-pandemic level, adjusted for inflation. Exactly a year ago, it had its worst quarterly contraction on record. The good news in the latest report is that the economy appears to be recovering more rapidly than it was in the aftermath of the financial crisis. The bad news is that US production remains below its pre-pandemic growth path, and is still constrained by supply constraints and the shift in spending from services to goods, among other factors. The trajectory of the economy is also uncertain, as the highly contagious delta version of the coronavirus could threaten profits.

General Motors reported its earnings on Wednesday, and analysts will be watching how the global chip shortage is affecting its business. Like other automakers, the company has been forced to halt or slow down production of some of its vehicles, and this has hindered its ability to take advantage of rising demand for cars and trucks. Payab It reported last week that its profits fell 50 percent in large part due to chip shortages. And automakers aren’t the only companies running into problems: Apple said on Tuesday That shortfall will impact its smartphone business during the three-month period ending in September.

Centers for Disease Control and Prevention reversed its mask guidance for vaccinated individuals on Tuesday, saying they should now wear masks inside if they are in a Covid-19 hot spot. That news, along with growing concerns about the highly contagious Delta variant, has put a new twist in the companies’ plans to reopen the office. Google, Adobe, Uber and Facebook join a growing list of companies Workers need vaccinations to return to the office, and several companies said they would delay their plans. Unions reflect the sometimes conflicting concerns of their members., some are pushing for more safety measures and others are questioning vaccination requirements.

On Friday the Labor Department will release data that shows whether A Recruitment Burst in June continued in July. Economists will also learn whether reopening the economy is pulling back the millions of workers who left the labor force during the pandemic, and whether employers are raising wages as they try to get back to work.

Federal Reserve said this Won’t raise interest rates And would continue to buy government bonds, but the economy was progressing. More, Comcast’s Streaming Service, Found a much needed boost from the Olympics. You may needsad day.” And on Monday, a US ban on investment in 59 Chinese companies With relations with China’s military is effective.

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