[ad_1]
Good morning. This article is an on-site version of our FirstFT newsletter. Sign up to our Asia, Europe/Africa or Americas edition to get it sent straight to your inbox every weekday morning
Meta yesterday reported a return to sales growth after three quarters of decline, sending its shares 12 per cent higher in after-market trading.
Revenue in the first three months of 2023 rose 3 per cent from a year ago to $28.6bn, beating analysts’ expectations for a slight decline, the social media company said in its latest earnings.
Moreover, it forecast revenues for the current quarter of between $29.5bn and $32bn, above analysts’ expectations of $29.46bn.
The owner of Facebook, WhatsApp and Instagram said its was busy creating new AI-powered features, including “visual creation tools” and “AI agents”, as well as personalised features for advertisers.
Despite the focus on AI, Meta chief executive Mark Zuckerberg reiterated his commitment to the metaverse.
He insisted “the narrative” that the company was moving away from the vision was false.
“I just want to say upfront, that’s not accurate,” he said.
Amazon is the latest Big Tech company to report results today. Here’s what else I’ll be watching:
-
Economic data: The commerce department is expected to confirm that the US economy slowed in the first quarter.
-
Results: Pharmaceutical companies Eli Lilly, Merck and Bristol Myers Squibb report results today, as do Southwest Airlines, Caterpillar and Honeywell.
-
Sudan: The limited 72-hour ceasefire between the rival military groups in Sudan finishes at midnight local time today.
Five more top stories
1. Exclusive: Johnson & Johnson’s Kenvue has been hit by claims that its talcum powder can cause cancer, days before it aims to complete the largest initial public offering in 18 months. Kenvue, which started its IPO roadshow this week, has been named in at least seven talc lawsuits. Read the full story.
2. The House of Representatives narrowly approved House Speaker Kevin McCarthy’s bill to raise the debt ceiling yesterday. The Limit, Save, Grow Act included a laundry list of Republican policy priorities to roll back some of Joe Biden’s pledges such as the cancelling student loan debt and is almost certain to fail in the Senate. Read more on what it means for the debt ceiling stand-off.
3. Microsoft vowed to appeal the UK regulators’ decision yesterday to block its blockbuster $75bn acquisition of Activision. Shares in Activision, creator of the Call of Duty games franchise, fell 11 per cent on the news. Read more on what the decision means for Microsoft’s gaming ambitions.
4. First Republic shares dropped another 30 per cent yesterday, taking its losses for the week to 60 per cent as potential bidders held back from stepping in and rescuing the San Francisco-based lender. Regulators are watching the situation closely in the hope that a private-sector solution can be found, people close to the company said. Read the latest on efforts to rescue the lender.
5. Colombia’s leftist president Gustavo Petro has ousted moderate finance minister José Antonio Ocampo after his governing coalition broke down amid disputes over radical plans for reform. Ocampo will be replaced by Ricardo Bonilla, who served under Petro when he was mayor of Bogotá.
The Big Read
LVMH became Europe’s first $500bn company this week and the only one to be ranked among the 10 biggest global companies. Its ascent is a testament to the startling rise and resilience of the luxury sector, which has thrived through financial crises, a pandemic, geopolitical ructions and spiralling inflation.
We’re also reading . . .
-
Disney vs DeSantis: The media company has sued the Florida governor and other officials, claiming the state violated its constitutional rights over its stance on the “Don’t Say Gay” law.
-
Selling cigarettes to North Korea: US officials have revealed an “elaborate scheme” by British American Tobacco to sell products to North Korea.
-
Crypto crime: Crypto’s record of illicit activity isn’t a bug — the technology was designed to evade rules governing the financial system, writes Jemima Kelly.
Chart of the day
Since becoming the Bank of Japan’s governor this month, Kazuo Ueda has carefully signalled policy continuity, but few investors are taking his words at face value. Any change in policy would have huge implications for the bond market and the central bank’s massive asset purchase programme.
Take a break from the news
King Charles III has often been described as stiff and awkward-looking. But this has obscured the fact that he is an exceptionally good dresser. As a wiry, fit young man in his polo kit, Charles was, whisper it, even a little bit hot, writes Robert Armstrong.
Additional contributions by Tee Zhuo and Emily Goldberg
Thank you for reading and remember you can add FirstFT to myFT. You can also elect to receive a FirstFT push notification every morning on the app. Send your recommendations and feedback to firstft@ft.com
[ad_2]
Source link
