All three major US indexes were up in late-morning trading on Friday as investors appear poised to close the week on a strong note before turning their attention to a critical meeting of the Federal Reserve's rate-setting committee on Sept. 17-18.
In company news, Boeing's (BA) unionized workers on Thursday rejected a tentative contract proposal negotiated by the company and the union leadership and opted to go on strike. Nearly 95% of the 30,000 Boeing workers who voted on the proposal rejected it, and 96% voted in favor of labor action, the International Association of Machinists and Aerospace Workers said on its website. Shares of Boeing were down 0.5%.
Adobe (ADBE) reported fiscal Q3 non-GAAP earnings late Thursday of $4.65 per diluted share, up from $4.09 a year earlier and above the Capital IQ consensus analyst estimate of $4.54. Fiscal Q3 revenue was $5.41 billion, up from $4.89 billion a year earlier and above the Capital IQ consensus estimate of $5.37 billion. The company expects fiscal Q4 non-GAAP EPS of $4.63 to $4.68, compared to the Capital IQ consensus estimate of $4.67. Adobe expects fiscal Q4 revenue of $5.50 billion to $5.55 billion, below the Capital IQ consensus estimate of $5.60 billion. Shares of Adobe were down 9.2%.
White House officials are signaling that President Joe Biden will not immediately move to block Nippon Steel's proposed acquisition of US Steel (X), The Washington Post reported Friday, citing three people with knowledge of the matter. Last week, the White House was preparing to announce Biden's formal block of the proposed $14.9 billion deal over national security concerns, but now White House officials have indicated that such a decision may not be made until after the 2024 presidential election, the people reportedly told The Washington Post. Shares of US Steel were up 7.2%.
United Airlines (UAL) said Friday that it has signed an agreement with SpaceX to equip its aircraft with Starlink's Wi-Fi service. Financial terms of the deal were not disclosed. The service connectivity will provide United passengers with free access to live TV and streaming services, social media, shopping and games on seatback screens and personal devices, United said. Testing of the service will start early next year, with the first flights scheduled for late next year, the company said, adding that the equipment will be installed over the next three years. Shares of United Airlines were up 2.2%.
The Carlyle Group (CG) intends to take StandardAero public, Bloomberg reported late Thursday, citing people familiar with the matter. Carlyle opted to pursue an initial public offering after trying to sell StandardAero and receiving bids this week it felt valued the aircraft maintenance services provider below what it could fetch in a listing, the sources told Bloomberg. Shares of Carlyle Group were up 2%.
Ares Management (ARES) is holding advanced talks with GLP Capital Partners on a deal that would see Ares acquire GLP's operations outside of China, Bloomberg reported, citing people familiar with the matter. The two companies are finalizing the details of a transaction that would feature a roughly $3.5 billion upfront payment with the possibility of additional payments totaling about $1.5 billion over time should certain targets be met, some of the people reportedly told Bloomberg. Shares of Ares were up 1.6%.
Price: 162.38, Change: -0.39, Percent Change: -0.24
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