The latest Market Talks covering the Auto and Transport sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.
0812 GMT - Recent renewed optimism on Germany's chemical manufacturer BASF is premature, since much remains uncertain around the continued conflict in the Middle East, J.P Morgan analysts say in a research note. Chemical producers in Asia, who were typically more exposed to the Strait of Hormuz for the sourcing of oil and naphtha--the key oil-based feedstock for petrochemicals--prior to the conflict, have shown greater flexibility in sourcing from alternative regions than was originally expected, the analysts say. This means that oversupply in the chemical industry might persist even in a tighter feedstock market, with potential for an even greater margin pressure, they add. Shares trade 0.2% higher at 48.49 euros. (nina.kienle@wsj.com)
0810 GMT - Uber Technologies' proposed acquisition of Germany's Delivery Hero brings more economies of scale to the business while expanding its global footprint, according to Accuvest Global Advisors' Eric Clark, who manages an ETF that has Uber among its holdings. "The cross-platform growth opportunities are what gets us excited," Clark says. Users of both Uber's mobility and delivery services typically generate three times more bookings, so the deal offers potential to expand the group's gross bookings further, he says. Moreover, it is cheaper for Uber to get more business from current users than to attract new ones on its own, the investment manager adds. Delivery Hero shares trade broadly flat. (adria.calatayud@wsj.com)
0711 GMT - Volvo AB's better-than-expected orders in its trucks division indicates that profitability can improve from already solid levels, RBC Capital Markets analyst Nick Housden says in a research note. The Swedish truck maker surprised with order intake in both trucks and construction equipment, with the divisions benefiting from cyclical recovery, Housden says. Volvo AB beat consensus expectations for sales and adjusted earnings before interest and taxes by 1% and 2%, respectively, the analyst adds. Shares trade 2.3% higher at 349.10 kronor. (nina.kienle@wsj.com)
0505 GMT - Humanoid robots appear to be a longer-term strategic initiative for XPeng that is unlikely to meaningfully contribute to near-term earnings, says Macquarie's Eugene Hsiao in an email. The Chinese electric-vehicle maker plans to launch its humanoid robot globally next year, aiming to build monthly production capacity to over 1,000 units by end-2026, The Wall Street Journal reported. Hsiao expects near-term use cases for these robots to be limited to retail display, customer service and certain manufacturing applications, but more uses should arise once production scales and costs decline. "At this stage, execution and narrative is most important as it reinforces XPeng's physical [artificial-intelligence] positioning to investors," he says. XPeng's shares are down 9.1% at 51.40 Hong Kong dollars, after rising 7.6% Thursday. (megan.cheah@wsj.com)
1741 GMT - United Airlines is better positioned than most airlines to withstand shocks, according to Melius Research in a note. While the recent increase in fuel costs will weigh on United's ability to beat Wall Street's expectations, the airline is in a particularly solid spot compared with the rest of the industry, analysts Conor Cunningham and Patrick Coleman say. They think United can still reach margins in the double-digit percentage range in 2027, given the company's strong revenue and the analysts' belief that airlines will "hold the line" on pricing. "United continues to prove that significant investment in its product, network, customers, and culture is a winning strategy," they say. (katherine.hamilton@wsj.com)
1408 GMT - Oil prices are little changed in early U.S. trade, with Brent crude hovering around $85 a barrel and WTI futures at $80 a barrel. "It feels to us that markets are still expecting that the disruption to flows will prove short-lived [...] but the perceived probability of a more extreme outcome has increased," says Neil Shearing from Capital Economics. A key reason prices have not moved significantly higher is that the departure of oil-laden tankers that had been stranded in the Strait of Hormuz for months has provided some near-term relief to supply concerns. Still, inventories cannot continue to absorb supply disruptions at their recent pace indefinitely, the chief economist says. If the strait remains closed for an extended period, oil markets could eventually reach a tipping point, triggering a sharp price spike to $120 a barrel or higher. (giulia.petroni@wsj.com)
1352 GMT - Uber CEO Dara Khosrowshahi says his company's deal to buy Delivery Hero will open up markets that would have been difficult to compete in. Adding the German company will expand the number of markets where Uber offers both delivery and ride-share services, Khosrowshahi tells CNBC. "The positions that Delivery Hero has built in these markets are almost priceless," he says. "At this point it would be impossible for a player to start fresh and build that kind of asset." Khosrowshahi also sees roughly $1 billion in synergies with Delivery Hero, he says. (katherine.hamilton@wsj.com)
1126 GMT - Uber's offer for Delivery Hero serves as a baseline for the German food-delivery company's stock price, MWB Research's Alexander Zienkowicz writes in a note. The U.S. ride-hailing company agreed to acquire Delivery Hero in a deal that values the target at $14.8 billion, offering 41.50 euros a share in cash. The offer has broad support but the closing of the transaction will take time, which presents regulatory and timing risks, he says. "With Uber's existing position and irrevocable tender commitments materially reducing acceptance risk, we raise our price target to 41.50 euros and recommend shareholders tender their shares into the offer," he adds. MWB downgrades Delivery Hero stock recommendation to sell from hold. Delivery Hero shares are up 1.3% at 38.68 euros. (najat.kantouar@wsj.com)
(END) Dow Jones Newswires
July 17, 2026 04:20 ET (08:20 GMT)
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