UBS lowers outlook on 'Big 6' tech stocks due to slowing earnings growth
UBS has lowered its outlook for major tech companies like Apple and Google due to a slowdown in their earnings growth. Last week, the tech sector experienced its biggest drop in over a year, heavily impacting companies like Nvidia.
UBS predicts that smaller tech companies will soon lead in earnings growth. Investors are watching closely as companies like Meta and Microsoft prepare to release their earnings this week.
UBS remains optimistic about the overall stock market, maintaining a positive year-end target for the S&P 500 Index.
EU threatens TikTok with fines over new app, citing addiction concerns
The European Union is investigating TikTok's new Lite app, launched in France and Spain, for not fully assessing its risks according to EU content laws.
The app, which rewards users with points, could foster addiction, especially among children, prompting the EU to potentially suspend the rewards program. TikTok has been given deadlines to address the EU's concerns or face significant fines.
This probe underlines the EU's stringent Digital Services Act regulations, as TikTok also faces legal challenges in the US regarding its ownership and operations.
Sanofi agrees to $100 million settlement in Zantac cancer lawsuits
Sanofi has agreed to pay over $100 million to settle approximately 4,000 lawsuits claiming that its heartburn medication, Zantac, could cause cancer. Each claimant could receive an average of $25,000.
This move is part of Sanofi's strategy to minimise the costs and distractions of ongoing litigation, albeit their denial of any cancer link with Zantac.
The settlement news boosted investor confidence, raising Sanofi and GSK's stock prices. However, the total payout could vary as not all claimants may accept the settlement.
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