(Illustration: Camille Charbonneau)
THE ESSENTIAL NEWS
• Nvidia cuts prices in China in fight against Huawei chips, sources say. The most advanced artificial intelligence chip developed by Nvidia for the Chinese market has gotten off to a rocky start, with an abundance of supply forcing it to price lower than a rival chip from the Chinese tech giant Huawei, according to sources familiar with the matter.
• The board of directors of the Canadian clothing manufacturer Gildan resigns, former CEO Chamandy returns. Canadian clothing maker Gildan Activewear announced Thursday that its board of directors had resigned and that its chief executive, Vince Tyra, had been replaced by his former boss, Glenn Chamandy.
• Tesla cuts Model Y production in Shanghai, data shows. Tesla has cut production of its best-selling Model Y electric car by a double-digit percentage at its Shanghai factory since March, according to industry data and a Source.
• Burger King launches $5 meal. Restaurant Brands International-owned Burger King is preparing to launch its own $5 meal, a company spokesperson said Thursday, as rival McDonald’s also plans to launch a similar meal.
• Guyana could reallocate gas zones if Exxon does not move forward with its project. An oil consortium led by Exxon Mobil may have to decide by October whether to pursue exploitation of a major natural gas discovery off the coast of Guyana, the country’s vice president said Thursday .
TRENDS BEFORE OPENING
Futures for Canada’s main stock index are rising slightly, supported by a rise in gold prices, as investors await domestic retail sales data due later in the day. U.S. stock index futures are rising after closing lower in the previous session on signs of persistent inflation that have renewed caution on monetary policy. At the same time, European stocks were subdued as signs of continued price pressures in the United States and the recovery of the euro zone economy reduced hopes for several interest rate cuts from the of the main central banks this year. In Asia, Chinese stocks and Japan’s Nikkei ended lower following higher-than-expected U.S. manufacturing data. The US dollar has strengthened. Oil prices have fallen due to fears of reduced demand.
(Re)read all the market news.
HEADLINES TO FOLLOW
Movements
• Gildan Activewear: The Canadian clothing manufacturer announced Thursday that its board of directors had resigned and that its chief executive Vince Tyra had left his position to be replaced by former top boss Glenn Chamandy. Outgoing directors named nominees from activist investor Browning West to the board and ended discussions over the previously announced sale process. The board asked Chamandy to leave without giving a specific reason, but then cited his failure to find additional avenues for long-term organic growth.
• Laurentian Bank of Canada: has named its former executive Christian De Broux as its new chief risk officer, the company announced on Thursday. De Broux will assume his new role from June 17. He was the chief credit officer during his previous tenure, according to his LinkedIn profile. He will succeed William Mason, who is retiring after six years at the bank.
Others
• Restaurant Brands International: Burger King is preparing to launch its own $5 menu, a company spokesperson said Thursday, as rival McDonald’s also plans to launch a similar menu. “We are bringing back our “Your Way Meal” menu to $5, as agreed with our franchisees in April,” the spokesperson said. Bloomberg News was the first to report details of Burger King’s launch of the $5 menu, adding that it will launch before McDonald’s. Burger King’s menu would include a choice of three sandwiches with nuggets, fries and a drink, according to the Bloomberg report. Burger King plans to offer its offer for several months, the report said, citing the memo. Meanwhile, McDonald’s promotion would last about four weeks, according to Bloomberg News.
