The Malta Independent 25 August 2019, Sunday

Huawei plans extensive layoffs at its U.S. operations

Monday, 15 July 2019, 10:54 Last update: about 2 months ago

The Maltese market closed in the red on Friday, with MSE Equity Total Return Index ending the session 1.005% higher, to 9,707.544 points. Best performer was Medserv plc by adding 3.64% to 1.14, followed by Malta Properties Company plc and Malita Investments plc which jumped 1.54% and 1.18% to close at 0.66 and 0.86 respectively. Biggest fall was seen from Bank of Valletta plc which slid 2.65% to close at 1.10, followed by International Hotel Investments plc and HSBC Bank Malta plc. It shed 2.38% and 1.92% to close at 0.82 and 1.53 respectively. RS2 Software plc and Main Street Complex plc were active but closed unchanged.

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European shares were little changed on Friday as drug makers came under pressure on worries the U.S. government may intervene over high drug prices, while Federal Reserve chairman Jerome Powell’s dovish comments helped limit losses. The pan-European STOXX 600 index ended flat but broke a five-week winning streak as regional equities failed to take advantage of the Fed’s accommodative stance this week.

U.S. stocks closed higher on Friday, with the Dow Jones and S&P 500 hitting fresh all-time highs, despite global growth concerns and amid expectations that the Fed will be cutting interest rates at a policy meeting later this month. The Dow Jones gained 0.8%, The S&P 500 rose 0.5%. The NASDAQ jumped 0.6%.

Huawei Technologies Co Ltd is planning extensive layoffs in the United States as the Chinese telecoms Equipment Company grapples with its U.S. blacklisting

The layoffs are expected to affect jobs at Huawei’s U.S.-based research and development subsidiary Futurewei Technologies, which employs about 850 people in research labs across the United States. Huawei’s Chinese employees in the United States were being given an option to return home and stay with the company. Some employees have already been notified of their dismissal, while more planned job cuts could be announced soon.

After the Commerce Department decided to put Huawei on its so-called entity list, Futurewei employees have faced restrictions to communicate with their colleagues in Huawei’s home offices located in China.

Last week, Commerce Secretary Wilbur Ross said the U.S. government would issue licenses to companies seeking to sell goods to Huawei where there was no threat to national security.

 

This article was issued by Nadiia Grech, Junior Trader at Calamatta Cuschieri. For more information visit, www.cc.com.mt. The information, view and opinions provided in this article are being provided solely for educational and informational purposes and should not be construed as investment advice, advice concerning particular investments or investment decisions, or tax or legal advice. Calamatta Cuschieri Investment Services Ltd has not verified and consequently neither warrants the accuracy nor the veracity of any information, views or opinions appearing on this website.

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