- Morning Briefing w/ KevinD
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- Monday September 9 @ 9:00am
Monday September 9 @ 9:00am
Stocks retake some of Friday's losses ahead of today's open
KevinD
September 09, 2024
"When things go badly, people become cautious. Then their caution causes things to go well, and when things go well, they become incautious. I think that's a forever cycle."
📈 The Markets Overnight
🌏 Asia: Down
🌍 Europe: Up
🌎 US Index Futures: Up
🛢 Crude Oil: Up
🪙 Gold: Up
🧐 Yields: Up
💵 Dollar: Up
🔮 Crypto: Up a bit
💵 Economic Reports and Events Today
10:00am Final Wholesale Inventories m/m: 0.3% expected, 0.3% previous. The monthly change in the total value of goods held in inventory by wholesalers. (link)
1:00pm Glowtime, Apple iPhone event. (link)
3:00pm Consumer Credit m/m: 12.3B expected, 8.9B previous. The change in the total value of outstanding consumer credit, excluding mortgages. (link)
📰 Selected Earnings Releases
Consensus Estimates shown
After Hours Today:
Pre-Market Tomorrow:
ASO Academy Sports EPS: 2.04 Revenue: 1.58B (link)
🔮 Selected Analyst Ratings Changes
CHD Church & Dwight Co: Morgan Stanley Downgrades to Equal-Weight, Maintains Target at $110.00
CL Colgate-Palmolive: Deutsche Bank Downgrades to Hold, Raises Target to $109.00
JBLU JetBlue Airways: B of A Securities Upgrades to Neutral, Raises Target to $6.00
NUE Nucor: JP Morgan Upgrades to Overweight, Raises Target to $174.00
X United States Steel: JP Morgan Upgrades to Overweight, Raises Target to $42.00
📉 Stocks In Play
BA Boeing: Up 3% as the company reaches a tentative deal with its largest union, avoiding a crippling strike, and its uncrewed Starliner returned to Earth safely over the weekend. (link)
PLTR Palantir Technologies: Up 9% after S&P Global announced the company will join the S&P 500 this month. (link)
DELL Dell Technologies: Up 5% after S&P Global announced the company will join the S&P 500 this month. (link)
TERN Terns Pharma: Up 18% on positive phase 1 weight loss drug data. (link)
SMMT Summit Therapeutics: Up 30% on strong results for its lung cancer drug. (link)
MSOS AdvisorShares Pure US Cannabis ETF: Up 8% after Trump reiterates support for rescheduling marijuana. (link)
💬 Commentary
Stocks and other risk assets pulled back sharply last week, with the Nasdaq falling back into correction territory after a nearly 3% drop on Friday driven by heavy selling in mega-cap tech after a lower than expected jobs number. SPY lost 1.7%, while IWM shed 1.9%. REITs were the strongest sector, finishing flat on the day, while all other sectors ended lower, led by technology and consumer discretionary, both plunging more than 2.5%. Crypto and oil also posted steep losses for the week. The rotation out of tech appeared to benefit bonds, which saw strong buying, along with the Japanese Yen which surged higher.
This week’s economic calendar is light but includes several key reports. The Consumer Price Index (CPI) inflation report will be released Wednesday before the open, followed by the Producer Price Index (PPI) and Unemployment Claims reports on Thursday. On Friday, the University of Michigan will publish its Consumer Sentiment and Consumer Inflation Expectations reports. While earnings season is winding down, there are still a few high-profile names reporting this week. Oracle reports after the close today, followed by retail favorite GameStop on Tuesday. Kroger reports Thursday morning, with Adobe set to release earnings after the close that same day.
U.S. stock index futures moved higher overnight but have been pulling back slightly in the pre-market. Many investors and traders may view this gap up at the open as an opportunity to reduce risk, potentially leading to renewed selling pressure. It will be up to the bulls to absorb that selling and attempt to reverse the market's recent downturn. If the market flushes below Friday’s low, it’s likely we’ll see another leg lower ahead of Wednesday’s CPI inflation report. Bulls need to step up early today to prevent further downside momentum.
⛵ When you’re ready…
Some tools/resources that I personally find valuable.
A powerful yet simple fundamental analysis tool: Stock Unlock
AI-powered stock research tools used by institutional investors: Finchat
The trading journal to help improve your trading performance: Tradervue
Analyze trade ideas with me, KevinD, in live calls: My trading group
#1 charting software for serious traders: TradingView
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