Traders Market Weekly: Fed Psychosis Reaches Next Level

Viewing 15 posts - 16 through 30 (of 30 total)
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    Dow 33,173.02 -113.23 -0.34%
    S&P 500 4,259.40 -18.48 -0.43%
    Nasdaq 13,129.96 -125.58 -0.95%
    GlobalDow 3,899.51 -6.57 -0.17%
    Gold 2,003.30 15.10 0.76%
    Oil 106.27 -2.43 -2.24%


    Market Updates

    S&P Futures vs Fair Value: +15.0
    10 yr Note: 1.990%
    USD/JPY: 116.90 +0.76
    EUR/USD: 1.0974 -0.0016
    Europe: FTSE: +1.1% DAX: +1.2% CAC: +0.6%
    Asia: Hang Seng: -1.6% Shanghai: +0.4% Nikkei: -2.1%
    Gold (1994.80 -5.60) Silver (26.22 -0.04) Crude (107.81 +1.79)


    The global equity markets are mixed but EU indices and US futures are off to strong starts. S&P Futures are up about 17 points to trade around the 4265 area. The market saw early pressure, but the 4225 region was successfully defended with the low print coming in at 4222.25. Since then, spoos have been on an upward swing with momentum kicking into high gear when Europe got underway. The S&P is currently trading closer to the high of 4275.00.

    In Asia, China closed up on the day while Japan sold off. The Shanghai managed to shake off early losses to witness a late-day rally that ended near the high. In Japan, the Nikkei was led lower by heavyweights. Tech giant SoftBank was a notable loser with a 6% decline, suffering from its exposure to China. Meanwhile, Tokyo Electron sank 3% while Fast Retailing shed 2%.

    In Europe, the major bourses are rebounding from Thursday’s sell-off. Better than expected GDP in the UK helped set the tone in the region. The January print saw growth of 0.8%, topping the consensus of 0.2%. Automotive companies are charging forward with names such as Volkswagen, BMW and Renault up 1-2%.


    S&P 500 futures 1.3% above fair value; Nasdaq 100 futures 1.4% above fair value; DJIA futures 1.3% above fair value

    Key factors driving the futures market:
    Russian President Putin reportedly says there have been “positive shifts” in Ukraine talks
    Positive tone in European markets (Germany’s DAX Index up 3.0%)
    Relatively modest losses yesterday and drop in CBOE Volatility Index below 30.00 (currently 29.41) fuel some hope of market gaining some upside momentum in near term
    President Biden to talk at 10:15 a.m. ET about new actions against Russia
    Treasury Secretary Yellen says she expects a soft landing, and not a recession, for U.S. economy
    Senate passes $1.5 trln budget bill
    The Wall Street Journal reports that nuclear talks with Iran have broken off as Russia makes demands that would enable it to deal with Iran without the weight of sanctions
    UK and EU regulatory bodies investigating Alphabet (GOOG) and Meta Platforms (FB) for anti-competitive practices
    Rivian (RIVN) sinks 9% after disappointing earnings report and tempered FY22 production outlook
    Oracle (ORCL) comes up shy of fisal Q3 EPS estimate, but issues upside guidance for fiscal Q4
    DocuSign (DOCU) down 16% following disappointing guidance


    Research calls of note:

    Upgrades: BAH, EXC, MCW, PSN, SHLS, TXRH
    Downgrades: DOCU, CVX, ORCL, TLYS


    WTI crude futures +1.0% to $107.08/bbl; wheat futures -1.7% to $10.68/bu
    10-yr note yield unch at 2.01%; 2-yr note yield unch at 1.72%


    Japan’s Nikkei: -2.1% (-3.2% for the week)
    Hong Kong’s Hang Seng: -1.6% (-6.2% for the week)
    China’s Shanghai Composite: +0.4% (-4.0% for the week)
    India’s Sensex: +0.2% (+2.2% for the week)
    South Korea’s Kospi: -0.7% (-1.9% for the week)
    Australia’s ASX All Ordinaries: -1.0% (-0.8% for the week)


    STOXX Europe 600: +2.0% (+3.2% week-to-date)
    Germany’s DAX: +3.4% (+6.1% week-to-date)
    U.K.’s FTSE 100: +1.5% (+3.1% week-to-date)
    France’s CAC 40: +2.5% (+5.0% week-to-date)
    Italy’s FTSE MIB: +2.4% (+4.3% week-to-date)
    Spain’s IBEX 35: +2.2% (+6.9% week-to-date)


    Oracle (ORCL 75.25, -1.40): -1.8% after missing EPS estimates, even as the company guided fiscal Q4 EPS and revenue above consensus.
    DocuSign (DOCU 77.70, -16.18): -17.2% after guiding revenue for fiscal Q1 and FY23 below consensus, outweighing the company’s revenue beat and share buyback authorization of up to $200 million.
    Rivian (RIVN 37.80, -3.36): -8.2% after missing top and bottom-line estimates. The company guided for FY22 production of 25,000 vehicles.
    Ulta Beauty (ULTA 387.50, +8.13): +2.1% after beating revenue estimates and authorizing a new $2.0 billion share repurchase program.
    Chevron (CVX 166.70, -4.12): -2.4% after the stock was downgraded to Underweight from Neutral at JP Morgan.
    Applied Materials (AMAT 129.25, +4.28): +3.4% after announcing a new $6 billion share repurchase authorization and increasing its cash dividend by 8.3%.


    ^^^^ thanking TRUMAN for some great posts on MKT developments 🙂

    USA + others ban Russia from Most FAV nation trade status
    USA average GAS = $4.33 for regular (due to the “Putin surcharge” – as they call it)
    We might need James Bond 007 to help us in troubled times — as FAV theme song below 🙂


    Have a great weekend all!!!


    Have a great weekend all!!!


    Dow 32,944.19 -229.88 -0.69%
    S&P 500 4,204.31 -55.21 -1.30%
    Nasdaq 12,843.81 -286.15 -2.18%
    GlobalDow 3,878.33 -25.23 -0.65%
    Gold 1,992.30 7.30 0.37%
    Oil 109.09 -0.24 -0.22%

    OHHHHHHHH THE HUMANITY – Some of the best from early albums to kickoff weekend 🙂


    March 12 – March 18, 2022 FEAR NOT Brave Investors Where have we been and where are we going? Join our weekly market thread on Traders Community… Imag
    [See the full post at: Traders Market Weekly: Fed Psychosis Reaches Next Level]

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