Good MorningEquities face an important hurdle today in the form of the Consumer Price Index. The CPI data is expected to moderate from the previous month but remain high and in favor of aggressive FOMC action. The obvious risk for the market is the data will be hotter than expected, the real risk is that CPI data no longer matters. It is clear to the market that inflation is out of control and will continue to rise over the next several quarters at a very robust pace. In this light, the FOMC can be expected to hike rates for an open-ended amount of time and alter the face of the economic world for the next decade or longer. In this scenario, the market is set up for a fall and will most likely retest 3,900 on the S&P 500 within the next week.
Next week, the risk for the market will be the FOMC meeting. The FOMC meeting should bring a 50-basis point interest rate hike with the possibility the timeline for follow on rate hikes will be accelerated. The takeaway is that without some major change to the economic fundamentals (and we don't see one coming) the S&P 500 will spend the next few years recovering from the pandemic and nearly 15 years of easy money policy. Featured: The Right Opportunities... (PTR) 
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Politics | | | Shares were mostly lower in Europe and Asia on Friday ahead of the release of key U.S. consumer inflation data, while U.S. futures were little changed.
The latest report on the U.S. consumer price index was due later in the day. Economists expect it to show inflation slowed a touch to... Read the Full Story |
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From Our PartnersFew believed Nomi Prins when she called the 2008 meltdown. Now, she's issuing a new warning. | | | | Learn more. |
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Politics | | | Battling rampant inflation, Zimbabweans are counting their toes as they struggle to buy food for their families.
An internet rumor blazed through the country that desperate people were selling their toes for cash. The false report became so widespread that the country's Deputy Ministe... Read the Full Story |
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Markets | | |
Netflix (NASDAQ: NFLX) has been in the news lately along with Roku (NASDAQ: ROKU), with rumors of Netflix acquiring Roku. Both the companies have witnessed significant declines (-70%) in their stock from their 52-week high, as intense competition and a slowdown in revenue weighs on the stocks.&nbs... Read the Full Story |
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Politics | | | The Port of Los Angeles is a testament to President Joe Biden’s unrewarded efforts to address what he calls his top economic priority: inflation.
Biden will speak at the port, America's busiest, on Friday with inflation persisting as a problem that has eluded his policy tweaks, deals ... Read the Full Story |
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Politics | | | NATO-member Norway terminated its two-decade-old contract with a France-based manufacturer for 14 maritime helicopters, citing delays, errors and time-consuming maintenance, The Norwegian defense minister said Friday that the government will return the NH90 helicopters it received so far and expects a refund of $525 million Read the Full Story |
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From Our PartnersWhy should investors trade during a crypto bear market? The answer is simple: OPPORTUNITY. And we're giving away the three best opportunities we have found this year. | | Click Here to See ALL 3. |
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Politics | | | The British government plans to burn billions of pounds (dollars) in unusable personal protective equipment purchased in haste during the coronavirus pandemic, a public spending watchdog said Friday.
The idea of burning the facemasks, gowns and other equipment to generate power has no... Read the Full Story |
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Markets | | | The Q3 report from Campbell Soup Company (NYSE: CPB) is a good reason why the Consumer Staples Stocks will outperform over the next 12 to 24 months. The key takeaway from the report is that inflation is still rising but the company has been able to mitigate the impact. Read the Full Story |
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Markets | | | Enterprise hybrid multi-cloud computing platform Nutanix (NASDAQ: NTNX) stock was a unicorn on its IPO but has plunged like a rock down (-47%) on the year. The virtualization platform is benefitting from the acceleration of enterprise digital transformation and multi-cloud operating models. The Comp... Read the Full Story |
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Markets | | | It doesn’t matter if the May CPI data is hot or not, if it shows a peak or not, because high inflation is here to stay for a while and it may even accelerate in the back half of the year. The FOMC, the agency in charge of economic conditions ie inflation has been wrong about it from the get-go and is so far behind the curve it scares us to think about what may happen over the next few years. Read the Full Story |
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Markets | | | We’ve liked Oil-Dri Corporation (NYSE: ODC) as a small-cap dividend payer for a long time and the value has only gotten better. The company’s margins took a hit over the past year that helped drive the share price to the lowest level in 7 years and margins are on the mend. Read the Full Story |
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Friday's Early Bird Stock Of The Day Twitter, Inc. operates as a platform for public self-expression and conversation in real-time. The company's primary product is Twitter, a platform that allows users to consume, create, distribute, and discover content. It also provides promoted products that enable advertisers to promote brands, products, and services, as well as enable advertisers to target an audience based on various factors, including who an account follows and actions taken on its platform, such as Tweets created and engagement with Tweets. Its promoted products consist of promoted ads and Twitter Amplify, Follower Ads, and Twitter takeover. In addition, the company offers monetization products for creators, including Tips to directly send small one-time payments on Twitter using various payment methods, including bitcoin; Super Follows, a paid monthly subscription, which includes bonus content, exclusive previews, and perks as a way to support and connect with creators on Twitter; and Ticketed Spaces to support creators on Twitter for their time and effort in hosting, speaking, and moderating the public conversation on Twitter Spaces. Further, it offers products for developers and data partners comprising Twitter Developer Platform, a platform that enables developers to build tools for people and businesses using its public application programming interface; and paid access to Twitter data for partners with commercial use cases. Twitter, Inc. was founded in 2006 and is based in San Francisco, California. | | View Today's Stock Pick |
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