When it Neorains, It Neopours
Positions: None.
Pending Qualcomm Layoffs Reflect Weak End Markets, Not Culture Building
Reuters is reporting that Qualcomm ($QCOM) is poised to embark upon a “performance-focused reduction” in headcount with notifications set to begin in November.
While Reuters reports these moves are “part of an effort to build ‘a stronger performance culture’ and address situations where the company ‘has consistently fallen short of expectations'”, the reality of the situation can be traced back to recent data from IDC and other research firms about the smartphone and PC markets.
According to the IDC Worldwide Quarterly Mobile Phone Tracker, global smartphone shipments plunged a record 22.0% year-over-year in Q3 2026 to 255.3 million units due to the “AI-led memory and RAM crisis.”
Preliminary data from IDC finds worldwide PC shipments dropped 20.1% year-over-year in Q3 2026 to 62.7 million units.
With industry figures like those, odds are Qualcomm won’t be the only supplier to those end markets reducing headcount.
Charting the Late Morning Market
– NYSE volume flat to its one-month average;
– Nasdaq volume 8% above its one-month average;
– VIX index: down 3.80% to 17.74
Breadth
SOURCE: Interactive Brokers
S&P500 Indexes
SOURCE: Barchart
% GAINERS, DECLINERS
SOURCE: TheStreet Pro
Nasdaq 100 and
S&P500 Heat Maps
SOURCE TheFly
I’m Lowering My Price Target for RTX Despite Earnings Beat
The quarter was great, guidance awesome, and cash flow roaring. Let’s dive into the numbers and check the chart.
A Quick Profit
I have covered my $SPY short at $768.98 for a quick profit.
Position: None
Fake News?
Break in!
Equities are taking a leg lower based on reports (from “Trade The News“) that an Iran/U.S. ceasefire deal is “close” is untrue.
Position: None
Housing Starts Slide to Second-Least Since May 2020 and Single-Family Permits Weakest Since March 2023
Starts fell more than every Bloomberg estimate with single-family the least in a year, while single-family permits dropped to the lowest since March 2023.
How I’m Trading SpaceX Earnings as Rotation Gains Traction
Money is moving out of tech ahead of the big reports, and Oscar Health just gave me a reason to add.
More on The Weave
I covered my $CRWV short between $62 AND $63 on Sunday night – as reported.
Positions: None.
More Housing Pain Reinforces This Bullpen Decision
September housing starts miss, but there is more to the margin pressure story.