Weekly Sentiment Survey: Bearish Bias in the First Part of June
In week three, our team sees reasons to be nervous about the market.
A Lot More Than Rates Shook the Market
Three stories played a much bigger role in the weakness than either Iran or rates.
Weekly Roundup: How We’re Navigating the Fed’s Hawkish Pivot and Iran Risk
We locked in big gains, raised a few price targets, and extended our lead over the S&P 500 this week.
Broadcom’s ‘Good’ Wasn’t Good Enough—Now the Setup Gets Interesting
In a market addicted to upside surprises, ‘priced to perfection’ gets sold. Is this now a buying opportunity?
Broadcom Bleeds, Semis Sink, Will Jobs Numbers Stink?
After a week that feels like pulling teeth, let’s check on the ‘rotation,’ the semiconductors and brace for the jobs report.
Semiconductor Sell-Off Creates Powerful Rotation
Instead of causing concern, the selling in semiconductors triggered vigorous buying.
That’s a Wrap!
What a day! What a rally. Could have been a heck of a lot worse.
Markets opened on weakness Thursday, after a bloody day for stocks on Wednesday. Oil sold off, which was nice. That left some room for equities to rally ahead of Friday’s BLS labor market survey results for the month of May.
Thursday morning was defined by a sharp rotation out of tech. The Nasdaq Composite opened sharply lower before closing just below the unchanged mark. The S&P 500 added 0.4% for the day.
Health Care led the markets for the day, as providers and pharmaceuticals led health care. Humana ($HUM) and UnitedHealth ($UNH) gained 6.8% and 5.5% respectively. On the flipside, the semiconductors took a pounding as Broadcom ($AVGO) and Micron ($MU) surrendered 12.5% and 7.2% in that order. Nine of the 11 S&P sector SPDR ETFs closed the regular session in the green.
Quantum computing firm Quantinuum ($QNT) finally opened trading at $68 per share on the Nasdaq after its initial public offering. The company raised $1.68 billion after pricing the shares at $60 a piece.
The BLS is set to release its Jobs numbers for May tomorrow at 08:30. Consensus view is for growth of 105K non-farm positions. These results are expected to impact the outcome of the June FOMC meeting.
Have a good night, gang. It’s always a pleasure to pitch in relief of the ace of our staff, Dougie Kass. May you have a pleasant evening, and may God hold and protect those you love.
Sarge
Position: Long MU equity
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We’re Upgrading Our Broadcom Price Target and Rating
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