A Chill Blows Through Wall Street
Summer fun has ended as we enter a seasonally tough month, a potentially volatile October, uncertainty in Iran, and an escalating trade fight with Canada.
Palantir and Onsemi Calm AI Concerns: 8 Key Items Shaping the Stock Market Tuesday
What to watch with SpaceX earnings, U.S munition pain point, Duke Energy’s capital plan, and other headlines are moving stocks this morning.
Who Wants to Believe in Iran Talks? (The Markets Do); Big Earnings; Yen Plan
Let’s look at how Trump holds off big attack on Iran and the markets look optimistic, a joint plan for the yen, and earnings on tap for this week.
Why Aren’t More People Worried About the Banks?
The Semiconductor stocks remain oversold and getting worse. Could the bank stocks be next?
Covered My Short Basket!
I have just covered the balance of my high-beta, high-tech short basket for a large gain:
* $AMAT $569.74 (-$11)
* $AMD $504.44 (-$25)
* $CAT $889.10 (-$25)
* $CRWV $72.67 (-$5)
* $INTC $97.78 (-$5)
* $MU $850.75 (-$55)
* $SNDK $1440.64 (-$175)
Position: None
The Memory Rout
I am covering some of my high-beta/high-tech positions in my short basket now:
* $CRWV $74.91 (-$5)
* $AMD $512.45 (-36)
* $MU $879.74 (-$104)
* $INTC $99.53 (-$8)
* $SNDK $1,498 (-$259)
* $AMAT $559.96 (-$36)
* $CAT $892.69 (-$41)
Position: Short CRWV (VS), AMD (VS), MU (VS), INTC (VS), SNDK (VS), AMAT (VS), CAT (VS)
Still Short My High-Beta, High-Tech Basket
I am still short my high-beta, high-tech basket which includes these names (and others): Intel ($INTC), Micron ($MU), SanDisk ($SNDK), Applied Materials ($AMAT), Advanced Micro Devices ($AMD), Caterpillar ($CAT), CoreWeave ($CRWV).
Position: Short INTC (S), MU (S), SNDK (S), AMAT (S), AMD (S), CAT (S), CRWV (S).
Examining ‘Group Stink’
* And fading it…
I don’t own and am currently short (and have been recently short C, JPM, GS, MS, UBER, NFLX, homebuilders, etc.) some of the most consensus sectors.
I am long some of the most non-consensus sectors.
Consensus Longs:
* Memory: SanDisk ($SNDK), Micron ($MU), Intel ($INTC), AMD ($AMD), Applied Materials ($AMAT) (“it’s different this time”)
* Value Tech: Adobe ($ADBE), Oracle ($ORCL), ServiceNow ($NOW) and Nvidia ($NVDA)
* Tech With Biggest Moat: Apple ($AAPL)
* Value Industrial: Caterpillar ($CAT)
* Best Overall Value: Homebuilders
* Streaming: Netflix ($NFLX)
* Autonomous: Uber ($UBER)
* Entertainment: Disney ($DIS)
* Financials: JPMorgan ($JPM), Citigroup ($C), Goldman Sachs ($GS), Morgan Stanley ($MS)
* Frontier Exposure “For The Long Haul”: SpaceX ($SPCX)
Non-Consensus Longs:
* Cannabis: $MSOS, $VRNOD, $TRLV, $GTBIF, $GLAS
* Private Equity: Apollo ($APO), Blackstone ($BX), KKR ($KKR)
* Consumer Staples: Kimberly-Clark ($KMB), PepsiCo ($PEP), Procter & Gamble ($PG)
Positions:
Long MSOS (L), VRNOD (S), TRLV (S), GTIBF (S), GLAS (S), APO (S), BX (S), KKR (S), KMB (S), PEP (S), PG (S)
Short SPCX (VS), SNDK (VS), MU (VS), INTC (VS), AMAT (VS), AMD (VS), CAT (VS)
Not Losing My Memory Shorts
In response to some subscriber emails I am maintaining a small portion of my high-beta, high-tech short package – including (but not restricted to ($SNDK), ($MU), ($CAT), ($INTC), ($AMD), ($AMAT), ($CRWV) etc.)
Positions: Short Package VS (including stocks mentioned above)
‘Big Short’ Michael Burry Shorts the AI Trade
Was Wednesday’s poor market performance a warning of things to come?