What’s Good for This Chip Giant Isn’t Good for Its Customers
The largest stock in the market held up the indices but there was plenty of weakness under the surface.
New Salesforce Short
New short in $CRM at $251.85.
I have been patiently waiting to short salesforce as i believe, despite management’s protestations, its business model is in jeopardy.
More early next week.
Position: Short CRM (S)
Updating My Shopping List as We Await Warsh at Jackson Hole
Chips and software rally while the rest of the market struggles.
Nvidia Guidance Eases Concerns: 8 Key Items Shaping the Stock Market Thursday
Qatar’s diplomatic efforts, Warsh on deck and other headlines moving the market this morning.
Nvidia Lets the AI Trade Roll, CIA in Moscow, Warsh’s Backyard BBQ
Nvidia’s results beat Wall Street expectations by a mile, signaling the AI trade is alive and well.
That’s a Wrap!
That was a long, tough day. All of that macroeconomic data did nothing to spark the marketplace. We had to wait until the closing bell to see some of the type of action we, as traders, crave.
Equities closed slightly lower on Wednesday as traders awaited Nvidia’s ($NVDA) results, among others. The S&P 500 ended almost flat at -0.02%, while the Nasdaq Composite gave back -0.08%. Can’t make that stuff up.
Five of the 11 S&P sector SPDR ETFs wound up in the green, led by industrials ($XLI). Health Care ($XLV) was the weakest performer among these funds.
Treasury yields climbed. The U.S. 2-Year Treasury yield moved up 3 basis points to 4.21%, while the U.S. 10-Year Note paid 4.65% (+3 bps) by day’s end. The yield on the U.S. 30-Year Treasury yield ticked up 1 basis point to 5.17%.
As I send this note, we are still waiting on Nvidia. CrowdStrike ($CRWD), Okta ($OKTA) and Salesforce ($CRM) have all already reported. The market has react favorably to all three.
Position: Long NVDA, CRWD equity
Intuit Spooks Software Stocks: 8 Key Items Shaping the Stock Market Wednesday
Nvidia earnings, oil prices, PCE, potential settlement talks for Meta, and other headlines are moving the market this morning.
Calm Before Storm as Nvidia Earnings, Data Deluge, Bigger Trade War Loom
Earnings land tonight from NVDA, CrowdStrike and Salesforce, after we get a plethora of economic data and as we deal with Iran and a trade spat with Canada.
Good Morning, I’ll Be Your Tour Guide Today
It’s Wednesday! You can do it. It is I, Sarge. Dougie is off today and I am filling in as your tour guide. Let’s get some coffee into the system and get the blood flowing. You know what you need to do. You don’t need my boot pushing you along.
There will be a lot to consider as this day gets going. Before we get to Nvidia ($NVDA), CrowdStrike ($CRWD) and Salesforce ($CRM) earnings, we’ll have to get through July PCE prices, July Personal Income & Spending, July Durable Goods Orders and a speech by Richmond Fed Pres Tom Barkin.
Then, we’ll have to consider the burgeoning trade war between the U.S. and Canada, the potential for a reopening of the Strait of Hormuz, the Treasury Department’s “enhanced” liquidity management program and Jackson Hole. (Anybody who thinks Canadians are so nice has probably never played ice hockey at a decent level. That’s like saying grizzly bears are cute.)
What we do know is that both oil prices and Treasury yields are significantly lower in just a few days’ time. So, slap on those helmets. Buckle those chinstraps. Tape on that foil. It’s time to take the ice and play the game.
Rock & roll.
Position: Long NVDA, CRWD equity
Options Trading: Salesforce Sees Bullish Flow on a Price Breakout
The company will report earnings and many traders are positioned for good news.