Thursday, October 15, 2020

↘️ Stocks Drop Amid Lackluster Earnings

Good morning. Earnings season is an unusual time. A company can beat on earnings, but offer poor..
It's the monthly jobs numbers today and they're not going to be pretty and will be possibly the tip of the iceberg as we head into May.
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Good morning. Earnings season is an unusual time. A company can beat on earnings, but offer poor guidance, sending shares down. Or the reverse can be true.

The other effect of earnings season is to leave the market somewhat unchanged overall, while many individual stocks make some big moves in either direction. So far, this earnings season has been quiet on that front, as the pandemic has led to lower expectations. But the combination of earnings season and the election could lead to some big swings, particularly in individual stocks.


Now here's the rest of the news:

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MARKETS
DOW 28,502.86 -0.62%
S&P 3,488.02 -0.68%
NASDAQ 11,768.16 -0.81%
*As of market close
Stocks took a breather Wednesday, on lackluster earnings and dimming stimulus prospects.
Oil rose 2.1 percent, closing at $41.05 per barrel.
Gold rose 0.7 percent, rising to $1,907 per ounce.
Cryptocurrencies mostly moved higher, with Bitcoin rising 2.7 percent to $11,353.

Today's TOP TIPS
This EV Stock Can Double (No, It's Not Tesla)
J.P. Morgan just updated an electric vehicle company. Not only that, but the investment bank gave a price target more than double where shares were trading at the time. That's a bullish call, and a justified one.

That's because the bank expects the electric vehicle market to continue growing substantially, possibly as much as four times higher in some markets. And, no, the company isn't Tesla Motors.

» FULL STORY

Insider Trading Report: Precigen (PGEN)
Ares Trading, already a major holder in Precigen (PGEN), recently added another $25 million investment. At that price, the company was able to pick up 6,758,400 shares. That's a 32 percent increase to the fund's stake in the company.

The move dwarfs the insider sales in the past month from company insiders. The buy comes as shares of the company have dropped from $15 to under $4 in the past two years. Insiders, including Ares Trading, own over 15 percent of shares.

» FULL STORY

Unusual Options Activity: Social Capital Hedosophia Holdings Corp II (IPOB)
Over 3,200 contracts traded on the February 2021 $30 calls on Social Capital Hedosophia Holdings Corp (IPOB). That's a 28-fold increase in volume from the prior number of open contracts near 117.

With shares trading around $26, shares need to rally about 15 percent for the option contract to move in-the-money. The call buyer paid about $3.10 on average for the options, which expire in 127 days.

» FULL STORY

IN OTHER NEWS
Fed Vice Chair Richard Clarida says the economy may need another year to return to normal.
Zoom launches an events and marketplace platform to bring apps into calls.
Starbucks ties pay to diversity targets.
Elizabeth Holmes, founder of Theranos, loses bid to drop criminal charges.
Traders are unimpressed with Apple's iPhone event.
Business Insider parent Insider makes a deal to buy Morning Brew.
In earnings, Wells Fargo sees a profit plunge as scandals linger.
BlackRock beats on earnings and revenues as assets flow into the company's ETFs.
Goldman Sachs beats as well, as the investment bank sees soaring asset values.
Bank of America misses on revenue, sending shares down.

S&P 500 MOVERS
TOP
CXO 10.24%
BIDU 7.1%
XEC 4.918%
VNT 4.671%
HFC 3.325%
BOTTOM
WFC 6.023%
BAC 5.331%
ILMN 4.352%
TMUS 4.031%
INCY 3.842%

Quote of the Day
...going forward, a low unemployment rate, in and of itself, will not be sufficient to trigger a tightening of monetary policy absent any evidence from other indicators that inflation is at risk of moving above mandate-consistent levels. While this new framework represents a robust evolution in our monetary policy strategy, this strategy is in service to the dual-mandate goals of monetary policy assigned to the Federal Reserve by the Congress — maximum employment and price stability — which remain unchanged.
- Federal Reserve Vice Chairman Richard Clarida on why the central bank will likely keep interest rates low for the foreseeable future, a policy likely to make stocks look more attractive relative to fixed income or cash.

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Without penny stocks or endless hours scalping the markets!

CLICK HERE TO GET IN BEFORE THE NEXT STOCK EXPLOSION


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