Good morning. The stock market was in freefall Monday, much like a mini-version of its March 2020...
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.
| | | | DOW 33,963.29 | -2.09% | | | | S&P 4,258.80 | -1.58% | | | | NASDAQ 14,274.98 | -1.06% | | | | *As of market close | | • | Stocks dropped on Monday, with the S&P 500 hitting its 50-day moving average at the low. | | • | Oil dropped 7.8 percent on OPEC+ news, closing at $66.20 per barrel. | | • | Gold declined 0.2 percent, last going for $1,812 per ounce. | | • | Cryptocurrencies trended lower, with Bitcoin at $30,752 at the stock market close. | | | | | | | | | | Insider Trading Report: SentinelOne (S) | | | | Daniel Loeb, a major holder at SentinelOne (S), recently picked up another 200,000 shares. The buy increased his stake by just over 10 percent, and came to a total price of just under $9 million. This follows up on his initial buy earlier in the month of just under 2 million shares, an $81.1 million commitment. One other large fund has also been a buyer in the past month. This marks all insider transactions since the company went public in late June. » FULL STORY | | | | | | Unusual Options Activity: Nordstrom (JWN) | | | | Shares of department store chain Nordstrom (JWN) have been trading in a range year-to-date. Shares now trade at the lower end of that range, and one trader is betting on a move higher. That's based on the August $32.50 calls. Over 8,975 contracts traded, an 84-fold jump in volume over the prior open interest of 107. The buyer of the calls paid about $2.19 to make the trade.
» FULL STORY | | | | | | • | OPEC+ Agrees to Production Boost
Oil prices dropped over 6 percent on Monday, as a dispute between OPEC members Saudi Arabia and the United Arab Emirates was resolved. The recent oil rally sent the commodity to a seven-year high. The new agreement boosts overall production by 400,000 barrels per day, and the oil cartel will review how the market is doing in December. | | | | • | Biden Administration Indicts Four Chinese Nationals Over Cyberattack
Four Chinese nationals, three of which are intelligence officers, were indicted by the Biden administration on Monday over hacking activities. The largest of the attacks occurred in March through the Microsoft (MSFT) exchange server. The UK and EU were quick to join the attribution of the attack to these nationals. | | | | • | Pershing Square Tontine's Proposed Merger Gets Dropped
Pershing Square Tontine Group (PSTH), an entity spun off from billionaire Bill Ackman's Pershing Square, is dropping its proposed deal to acquire 10 percent of Universal Music. The deal would have valued the entire company at nearly $40 billion, but the PTSH board decided to drop the merger following discussions with the SEC over the complex deal. | | | | • | Robinhood Prepares for IPO Next Week
Retail brokerage app company Robinhood updated on its IPO. The company is looking to go public at the end of the month with a $35 billion valuation. That's nearly triple the valuation the company was at when it raised funds less than a year ago. Robinhood is targeting an IPO between $38 and $42 per share. | | | | • | Zoom Buys Cloud Call Center Company Five9 for $14.7 Billion
Video streaming giant Zoom Communications (ZM) is looking past the pandemic era with a $14.7 billion acquisition of Five9. Five9 is a 20-year-old company that has built out call centers into a cloud service over the past few years. This merger would help Zoom expand its offerings. | | | | | | TOP | | KR | 4.345% | | | NVDA | 3.407% | | | ETSY | 3.205% | | | TYL | 1.798% | | | CAG | 1.549% | | | BOTTOM | | KIM | 7.339% | | | AIV | 7.234% | | | FANG | 6.598% | | | MAC | 6.377% | | | SPG | 5.872% | | | | | | | | | The market looks broadly fairly valued to me, with most stocks priced to provide a market rate of return plus or minus a few percent… There are pockets of what look like appreciable over-valuation and pockets of significant undervaluation in the US market, in my opinion. We can find plenty of names to fill our portfolios and so remain fully invested. | | - Bill Miller, chairman and chief investment officer of Miller Value Partners, on why it's still a stockpicker's market, whether the overall indices go up or down. | | |
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