Thursday, June 23, 2022

🤓 This Key Trend Is Ending – How to Prepare Now

Good morning. Over the last two years, employers have had a strong demand for employees...
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.

Good morning. Over the last two years, employers have had a strong demand for employees. Vacancies have exceeded those looking for jobs. And that allowed many to switch roles, and get into higher paying positions. That trend, now known as the "Great Resignation," is nearing an end.

Last week, the Federal Reserve noted that there was a "real imbalance" in wage bargaining. And that raising interest rates to slow down the overheating economy would do much to rebalance that situation. More importantly, the past few weeks have seen a number of companies announce layoffs and workplace reductions.

These rising job losses are showing that the economy is in a recessionary stance. Traders need to remain cautious. But as companies reduce their headcount and costs go down, they're setting up to be more profitable on the next economic upswing. That leaves plenty of trading opportunities on the long and short side of the market for months to come.

Now here's the rest of the news:

Sponsored Content
Invest In This Biotech Company Solving A $240B Problem
Every year, over 600M patients suffering from osteoarthritis spend $240 billion on painkillers and other palliative solutions to the cartilage damage caused by this debilitating disease. These "band-aid" therapies are temporary and do not treat the root cause of osteoarthritis.

Enter Cytonics.

This private biotech startup has harnessed the therapeutic potential of a naturally occurring blood protein, called "A2M," to reverse cartilage deterioration in arthritic joints. Their first FDA approved A2M-based therapy has successfully treated over 8,000 patients, proving the therapeutic efficacy of A2M, and restoring patients' quality of life.

Backed by Johnson & Johnson and the NIH, Cytonics is developing a genetically engineered A2M variant that is more potent than the natural form. This lead drug candidate, "CYT-108," has been proven to restore up to 80% of cartilage damage caused by osteoarthritis in preclinical studies.

Cytonics' first-in-in-class CYT-108 will enter Phase 1 clinical trials later this year.

Invest in Cytonics as they blaze toward their second FDA drug approval, and before this private biotech goes public.


MARKETS
DOW 30,483.13 -0.15%
S&P 3,759.89 -0.13%
NASDAQ 11,053.08 -0.15%
*As of market close
Stocks closed lower on Wednesday, but closed well off the morning lows
Oil sank 3.9 percent, closing at $105.24 per barrel.
Gold traded flat, going for $1,840 per ounce
Cryptocurrencies were slightly down, with Bitcoin at $20,086 at the market close.

Today's TOP TIPS
Buy Companies Doing This for Shareholders Right Now
There are two main ways companies can reward shareholders. One way is to pay a growing dividend from rising cash flows over time. Another way is to buy back shares when the company's valuation is compellingly low.

Some companies can do both, provided they don't overpay to buy back shares. With many stocks down right now, a few companies are setting up for better returns when the market sentiment turns bullish again with increased buybacks.

» FULL STORY

Insider Trading Report: Tilly's (TLYS)
Michael Henry, CFO at Tilly's (TLYS), recently picked up 4,000 shares. The buy increased his stake by 16 percent, and came to a total cost of just under $29,000. This follows up on a 6,005 share buy from the director a few days before.

This marks the first insider buy at the company since September 2020. Insiders were active buyers during the Covid selloff, and then have generally been sellers of shares in the past two years after shares rallied higher.

» FULL STORY

Unusual Options Activity: Pinterest (PINS)
Shares of online board Pinterest (PINS) have shed 75 percent of their value in the past year. One trader sees the chance for a further decline in the coming few days. That's based on the July 1 $15 puts.

With 8 days until expiration, 19,778 contracts traded compared to a prior open interest of 116, for a 171-fold rise in volume on the trade. The buyer of the puts paid $0.10 to get into the trade.

» FULL STORY

IN OTHER NEWS
Powell Committed to Continuing Rate Hikes

Federal Reserve Chairman Jerome Powell stated before Congress yesterday that the central bank needs compelling evidence that inflation is slowing down before it changes course on its interest rate hikes. Powell notes that the bank is committed to getting inflation back to a 2 percent target rate, a substantial drop from the current rate of 8.6 percent.
Biden Asks Congress for Gas Tax Holiday

President Biden is asking Congress to suspend federal taxes on gasoline and diesel fuel for three months. Federal taxes amount to 18.4 cents per gallon of gas and 24.4 cents for diesel. A few lawmakers, including former President Obama, have stated that such a tax holiday would be a short-term "gimmick."
UK Inflation Tops 9 Percent

Inflation rates in the United Kingdom have topped 9.1 percent, based on May data. The UK now has the highest inflation rate among G7 nations, and is a slight increase from 9 percent in April. Economists expect the rate to continue rising in the coming months.
Daimler Truck Warns on Supply Chains

Daimler Truck, the world's largest tuck manufacturer, is warnings on supply chain pressures that are slowing the production of thousands of vehicles. The costs of energy and raw materials are also soaring due to inflation, and also adding to expenses. At the moment, the company reports having as many as 10,000 trucks only missing one or two parts idling at factories.
Uniswap Acquires Genie

Startup Uniswap is acquiring Genie, an NFT marketplace aggregator for an undisclosed sum. Uniswap acts as a decentralized platform that allows users to swap a wide variety of tokens, and the buy will add NFT functionality to the mix. Genie allows users to access NFTs across a variety of marketplaces.

S&P 500 MOVERS
TOP
DVA  5.957%
CLX  5.19%
MRNA 4.677%
NFLX 4.669%
DHI 4.535%
BOTTOM
MO 9.19%
FCX 7.964%
MRO 7.229%
APA 7.063%
COP 6.265%

Quote of the Day
We don't see a U.S. or global recession in '22 or '23 in our base case, but it's clear that the risks of a hard landing are rising. Even if the economy does slip into a recession, however, it should be a shallow one given the strength of consumer and bank balance sheets.
- A UBS note on why the economy may enter into a recession this year or next, but why it would likely prove a shallow one.

Sponsored Content
Invest In This Biotech Company Solving A $240B Problem
Every year, over 600M patients suffering from osteoarthritis spend $240 billion on painkillers and other palliative solutions to the cartilage damage caused by this debilitating disease. These "band-aid" therapies are temporary and do not treat the root cause of osteoarthritis.

Enter Cytonics.

This private biotech startup has harnessed the therapeutic potential of a naturally occurring blood protein, called "A2M," to reverse cartilage deterioration in arthritic joints. Their first FDA approved A2M-based therapy has successfully treated over 8,000 patients, proving the therapeutic efficacy of A2M, and restoring patients' quality of life.

Backed by Johnson & Johnson and the NIH, Cytonics is developing a genetically engineered A2M variant that is more potent than the natural form. This lead drug candidate, "CYT-108," has been proven to restore up to 80% of cartilage damage caused by osteoarthritis in preclinical studies.

Cytonics' first-in-in-class CYT-108 will enter Phase 1 clinical trials later this year.

Invest in Cytonics as they blaze toward their second FDA drug approval, and before this private biotech goes public.


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