Friday, July 22, 2022

👓Why It’s Your Last Chance to Join the Great Resignation

Good morning. First-time unemployment filings are ticking up. While they're not huge yet, they...
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. First-time unemployment filings are ticking up. While they're not huge yet, they may be a sign of more trouble to come in the months ahead. Most aren't too worried about the numbers. After all, the number of total job listings still far exceeds the number of unemployed.

However, that trend is shifting as well. 47 out of 50 states reported a decline in help wanted ads in the past month. For June, job listings slid by 2.8 percent. Again, that's not huge. But combined with rising unemployment claims, it's clear that it may the end of the great resignation trend where workers were able to jump over to new jobs at higher pay.

This slowdown in the labor market may also cause the recent market rally to stall out, and potentially resume a downslide in the coming months. Traders shouldn't expect this bullish week to continue indefinitely.

Now here's the rest of the news:

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MARKETS
DOW 32,036.90 +0.51%
S&P 3,998.95 +0.99%
NASDAQ 12,059.61 +1.36%
*As of market close
Stocks traded higher again on Thursday, shaking off early losses.
Oil slid 3.6 percent, closing at $96.30 per barrel.
Gold rose 1 percent, last going for $1,717 per ounce.
Cryptocurrencies generally dropped, with Bitcoin at $22,239 at the stock market close.

Today's TOP TIPS
As Liquidation Fears Wane, This Oversold Sector Could Slowly Recover from Here
The past few months have seen stocks move off their lows. Despite the daily swings in the market, the potential for a recession has been priced in. Some sectors have fared better than others during this downturn.

In the meantime, the market recovery of the past few weeks has been best for beaten-down tech plays. And one of the hardest hit places, cryptocurrencies, has technically entered into a new bull market. From its lows last week alone, Bitcoin is up nearly 25 percent.

» FULL STORY

Insider Trading Report: Occidental Petroleum (OXY)
Berkshire Hathaway (BRK-B), a major holder of Occidental Petroleum (OXY), continues to add to its stake in the company. The most recent pickup was a 242,241 share buy on Tuesday, representing a 0.13 percent increase in their holdings. The company paid $14.45 million for that stake.

That adds on to regular, consistent buying over the past few months. The conglomerate is now closing in on a 20 percent stake in Occidental.

» FULL STORY

Unusual Options Activity: Las Vegas Sands (LVS)
Shares of casino giant Las Vegas Sands (LVS) are down about 28 percent in the past year. One trader is betting on a potential rebound in the coming months.

That's based on the October $40 calls. With 91 days until expiration, 7,891 contracts traded compared to a prior open interest of 125, for a 63-fold rise in volume on the trade. The buyer of the calls paid $2.71 to make the trade.

» FULL STORY

IN OTHER NEWS
ECB Raises Interest Rates More than Expected

In an effort to curb inflation, the European Central Bank has raised interest rates by 0.5 percent. That takes the rate from -0.5 percent to 0 percent. Economists were predicting a 0.25 percent rate hike to start. The move comes as the continent looks to contend with an energy shortage later in the year.
Jobless Claims Hit Eight Month High

Initial unemployment claims came in at 251,000 for the week ending July 16th. That's up 7,000 from the week before, and is greater than expectations for 240,000. This marks the highest new initial claims since mid-November, and is a sign that moves to curb the economy are starting to show up in the job market.
Mortgage Rates Rise Again

The 30-year fixed rate mortgage closed at 5.54 percent this week. That's a slight increase from the 5.51 percent rate last week, and is slightly below the 5.81 percent rate recorded back in June, a 13-year high. Rates still remain significantly higher than last year's read of 2.8 percent, and are likely to continue to trend higher as interest rates are set to continue to rise.
Amazon Starts Delivery with Rivian EVs

Amazon (AMZN) has rolled out delivery service in more than a dozen cities with a custom electric van built by Rivian Automotive (RIVN). The company has a goal of expanding to 100 cities by the end of the year, and to have 100,000 EV vans making deliveries by 2030.
Amazon Makes $3.9 Billion Bid for One Medical

Amazon (AMZN) has made a $3.9 billion bid to buy One Medical, a primary healthcare company. The company operates in a dozen US markets, and offers health benefits to employees at over 8,000 companies. The buy is part of a larger move Amazon has made into the medical services space in recent years.

S&P 500 MOVERS
TOP
TSLA  9.781%
NUE  9.147%
DHR 9.074%
BIO 7.735%
BBWI 7.042%
BOTTOM
CCL 11.181%
UAL 10.173%
POOL 10.127%
DFS 8.925%
RCL 8.239%

Quote of the Day
The bulls seem to be coming back into the market now. We've seen pretty sharp rallies in tech, crypto and other risk assets over the past few days. Which is notable to us, because in an economy with some pretty notable weakness in it, you'd expect to be seeing other parts of the market performing well. But the animal spirits are back, at least for now.
- Callie Cox, U.S. investment analyst at eToro, on the recent rally in stocks, and why it may continue over the next few weeks.

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