Thursday, February 8, 2024

👉Expect This Type of Stock Correction Going Forward

Good morning. It's been a banner few years for tech companies, even with the ups and downs of a...
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. It's been a banner few years for tech companies, even with the ups and downs of a pandemic, recession, and soaring interest rates. Because tech companies have high growth, their selloffs can be fast and furious, only to rebound in time.

Given the rising importance of tech trends like AI, it's also possible that future corrections for many stocks will be muted. Instead, they may trade sideways for a few quarters, maybe even a year or two. That could allow fast earnings to catch up. A company doubling earnings may go from trading at 50 times earnings to 25 times earnings, even if the share price goes nowhere.

For now, markets are at a high risk for a small pullback in the coming weeks. Traders have plenty of upside opportunities with earnings, and downside trades as well, potentially with further danger in the regional banks in the coming weeks.

Now here's the rest of the news:

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MARKETS
DOW 38,677.36 +0.40%
S&P 4,995.06 +0.82%
NASDAQ 15,756.64 +0.95%
*As of market close
Markets continued higher on Wednesday, with the S&P 500 almost touching 5,000.
Oil rose 1.0 percent, closing at $74.06 per barrel.
Gold traded flat, ending at $2,051 per ounce.
Cryptocurrencies trended higher, with bitcoin at $44,109 at the stock market close.

Today's TOP TIPS
Markets Continue to Love Tech Stocks that Move to Profitability
Technology stocks offer investors the best bang for their buck. They're the growth leaders and can see big price swings. Over time, a tech company that can go from an early-stage idea to turning an actual profit can continue to trend higher.

The market still cares about these opportunities today, as interest rates stay high and early-stage investors remain skeptical. That's good news for firms that can become consistently profitable.

» FULL STORY

Insider Activity Report: Super Micro Computer (SMCI)
Shiu Chan, a director at Super Micro Computer (SMCI), recently bought 2,000 shares. The buy increased his stake by 5 percent, and came to a total cost of $1,136,000.

The director also made the most previous buy with 4,000 share pickup last August, paying $1,062,280. Otherwise, company insiders have been sellers of shares over the past year, driven largely by the exercise of stock options.

» FULL STORY

Unusual Option Activity: KeyCorp (KEY)
Regional bank KeyCorp (KEY) has lost 30 percent over the past year amid rising interest rates and investor fear over smaller banks. One trader sees further downside in the coming weeks.

That's based on the March 1 $13 puts. With 22 days until expiration, 7,590 contracts traded compared to a prior open interest of 121, for a 63-fold rise in volume on the trade. The buyer of the puts paid $0.29 to make the bearish bet.

» FULL STORY

IN OTHER NEWS
Natural Gas Prices Slump 40 Percent

While the winter season is typically strong but volatile for natural gas, this winter has been different. Natural gas prices have dropped 40 percent in the last three months, even as consumption hit a new record high in January. An export pause in liquefied natural gas (LNG) is contributing to the price drop.
ESPN, Fox, and Warner Brothers Team Up on Sports Streaming

ESPN, Fox, and Warner Brothers Discovery are teaming up to create a giant in the sports streaming space. The new service is expected to launch in the fall, and each company will own one-third of the service. No information on subscription costs are available at this time.
JPMorgan Chase Continues to Build Branches

While banking has become increasingly digital, megabank JPMorgan Chase (JPM) has been bucking the trend, building out hundreds of new branches. The bank also expects to build 500 new branches in the next three years, even as other banks look to close branches.
Toyota to Invest in EV SUV Manufacturing Facility in Kentucky

Toyota Motors (TM) is investing $1.3 billion to build out a facility in Kentucky. The facility will produce an all-new, three-row SUV for the U.S. market. The vehicle is expected to go into production late next year or in early 2026. This bucks the recent trend of automakers cutting back on EV plans in recent months.
Adam Neumann Looking to Buy Back WeWork

WeWork (WEWKQ) co-founder Adam Neumann is looking to buy back the company he started in 2010 and stepped down from in 2019. At its peak, the company was valued at $47 billion before a massive collapse. The company then went public at a far lower valuation in late 2021.

S&P 500 MOVERS
TOP
ENPH 16.357%
EMR 10.736%
GNRC 7.661%
CMG 7.475%
PANW 6.447%
BOTTOM
VFC 9.351%
PARA 7.863%
FOXA 6.531%
FOX  6.51%
AMGN 5.717%

Quote of the Day
We're on the precipice of some real volatility in the marketplace, and the last two days are very indicative of what's to come here for at least the next six to eight weeks.
- Philip Blancato, CEO of Ladenburg Thalmann Asset Management, on the market's seasonal spring volatility, which is starting to kick up and will likely last through the end of March at the very least.

Sponsored Content
The Best Crypto Opportunity Right Now
Right now you have the chance to position yourself before the rest of the market takes off.

And I've found a cryptocurrency that I believe could easily lead the rest in gains for 2024 and beyond.

Why?

Because it's getting ready to take over a $4.5 trillion industry as the crypto market rebounds.

And, right now, this crypto is trading at a MASSIVE discount.

I'll give you all the details in a Special Report that I recently put together.

From my research, this is (by far) the best crypto opportunity right now.

Click Here for All the Details…


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