Source: Shutterstock “The most important lesson to remember is that failure is inevitable, but so is success, so rebound.” SUMMARY The S&P 500 did something it hasn’t done in more than 40 years. The Consumer Price Index (CPI) rose 0.2% for both headline and core inflation. That was better than analysts' average expectations of 0.3% for each. Goldman Sachs (GS) has cut its U.S. recession odds to 35% from 45%. Nvidia crossed the $3 trillion market cap. The first and only crypto exchange has been included in the S&P 500. |
The Fastest Rebound for the S&P 500 Since 1982 The S&P 500 did something it hasn't done in over 40 years on Tuesday. The exchange rose about 0.8%, officially erasing its 15% year-to-date loss in less than six weeks. This was the fastest recovery from a 15% year-to-date decline for the benchmark index since 1982, per research from Bespoke Invest. The index has jumped 14% since Trump said it was a “great time to buy.” On Monday night, Goldman Sachs raised its year-end target for the S&P 500 to 6,100 from a prior forecast of 5,900. Meanwhile, Yardeni Research boosted its year-end projection to 6,500, up from a previous call for 6,000. Both firms mentioned diminishing fears of a major growth slowdown as a key reason stocks will continue to move higher. "We raise our S&P 500 return and earnings forecasts to incorporate lower tariff rates, better economic growth, and less recession risk than we previously expected," Goldman Sachs chief US equity strategist David Kostin wrote in a note to clients. "Among our main concerns about Trump's Tariff Turmoil was that the drop in stock prices would have a significant negative wealth effect on consumers," Yardeni Research president Ed Yardeni wrote. "After [Monday's] stock market rally, the negative wealth effect is probably insignificant." |
Illustration: Maura Losch/Axios Consumer Prices Rose at Slowest Annual Pace Since February 2021 Last month’s Consumer Price Index (CPI) report showed inflation pressures eased in the first month that many of President Trump's tariffs were in effect. The latest data from the Bureau of Labor Statistics showed that consumer prices increased 2.3% over the prior year in April, a slowdown from March's 2.4% and below economists' forecast for 2.4%. This marked the lowest annual increase since February 2021, before a large increase in inflation sparked a Federal Reserve interest rate hiking cycle. On a month-over-month basis, prices increased 0.2%, above the 0.1% decrease seen in March but lower than the 0.3% estimated by economists. |
Trump Wants Interest Rates Lower After the CPI Reading Early Tuesday, the latest Consumer Price Index (CPI) report showed inflation eased on an annual basis in April, hitting its lowest level in more than four years. While economics believe the report doesn’t change much for the Federal Reserve’s cautious approach to monetary policy, President Trump has other ideas. "No Inflation, and Prices of Gasoline, Energy, Groceries, and practically everything else, are DOWN!!!" Trump wrote on Truth Social Tuesday afternoon. "THE FED must lower the RATE, like Europe and China have done. What is wrong with Too Late Powell? Not fair to America, which is ready to blossom? Just let it all happen, it will be a beautiful thing!” Trump wrote on social media on Tuesday. |
Source: Yahoo Finance Big Tech Brought It Home on Tuesday Much of the ado in Tuesday trading can be attributed to big tech. Nvidia saw an almost 6% pop in its share price as the company crossed the $3 trillion market cap. Shares of Tesla, Broadcom, and Meta were also higher. |
Coinbase Becomes Latest Addition to S&P 500 in Cryptocurrency Milestone As reported by Yahoo Finance’s Ines Ferre, Coinbase stock surged more than 18% on Tuesday as Wall Street cheered the inclusion of the first and only crypto exchange in the S&P 500. This was a major milestone for the company and an industry once in the crosshairs of regulators. "Coinbase has gone from being in an intense litigation with the SEC just a few months back (later dropped by the SEC under the Trump regime) to being the latest addition to S&P 500," Bernstein managing director Gautam Chhugani wrote on Tuesday morning. "This event symbolises the dramatic turnaround in fortunes for the crypto industry and its rising significance as the frontier of financial innovation," he added. Tuesday Markets Snapshot |
On the Move UnitedHealth plunged on the stock market today after suspending its outlook. The stock dropped 14% after suspending its 2025 outlook due to higher-than-expected medical expenditures. The company also announced a new chief executive. Nvidia's CEO saw his net worth climb. Nvidia's chief Jensen Huang's personal net worth exploded to around $120B on Tuesday, from $80B last year. The company agreed to sell hundreds of thousands of AI chips in Saudi Arabia. The company once again crossed a $3 trillion market cap during Tuesday's trading session. Palantir went higher. Shares jumped about 9% on Tuesday afternoon after the White House announced a $142 billion deal to supply weapons to Saudi Arabia from US defense firms. Boeing hit a 52-week high. Boeing shares hit a 52-week high on Tuesday as the plane maker is poised to benefit from President Trump's tariff negotiations. The benchmark 10-year Treasury yield went higher. It jumped on Tuesday, hitting its highest levels in over a month around 4.5%. Oil extended gains. West Texas Intermediate futures traded near $62.70 per barrel. Honda issued a dire warning. The automaker put out a warning, saying it expects a $3 billion hit to full-year profit from Trump's new auto duties. Hertz dropped. The rental car company's stock dropped nearly 7% in the wake of a deeper-than-expected first quarter loss. Hertz also flagged weaker demand amid a broader downbeat forecasts for US tourism. Chinese stocks faltered. Investors showed concerns that Beijing will pull back on measures to stimulate the economy. Travel stocks saw gains. Travel names like Carnival, Wynn Resorts, and Norwegian Cruise Line were among the biggest winners in Monday's rally, all climbing 8% or more on relief over lower tariffs. Under Armour jumped 2.25% after reporting results. The company's results surpassed analysts' expectations for revenue and providing slightly higher-than-expected guidance for this quarter's earnings per share. JD.com climbed 2.8% after earnings. Quarterly revenue grew more than expected at 16%, with Chinese stimulus measures sparking spending on electronics and other high-cost products, Bloomberg reported. FedEx rose on Amazon news. Amazon said FedEx will join other third-party providers on its "last mile delivery network." More Notables Starbucks Barista Workers are Striking Over Dress Code After implementing a new dress code on Monday, Starbucks found many of its employees staging a walk out. The walkouts have occurred at more than 50 US stores, Starbucks Workers United said. The union represents baristas at about 570 of the chain’s more than 10,000 company-operated locations in the US. The new dress code requires baristas to wear solid black tops, a change from prior practice that allowed any color. There are also new rules on the bottoms baristas can wear, among other changes. Chime Reports Revenue Rise as Company Files for US IPO Digital banking fintech firm Chime disclosed a rise in 2024 revenue in its IPO filing on Tuesday. The company has been one of the most anticipated IPOs of the year. Chime's revenue rose to $1.67 billion in the fiscal year ended 2024, up from $1.28 billion, a year earlier. "We led the 2017 Series B when few Silicon Valley investors believed, driven by our conviction that Chime could become a category-defining company," said Simon Wu from Cathay Innovation. Global EV Sales Rose in April Global sales of electric and plug-in hybrid vehicles rose 29% YOY in April, with stable growth in China and Europe despite trade tensions, while North America recorded the first fall since last September. European EV sales of legacy auto groups outperformed those of Tesla. What Else to Watch This Week May 14: Expected earnings from Cisco (CSCO).
May 15: April PPI and core PPI, April industrial production, April retail sales, and expected earnings from Alibaba (BABA), Walmart (WMT), Deere (DE), Applied Materials (AMAT), and Cava Group (CAVA).
May 16: April housing starts, April building permits, and May preliminary University of Michigan consumer sentiment.
May 19: April leading indicators from the Conference Board
May 20: Expected earnings from Home Depot (HD), Palo Alto Networks (PANW), and Toll Brothers (TOL). |
|
|
Disclaimer: We are engaged in the business of advertising and promoting companies. All content on our website is for informational purposes only and should not be construed as an offer or solicitation of an offer to buy or sell securities. Neither the information presented nor any statement or expression of opinion, or any other matter herein, directly or indirectly constitutes a solicitation of the purchase or sale of any securities. Neither the owner of Bullish Bear nor any of its members, officers, directors, contractors or employees are licensed broker-dealers, account representatives, market makers, investment bankers, investment advisers, analyst or underwriters. Investing in securities, including the securities of those companies profiled or discussed on this website is for individuals tolerant of high risks. Viewers should always consult with a licensed securities professional before purchasing or selling any securities of companies profiled or discussed on Bullish Bear. It is possible that a viewer's entire investment may be lost or impaired due to the speculative nature of the companies profiled. Remember, never invest in any security of a company profiled or discussed on this website unless you can afford to lose your entire investment. Also, investing in micro-cap securities is highly speculative and carries an extremely high degree of risk. Bullish Bear makes no recommendation that the securities of the companies profiled or discussed on this website should be purchased, sold or held by viewers that learn of the profiled companies through our website.
Some of the content on this website contains "forward-looking statements." Such statements may be preceded by the words "intends," "may," "will," "plans," "expects," "anticipates," "projects," "predicts," "estimates," "aims," "believes," "hopes," "potential," or similar words. Forward-looking statements are not guarantees of future performance, are based on certain assumptions, and are subject to various known and unknown risks and uncertainties, many of which may be beyond a company’s control, and cannot be predicted or quantified, and, consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. It is hereby noted that forward-looking statements contained herein may include everything other than historical information, involve risk and uncertainties that may affect a company's actual results of operation. A company's actual performance could greatly differ from those described in any forward-looking statements or announcements mentioned on this website or the websites contained within. Factors that should be considered that could cause actual results to differ include: the size and growth of the market for the company's products; the company's ability to fund its capital requirements in the near term and in the long term; pricing pressures; unforeseen and/or unexpected circumstances in happenings; etc. and the risk factors and other factors set forth in the company's filings with the Securities and Exchange Commission. However, a company's past performance does not guarantee future results.
Generally, the information regarding a company profiled or discussed on this website is provided from public sources bullishbear.com makes no representations, warranties or guarantees as to the accuracy or completeness of the information provided or discussed. Viewers should not rely solely on the information obtained through our website or in communications originating from our website. Viewers should use the information provided by us regarding the profiled companies as a starting point for additional independent research on the companies profiled or discussed in order to allow the viewer to form his or her own opinion regarding investing in the securities of such companies. Factual statements, or the similar, made by the profiled companies are made as of the date stated and are subject to change without notice and Bullish Bear has no obligation to update any of the information provided. Bullish Bear, its owners, officers, directors, contractors and employees are not responsible for errors and omissions.
From time to time certain content on this website is written and published by our employees or third parties. In addition to information about our profiled companies, from time to time, our website will contain the symbols of companies and/or news feeds about companies that are not being profiled by us but are merely illustrative of certain activity in the micro cap or penny stock market that we are highlighting. Viewers are advised that all analysis reports and news feeds are issued solely for informational purposes. Any opinions expressed are subject to change without notice. It is also possible that one or more of the companies discussed or profiled on this website may not have approved certain or any statements within the website. Bullish Bear encourages viewers to supplement the information obtained from this website with independent research and other professional advice. The content on this website is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of the available data. Third Party Web Sites and Other Information This website may provide hyperlinks to third party websites or access to third party content. Bullish Bear, its owners, officers, directors, contractors and employees are not responsible for errors and omissions nor does Bullish Bear control, endorse, or guarantee any content found in such sites. Bullish Bear does not control, endorse, or guarantee content found in such sites. By accessing, viewing, or using the website or communications originating from the website, you agree that Bullish Bear, its owners, officers, directors, contractors and employees, are not responsible for any content, associated links, resources, or services associated with a third party website. You further agree that Bullish Bear, its owners, officers, directors, contractors and employees shall not be liable for any loss or damage of any sort associated with your use of third party content. Links and access to these sites are provided for your convenience only. Bullish Bear uses third parties to disseminate information to subscribers. Although we take precautions to prevent others from obtaining our subscriber list, there is a risk that our subscriber list, through no wrong doing on our part, could end up in the hands of an unauthorized party and that subscribers will receive communications from unauthorized third parties. We encourage viewers to invest carefully and read the investor issuer information available at the web sites of the United States Securities and Exchange Commission (SEC). The SEC has launched an investor-focused website to help you invest wisely and avoid fraud at www.investor.gov and filings made by public companies can be viewed at www.sec.gov and/or the Financial Industry Regulatory Authority (FINRA) at: www.finra.org. In addition, FINRA has published information at its website on how to invest carefully at www.finra.org/Investors/index.htm. |
|
|
Manage your preferences | Opt Out using TrueRemove™
Got this as a forward? Sign up to receive our future emails.
View this email online. |
502 E Atlantic Ave 232 | Delray Beach, None 33483 US |
|
|
This email was sent to punjabsvera@gmail.com.
To continue receiving our emails, add us to your address book. |
|
|
|
