Passport to Wall Street http://www.pws.io/ pl-PL Copyright 2018, Passport to Wall Street 60 Dollar, Oil, Tech to Blame for Continued US Stock Market Slide http://www.pws.io/dollar-oil-tech-to-blame-for-continued-us-stock-market-slide <p class='black-text'>Despite the bump after last week's US midterm elections, this week the S&P 500 (.INX) has fallen over 3% from 2,800 to the 2,700 level. While President Trump has blamed the slump on the Democratic Party's threats to investigate his tax returns and other potential scandals, market analysts blame a strong dollar, oil bear market, and the tech sector.</p><p class='black-text'>The <a href="https://www.marketwatch.com/story/why-is-the-us-stock-market-weak-because-the-economy-is-too-strong-2018-11-14">US dollar</a> (USD) rose to its highest level in 16 months as investors fear uncertainty surrounding the UK's Brexit deal with the EU. The Federal Reserve has not helped, sticking to its schedule of gradual rate hikes even as Trump repeatedly criticizes Chair Jerome Powell for his hawkish monetary policy. The market expects another rate hike in December. While a stronger dollar is good for tourists and companies that import, it hurts American companies that export and sell in foreign countries. Firms in the S&P 500 earn 44 percent of their sales outside the US, especially in the tech, energy, and industrials sectors. A strong dollar makes American goods and services more expensive to buy overseas, so less demand means worse sales and market share.</p><p class='black-text'>Surprisingly, <a href="https://www.marketwatch.com/story/5-reasons-oil-prices-are-in-history-setting-tailspin-2018-11-13">oil </a>has also entered a bear market. West Texas Intermediate crude oil fell for twelve straight trading sessions to $55.69 a barrel. Five factors are behind the oil bear market. First, there is oversupply in the market from OPEC's increased September production by 100,000 barrels per day. Second, Trump gave waivers to eight countries to allow them to continue buying Iranian oil despite fresh sanctions. Third, Trump has repeatedly called for cheaper oil this year in tweets. Fourth, US oil production hit a record 11.6 million barrels per day in November, saturating an already oversupplied market. Fifth, crude inventories from refineries have grown more than expected for the winter season. All that means crude oil has begun trending downward, and dragging energy stocks and the stock market with it.</p><p class='black-text'>Finally, tech is struggling amid concerns about global growth. It has underperformed the S&P in the last few weeks, thanks to woes from the largest firms. <a href="https://www.cnbc.com/2018/11/14/apple-gets-downgraded-more-iphone-estimates-cut.html">Apple </a><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is no longer a trillion-dollar company after its rout to under $190. On Monday, Apple supplier Lumentum disclosed that its largest customer reduced orders, prompting speculation and a 5% drop in Apple shares. Guggenheim downgraded Apple stock to neutral, and UBS <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UBS"><span style="color:#333">(</span><span style=";">UBS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UBS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UBS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UBS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> lowered their price targets and iPhone sales estimates. Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Micron <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MU"><span style="color:#333">(</span><span style=";">MU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, AMD <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMD"><span style="color:#333">(</span><span style=";">AMD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and the broader stock market fell in unison with Apple. Growth concerns in developing economies like China are one of equities investors' biggest fears.</p><p class='black-text'>The 2,700 and 2,600 levels are key supports for the S&P 500 and will likely reveal whether the dip is overblown or a step into a longer bear market.</p><p class='black-text'><i>The author owns a small long position in AAPL and MU.</i></p> http://www.pws.io/dollar-oil-tech-to-blame-for-continued-us-stock-market-slide Thu, 15 Nov 2018 07:12:39 -0500 Eric Yao More weakness hits the markets to start the week. http://www.pws.io/more-weakness-hits-the-markets-to-start-the-week <p class='black-text'>The markets have been exceptionally weak so far with the worst of the declines coming on Monday. The S&P 500 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> sold off 2% Monday, closing back below the 200 day moving average once again. For the week the SPY is in the negative by about 3% as each bounce is met with selling pressure.</p><p class='black-text'>The Nasdaq 100 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has also been quite weak so far thanks to a strong selloff in tech names on Monday with some reported news about a slowdown in production of iPhones from some of their suppliers, the tech companies along with semiconductors have held back the QQQ. The QQQ has lost about 4% on the week already.</p><p class='black-text'>As mentioned above, the Semiconductors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SMH"><span style="color:#333">(</span><span style=";">SMH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SMH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SMH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SMH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have been one of the worst performers of the week thanks to a strong and broad selloff on Monday. On Monday alone the SMH sold off over 4.5% which mostly stemmed from the news that the iPhone sales could be slowing. The SMH is one of the major underperformers lately with losses totalling almost 7% this year.</p><p class='black-text'>Oil <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continues it's record setting selloff this week as it had it's worst one day loss on Tuesday since 2015. The price of oil closed below $55 a barrel Tuesday and has now had a 12 day losing streak which is the most on record ever. The U.S. is now outputting 12 million barrels a day and OPEC is pumping out 33 million per day though they said they will cut production by 500,000 barrels in December.</p><p class='black-text'>Financials <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLF"><span style="color:#333">(</span><span style=";">XLF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have also been weak so far as a selloff from Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> on Monday hurt the sector as a whole. With Goldman hitting new 52-week lows and other big banks under performing the markets, the sector remains critical to the support of the overall market.</p><p class='black-text'>Finally, Utilities <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLU"><span style="color:#333">(</span><span style=";">XLU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continue to edge higher this week. The utility stocks are the best performing sector over the last 6 months despite a slow increase in interest rates. The XLU finds itself just off yearly highs and volume in the sector remains strong.</p> http://www.pws.io/more-weakness-hits-the-markets-to-start-the-week Wed, 14 Nov 2018 19:09:54 -0500 Dustin Tibbitts Stock Market Shows Potential Support http://www.pws.io/stock-market-shows-potential-support <p class='black-text'>The markets sold off again today thanks in part to continued weakness in the banking sector. The Dow 30 closed lower on the day by 205, the S&P 500 sold off 20, and the Nasdaq 100 closed down on the day by 64. Though the markets were lower on the day, technical traders were hopeful that the close off lows today will indicate a new support area.</p><p class='black-text'>Sector News</p><p class='black-text'>Crude oil broke its losing streak today as investors took their chances on the recent sell-off finding a bottom. The price of oil fell for 13 days straight for the first time in history. Another bearish stat on oil is that the decline over the last 30 days is the fastest oil's ever moved from a 52-week high to a 52-week low.</p><p class='black-text'>Gold saw a 1% gain on the day as investors looked to the precious metal for a safety trade. With the debate on inflation starting to make headlines, the recent trading volume shows that investors want a little hedge in their portfolios.</p><p class='black-text'>Bank stocks were the weakest area of the markets today as comments from Democrat Maxine Watters said the easing of regulations on banks will be coming to an end when she takes her seat as the chair of the House Financial Services Committee. The large names continue to get sold off. Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was a focus, as it has hit new 52-week lows for the last 3 days in a row. A further look back shows losses totaling more than 20% for the year.</p><p class='black-text'>Stock News</p><p class='black-text'>Shares of Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continue to head lower today as the stock was downgraded by Guggenheim to neutral from buy and removed their $245 price target in the process. Concerns about iPhone sales decreasing by about 5% in 2019 along with higher average prices leading to a "period of digestion" for consumers were given as the primary reasons. Technical traders will note the break of the 200-day moving average as a driving force behind the recent selloff.</p><p class='black-text'>Macy's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/M"><span style="color:#333">(</span><span style=";">M</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="M" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="M" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="M" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off today despite reporting a decent earnings report. The retailer easily beat earnings expectations and even reported same-store sales growth for the fourth straight quarter. The stock remains just above the 200-day moving average but has seen some weakness with the market selloff this week.</p><p class='black-text'>Snap, Inc. <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNAP"><span style="color:#333">(</span><span style=";">SNAP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNAP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNAP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNAP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower on the day as the company has officially been subpoenaed by the DOJ and SEC for documents related to their IPO last year. This comes as a shareholder lawsuit alleges that SNAP misled investors about how Facebook's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> Instagram platform was affecting the performance of the company.</p> http://www.pws.io/stock-market-shows-potential-support Wed, 14 Nov 2018 18:03:08 -0500 Dustin Tibbitts Strong Oil Selloff Holds Back Markets http://www.pws.io/strong-oil-selloff-holds-back-markets <p class='black-text'>The markets traded in a wild range today, trading higher at some points and closing the day mixed. The Dow 30 was lower by 100, the S&P 500 closed lower on the day by 4, and the Nasdaq 100 closed flat on the day.</p><p class='black-text'>Sector News</p><p class='black-text'>Oil was lower yet again today and is now lower for the last 12 days, which marks the longest losing streak ever by the commodity. Losses now total more than 30% since hitting a high back in September. With the higher output from OPEC as well as Russia and others, in addition to the increased output and supply here in the US, prices continue to be under pressure. Additionally, President Trump said that OPEC should not have made the production cuts for December.</p><p class='black-text'>Semiconductors attempted to recover some of yesterday's declines with a rally of about 1.5%. Names like Advanced Micro Devices <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMD"><span style="color:#333">(</span><span style=";">AMD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Intel <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/INTC"><span style="color:#333">(</span><span style=";">INTC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="INTC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="INTC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="INTC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> among others enjoyed a modest day of recovery. The semiconductors are still one of the underperformers recently, with losses of about 5% on the year.</p><p class='black-text'>Stock News</p><p class='black-text'>Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> made headlines today as the company has confirmed reports that it picked New York City and Northern Virginia as its new locations for divided headquarters. The company said they will build office space for 25,000 in the locations. They expect to spend about $5 billion to achieve this and expect to get about $2 billion in tax credits, with plans to apply for more.</p><p class='black-text'>Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continues to see weakness as the Prime Minister of Malaysia says the bank "cheated" the country and demanded that the bank give back the fees it collected when working with one of their funds. Shares are at their lowest levels in two years and are now lower by about 20% on the year.</p><p class='black-text'>Boeing <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BA"><span style="color:#333">(</span><span style=";">BA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower today as the Wall Street Journal reported that the company withheld information associated with hazards in the automated stall prevention system on the new 737 MAX 8 as well as the MAX 9 jets. The recent crash in Indonesia has many looking at that system as one of the reasons for the accident.</p> http://www.pws.io/strong-oil-selloff-holds-back-markets Tue, 13 Nov 2018 18:03:37 -0500 Dustin Tibbitts Is There an End in Sight for the Bearish Oil Market? http://www.pws.io/is-there-an-end-in-sight-for-the-bearish-oil-market <p class='black-text'>After experiencing a brief glimmer of hope due to OPEC announcing production cuts, the oil market has yet again been weighed down by a variety of factors, including a weakened stock market and Trump's tweet about how Saudi Arabia should not cut oil production.</p><p class='black-text'>The US benchmark for oil plummeted to below <a href="https://www.marketwatch.com/story/oil-prices-turn-higher-as-saudi-arabia-signals-opec-is-closer-to-an-output-cut-2018-11-12">$60</a> a barrel on Monday, down a whopping <a href="https://www.marketwatch.com/story/oil-prices-turn-higher-as-saudi-arabia-signals-opec-is-closer-to-an-output-cut-2018-11-12">11 sessions</a> consecutive sessions. This is the lowest point for crude oil in <a href="https://www.forbes.com/sites/rrapier/2018/11/11/oil-is-oversold/#6991ccbd1fbc">34 years. </a></p><p class='black-text'>The decline can largely be attributed to two things: first, overproduction as a result of the trade war between China and the US, which has caused oil inventories in America to boom and exceed demand by a large margin. This has exerted a downward pressure on prices, further exacerbated by Trump's decision to impose <a href="https://www.forbes.com/sites/rrapier/2018/11/11/oil-is-oversold/#6991ccbd1fbc">sanctions</a> on Iran, a key player in the oil industry.</p><p class='black-text'>That said, the notion of an oversupplied market could be overhyped, and the problem could also lie in erratic demand cycles. Matt Badiali, senior research analyst at Banyan Hill, <a href="https://www.forbes.com/sites/rrapier/2018/11/11/oil-is-oversold/#6991ccbd1fbc">says</a>: "My research showed that, during the run-up to Iran sanctions, many of the Asian countries cut back on Iranian oil imports. China included. Those countries cut about 900,000 bbl/day of Iranian exports. That demand didn't go away, it was filled by the US and Saudi Arabia. Then the US government issued waivers to most of Iran's oil trading partners. Now that those same countries got waivers, they are buying Iranian crude again...leaving a glut of oil on the market. I agree that the demand hasn't declined. Supply, particularly from the US is up."</p><div class="image-holder"><img id="6645" alt="" src="//images3.paszport.ws/uploaded_images/1542073942-5bea2e569485c.jpg" /> <div class="copyright-holder">&copy; Kremlin / Russia </div> </div><p class='black-text'>So what's next? Today at a conference in Abu Dhabi, Saudi energy minister Khalid Al Falih said the kingdom's oil output would decline by <a href="https://www.cnn.com/2018/11/12/business/oil-prices-opec-adipec/index.html">500,000 barrels per day in December.</a> He also stated that OPEC could make further cuts next year if needed. Though the exact volume of cuts being made is unclear, a senior OPEC source said the cartel is discussing cutting production by as much as <a href="https://www.cnn.com/2018/11/12/business/oil-prices-opec-adipec/index.html">1.2 million barrels per day.</a> More will be revealed at the next OPEC meeting in Vienna on December 6.</p><p class='black-text'>"The consensus among all members is that we need to do whatever it takes to balance the market," Al Falih <a href="https://www.cnn.com/2018/11/12/business/oil-prices-opec-adipec/index.html">said</a>. "If that means trimming supply by a million [barrels per day], we will do it."</p><p class='black-text'>It is unclear whether Russia will follow the production cuts protocol, but let it be noted that currently, refinery maintenance season is also ongoing. That is, oil production capacity has actually lately been lower. This needs to be taken into account when projecting future crude oil prices, as the current perception of supply may be an underestimate.</p><p class='black-text'>Michael Bertuccio, President & CEO of HB2 Energy, <a href="https://www.forbes.com/sites/rrapier/2018/11/11/oil-is-oversold/#6991ccbd1fbc">said</a>: "I believe there may be more immediate and shorter-term drivers to oil prices falling - particularly the West Texas Intermediate (WTI) cash market in Cushing, Oklahoma. This is refinery maintenance season. Of the ~14 million barrels per day (MMB/D) of refining capacity in PADD 2 & 3, ~6% has been offline."</p> http://www.pws.io/is-there-an-end-in-sight-for-the-bearish-oil-market Mon, 12 Nov 2018 20:58:12 -0500 Tamanna Chhibbar Stock Market Sells Off Hard to Start Week http://www.pws.io/stock-market-sells-off-hard-to-start-week <p class='black-text'>The markets suffered a rather strong selloff to start the week following news out of Apple suppliers and weak banking stocks. The selloff intensified later in the afternoon as Oil changed course and headed lower for the 11th straight day.</p><p class='black-text'>By the close the Dow finished lower by 599, the S&P 500 closed down 54, and the Nasdaq 100 closed with a loss of 206 on the day. The start of trading will be important tomorrow as the market as a whole will be open for trading.</p><p class='black-text'>Sector News</p><p class='black-text'>Semiconductors sold off the most today thanks to initial news from an Apple supplier that helped pull down the whole sector. The sector retreated to lows on the news along with weakness across the whole sector. The Semis are now lower by about 7% on the year.</p><p class='black-text'>Oil saw a little recovery bounce today after a string of down days over the last few weeks thanks to news that Saudi Arabia will ship less oil in December. They reported that they will reduce the world's oil supply by 500k barrels per day during the month. The price of oil popped 1% at the start of the day, but was unable to hold on to those gains.</p><p class='black-text'>Utilities continued their push higher today, nearing highs as the sector continue to do well. For the last three months the sector has been the best performer and over the last six months has been the second best performer.</p><p class='black-text'>Stock News</p><p class='black-text'>Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares weighed on the entire markets today as one of their suppliers, Lumentum Holdings <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LITE"><span style="color:#333">(</span><span style=";">LITE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LITE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LITE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LITE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which makes the facial recognition functions for iPhones, said that one of its largest customers asked them to "materially reduce shipments" for their products. Technical traders note that Apple has broken through the longer-term uptrend support as of today.</p><p class='black-text'>American Airlines <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAL"><span style="color:#333">(</span><span style=";">AAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher again today, continuing to try and come out of its year long downtrend. The company was upgraded today to "buy" at Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which said they could benefit from "idiosyncratic opportunities" which will ultimately drive earnings. Goldman also upgraded JetBlue <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JBLU"><span style="color:#333">(</span><span style=";">JBLU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JBLU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JBLU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JBLU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> in the same announcement, saying that their cost-cutting efforts will increase profitability in the coming years.</p><p class='black-text'>L Brands <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LB"><span style="color:#333">(</span><span style=";">LB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares continued their march higher today as the company was upgraded at Wells Fargo <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/WFC"><span style="color:#333">(</span><span style=";">WFC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="WFC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="WFC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="WFC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The analyst upgraded the company to "Outperform," saying that they are on the verge of a "massive turnaround." Shares are higher over 20% in just the last month, breaking through their year-long downtrend.</p> http://www.pws.io/stock-market-sells-off-hard-to-start-week Mon, 12 Nov 2018 18:02:08 -0500 Dustin Tibbitts Berkshire Hathaway Buys Back More Than $900 Million of Its Own Stocks http://www.pws.io/berkshire-hathaway-buys-back-more-than-900-million-of-its-own-stocks <p class='black-text'>Berkshire Hathaway <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BRK.A"><span style="color:#333">(</span><span style=";">BRK.A</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BRK.A" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BRK.A" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BRK.A" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> repurchased $928 million of its stock in quarter three. This is the first time that Berkshire has bought back stock since 2012. This decision came right before shares fell in October due to concerns over tariffs, rising interest rates, and slowing growth among the largest tech companies. Warren Buffett, CEO and Chairman of the company, bought the stock back because of a lack of appealing investment options. Berkshire bought back shares at an average price of $312,806.74 per A share and $207.09 per B shares.</p><p class='black-text'>Buffett has always argued that he could better increase shareholder value by investing in new companies rather than buybacks or dividends, but pressure has mounted as the company's cash pile has increased. The company had $103.6 billion in cash, short-term treasuries and other similar investments at the end of September. The company's insurance wing provides a large stream of cash. Float - the insurance premiums collected before claims are paid - reached $118 billion in September.</p><p class='black-text'>James Shanah, senior equity-research analyst at Edward Jones, commented that he wishes the company had bought back a bit more because, "It would appear that their stock is as good, or perhaps better, an investment than anything that's available for them in the market to buy."</p><p class='black-text'>Company buybacks peaked to 60 million in July. Historically, companies have used the most cash on capital expenditures - that is, factories, equipment, and other goods. However, in the first half of the year, share buybacks increased nearly 50% and approved repurchases are on pace to set a new full-year record above $1 trillion. There is a buyback period when a company can buy back stocks and when it can in order to prevent it from violating insider-trading rules. A company cannot buy back stock when it has nonpublic information that could affect the share price. Market volatility also tends to be higher when buybacks are not allowed.</p><p class='black-text'>Berkshire very recently changed its buyback policy back in July. Previously the company could repurchase shares if the stock price was below 20% of book value, but now the company can buy back shares if Buffett believes that the stock price is below the company's intrinsic value (which is not disclosed). He has said that the company's book value is a less helpful metric than it used to be because the company has shifted its focus to operating businesses rather than stock investments.</p><p class='black-text'>Buybacks are controversial. Critics say that the cash spent on repurchases can be better used on capital expenses or employee wages. Buffett has defended buybacks, saying that "The question of whether a repurchase action is value-enhancing or value-destroying for continuing shareholders is entirely purchase-price dependent." He also says that buybacks are a plug for long-term shareholders as long as the company's shares are undervalued.</p> http://www.pws.io/berkshire-hathaway-buys-back-more-than-900-million-of-its-own-stocks Mon, 12 Nov 2018 07:28:21 -0500 Karina Petrunova A Full List of Offerings for the Week Ahead http://www.pws.io/a-full-list-of-offerings-for-the-week-ahead <p class='black-text'>The IPO markets have quite a few names that could go public this week in new listings, as well as several that have been delayed thanks to recent market volatility. The good news is there's a decent amount of diversification in both size and sector. Any names that feel it's a good environment to launch will likely do so this week ahead of the shortened Thanksgiving week that will follow.</p><p class='black-text'>The largest offering of the week is Qualtrics International <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XM"><span style="color:#333">(</span><span style=";">XM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which is hoping to raise $400 million. The software company is coming to market with a valuation pushing $5 billion, but investors will note the rapid growth over the last 10 years. Unlike other IPOs, this name can report positive cash flow. Look for them to offer 20.5 million shares at a range of $18 to $21.</p><p class='black-text'>One of the more interesting IPOs this week is Centrexion Therapeutics <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CNTX"><span style="color:#333">(</span><span style=";">CNTX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CNTX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CNTX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CNTX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. This is a biotech focused on non-opioid medications to treat chronic pain. The Trump administration has made combating opioid addiction a priority, so non-opioids may face less scrutiny. This company is coming to the markets looking for $75 million by offering 5 million shares at a range of $14 to $16.</p><p class='black-text'>There are two blank check companies coming public this week. AMCI Acquisition <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMCIU"><span style="color:#333">(</span><span style=";">AMCIU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMCIU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMCIU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMCIU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which focuses on the coal industry, will look for $200 million by offering 20 million shares at $10. The other name is FinTech Acquisition III <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FTACU"><span style="color:#333">(</span><span style=";">FTACU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FTACU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FTACU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FTACU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Bancorp <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USB"><span style="color:#333">(</span><span style=";">USB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is leading the funding. The company will be offering 27.5 million shares to raise $275 million. Their goal is to acquire a financial technology business.</p><p class='black-text'>Weidai <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/WEI"><span style="color:#333">(</span><span style=";">WEI</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="WEI" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="WEI" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="WEI" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is an online company that offers secured loans that are automatically secured for small businesses in China. Insiders are eager to get their hands on this offering. They will offer 4.5 million shares at a range of $9 to $11 to raise $45 million.</p><p class='black-text'>Uranium Trading Corp <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UTC"><span style="color:#333">(</span><span style=";">UTC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UTC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UTC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UTC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is a brand-new company that was just formed this year and wants to invest in the civil uranium market. With no sales or revenue of any kind, the company is hoping to raise $50 million by offering 4.5 million shares at a range of $10 -$12.</p><p class='black-text'>Vapotherm <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/VAPO"><span style="color:#333">(</span><span style=";">VAPO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="VAPO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="VAPO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="VAPO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is hoping to raise $60 million this week by offering 4 million shares at a range of $14 to $16. The company is focused on noninvasive breathing aids for respiratory diseases and has $41 million in sales over the last year.</p> http://www.pws.io/a-full-list-of-offerings-for-the-week-ahead Sun, 11 Nov 2018 12:23:55 -0500 Dustin Tibbitts Cryptocurrency Week of November 11 in Review http://www.pws.io/cryptocurrency-week-of-november-11-in-review <p class='black-text'>The second week of November was exciting for the cryptocurrency markets. Perhaps the biggest news is that the US <a href="https://www.coindesk.com/sec-charges-etherdelta-founder-with-running-unregistered-securities-exchange/">Securities and Exchange Commission</a> (SEC) has charged Zachary Coburn, founder of EtherDelta, with operating an unregistered securities exchange. The platform allows trading of ERC20 crypto tokens. The SEC alleges that EtherDelta traded digital assets that are classified as securities under federal law. The agency added that EtherDelta failed to register as a securities exchange or apply for an exemption. Although Coburn settled the charges for almost $400,000, the SEC is showing its willingness to go after who it deems bad actors in the cryptocurrency sector.</p><p class='black-text'>Here's the rest of the week in review:</p><p class='black-text'><a href="https://www.coindesk.com/sexual-assault-survivor-crypto-women-bitcoin/">Women </a>who are victims of sexual harassment and assault are turning to cryptocurrency payment processors to crowdfund anonymously. Some women have used Seeds to crowdfund without providing government identification and bank account information. Seeds has an Ethereum (ETH)-based token that allows people to ask for and receive funds with a decentralized exchange platform. CEO Rachel Cook is a supporter of the #MeToo movement, which aims to help victims, predominantly women, of sexual harassment, sexual assault, and intimate partner violence. Victims use funds raised to pay for legal and mental health costs.</p><p class='black-text'><a href="https://www.coindesk.com/venezuela-to-present-petro-at-opec-as-the-digital-currency-for-oil/">Venezuela </a>hopes that the world will use its controversial state cryptocurrency, the petro. The country's minister of petroleum and president of its state-owned oil company announced on Wednesday that Venezuela will attempt to persuade the Organization of Petroleum Exporting Countries (OPEC) to adopt the petro as the main oil-backed digital currency. Venezuela wants OPEC to adopt the petro to help streamline global oil markets. It also believes that the petro will help grow Venezuela's economy. The country has also invited airline and shipping companies to register to use a digital wallet for the petro.</p><p class='black-text'>Crypto prices dipped after Tuesday's US midterm elections, even though pro-crypto Democratic candidates Gavin Newsom and Jared Polis won as new governors of California and Colorado. The market cap rebounded to above $210 billion over the weekend. In the top 100, the biggest losers are Vitae (VITAE), down 21%, TokenPay (TPAY), down 19%, and Ravencoin (RVN), down 19%. The biggest gainers are Nasdacoin (NSD), up 150%, BOScoin (BOS), up 96%, and Peercoin (PPC), up 57%. Bitcoin (BTC) and other majors remained relatively stable between $6,200 and $6,500. <a href="https://www.wsj.com/articles/the-calm-crypto-market-bitcoin-volatility-drops-despite-turmoil-elsewhere-1541764803">Bitcoin's volatility</a> has dropped to its lowest level since December 2016, as investors continue waiting for a big move amidst calm price action.</p><p class='black-text'><i>The author owns a small amount of BTC.</i></p> http://www.pws.io/cryptocurrency-week-of-november-11-in-review Sun, 11 Nov 2018 11:53:54 -0500 Eric Yao Trump Weekly: the Midterms, the Media, and Mueller http://www.pws.io/trump-weekly-the-midterms-the-media-and-mueller <p class='black-text'>This past week began with the reimposition of sanctions against Iran. At the last minute, the Trump administration granted temporary waivers for the eight countries that rely the most on Iran for oil, including India and Iraq, to continue buying oil, which softened the expected blow and helped drive the oil market into bear territory. Waivers or no, Iran is furious, with anti-sanction and anti-American protests <a href="https://www.bbc.com/news/business-46092435">spreading across the country</a>. Iran has condemned the sanctions and vows to flout US authority.</p><p class='black-text'>Arguments began on the <a href="https://www.huffingtonpost.com/entry/census-citizenship-question-lawsuit_us_5bdccf39e4b09d43e31efd46">census trial</a> on Monday in Federal Court, with Trump's Justice Department defending its inclusion of a citizenship question on the 2020 census. Advocacy groups have sued the government for including the question, which they say will yield inaccurate responses to the census, which is in an important tool the government uses to determine how to allocate funds. The citizenship question hasn't appeared on the census since 1950.</p><p class='black-text'>Trump also continued his pre-midterm strategy of frightening voters by invoking the specter of voter fraud, despite limited evidence that such fraud occurs. Via Twitter on <a href="https://twitter.com/realDonaldTrump/status/1059470847751131138?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1059470847751131138&ref_url=https%3A%2F%2Fthehill.com%2Fhomenews%2Fcampaign%2F414896-trump-warns-maximum-criminal-penalties-for-voter-fraud-in-midterm-elections">midterm election eve</a>, Trump said, "Law Enforcement has been strongly notified to watch closely for any ILLEGAL VOTING which may take place in Tuesday's Election (or Early Voting). Anyone caught will be subject to the Maximum Criminal Penalties allowed by law. Thank you!" Meanwhile, data shows that you're more likely to be <a href="https://www.brennancenter.org/sites/default/files/legacy/The%20Truth%20About%20Voter%20Fraud.pdf">struck by lightning</a> than have your identity stolen for fraudulent voting.</p><p class='black-text'>Then of course came the midterms themselves on Tuesday. As expected, the Democrats <a href="https://www.washingtonpost.com/politics/midterm-elections-democrats-flip-house-as-gop-expands-senate-majority/2018/11/07/94d62430-e27d-11e8-8f5f-a55347f48762_story.html?utm_term=.15da1c8a2aea">won enough seats</a> to take control of the House of Representatives, while Republicans strengthened their majority in the Senate. The Democrats also<a href="https://www.nytimes.com/interactive/2018/11/06/us/elections/results-governor-elections.html"> gained ground</a> in governor elections, wresting seven seats from GOP control; 23 states are now blue, while 27 are run by reds. Several gubernatorial and Senate elections were plagued by problems, and some were so close that recounts are being held. Trump appeared happy with the midterm results, calling them a success. He also suggested that he might be willing to achieve bipartisan deals with Democratic leader Nancy Pelosi, who he endorsed for the <a href="https://www.sfchronicle.com/bayarea/williesworld/article/Trump-backs-Pelosi-for-speaker-She-ll-win-13379566.php">speaker of the House position</a>. While such an endorsement might be the kiss of death for Democrats eager to distance themselves from Trump, it appears Pelosi, who has previously served as speaker, is likely to win.</p><p class='black-text'>At a press conference following the midterm results, Trump's good cheer over the midterm results faded as reporters attempted to ask him about his race-baiting, anti-immigrant strategy leading up to the midterms. The questioning lead to a tense exchange between Trump and CNN reporter Jim Acosta, which ultimately resulted in the White House banning the reporter and <a href="https://www.cnn.com/2018/11/09/media/white-house-press-pass-threat/index.html">threatening to ban others as well.</a> The White House's account of what occurred during the exchange has been <a href="https://www.nytimes.com/2018/11/09/arts/television/colbert-huckabee-sanders-acosta-video.html">less than reliable</a>. Meanwhile, Trump continued his midterm rhetoric by signing a proclamation to <a href="https://www.nytimes.com/2018/11/09/us/politics/trump-proclamation-caravan-asylum.html">curb asylum seekers</a>.</p><p class='black-text'>Lastly, after months of publicly criticizing his Attorney General, Jeff Sessions, for recusing himself from the Mueller investigation, Trump finally <a href="https://www.cnn.com/2018/11/07/politics/sessions-resign/index.html">ousted him</a>. Sessions was replaced by acting Attorney General Matthew Whitaker, a Trump loyalist and <a href="https://www.nytimes.com/2018/11/08/us/politics/matthew-whitaker-courts-inferior.html">critic of the investigation</a>. Whitaker is now technically in charge of Mueller's investigation, and seems unlikely to recuse himself. National <a href="https://www.washingtonpost.com/nation/2018/11/09/no-one-is-above-law-protesters-across-us-say-trump-threatens-muellers-investigation-by-replacing-sessions/?utm_term=.341dbfa865d7">protests took place</a> in response to Session's dismissal, which many took as a sign that Trump is attempting to sweep under the rug. Meanwhile, Trump is evaluating potential permanent replacements for Sessions, including former NJ <a href="https://www.cnbc.com/2018/11/08/trump-considers-chris-christie-to-replace-sessions-as-attorney-general.html">governor Chris Christie</a>.</p> http://www.pws.io/trump-weekly-the-midterms-the-media-and-mueller Sun, 11 Nov 2018 09:00:00 -0500 Ariel Courage Potential Long-Term Blockchain Opportunities Emerge http://www.pws.io/potential-long-term-blockchain-opportunities-emerge <p class='black-text'>Although the cryptocurrency bear market has lasted almost a year, some investors and analysts remain optimistic about the long term prospects of blockchain technology. JP Morgan Chase <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JPM"><span style="color:#333">(</span><span style=";">JPM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JPM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JPM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JPM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and several other big companies are feeling especially bullish as they experiment with different new blockchain-related technologies.</p><p class='black-text'>A recent <i><a href="https://www.cnbc.com/2018/10/30/blockchains-potential-will-spur-public-and-private-investment.html">CNBC </a></i><a href="https://www.cnbc.com/2018/10/30/blockchains-potential-will-spur-public-and-private-investment.html">article</a> details how large corporations like Accenture, Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, IBM <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IBM"><span style="color:#333">(</span><span style=";">IBM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IBM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IBM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IBM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> are attempting to develop products and services based on blockchain's ledger technology. IBM and Microsoft have teamed up on global blockchain development projects, aiming to offer clients blockchain tools as cloud services. Facebook top executives are researching blockchain in the context of encryption and data privacy. Google built a dedicated blockchain group to research uses for digital ad purchasing and investments in blockchain startups. Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has started developing blockchain applications to improve its retail operations and offer them as a service. Even non-tech companies like Ford <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/F"><span style="color:#333">(</span><span style=";">F</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="F" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="F" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="F" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Walmart <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/WMT"><span style="color:#333">(</span><span style=";">WMT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="WMT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="WMT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="WMT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Bank of America <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BAC"><span style="color:#333">(</span><span style=";">BAC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BAC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BAC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BAC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have invested billions on blockchain patents to pursue a competitive edge.</p><p class='black-text'><a href="https://www.cnbc.com/2018/11/08/jp-morgans-three-potential-winners-in-blockchain.html">JPMorgan Chase </a>predicts that blockchain will spark a "blockchain as a service," or "BaaS" industry and benefit three companies in particular. Blockchain tech can disrupt the status quo with middleman displacement opportunities. The bank named Akamai <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AKAM"><span style="color:#333">(</span><span style=";">AKAM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AKAM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AKAM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AKAM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, DocuSign <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DOCU"><span style="color:#333">(</span><span style=";">DOCU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DOCU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DOCU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DOCU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Ellie Mae <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ELLI"><span style="color:#333">(</span><span style=";">ELLI</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ELLI" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ELLI" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ELLI" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> as potential long term winners. Cloud service provider Akamai could leverage its existing network to push BaaS as an advantage. DocuSign already can connect a blockchain network to its digital contracting platform. Financial software company Ellie Mae could use blockchain to increase trust among parties and automate verification during the mortgage process.</p><p class='black-text'>Energy is another sector where blockchain's potential shines. In <a href="https://www.cnbc.com/2018/11/07/blockchain-tech-is-taking-on-renewable-energy-trading-in-one-country.html">Singapore</a>, companies are already using a blockchain system to trade renewable energy certificates. Each certificate represents a unit of green energy produced from wind or solar power. Companies seeking to offset their carbon footprint buy the certificates from firms that produced excess renewable energy power. Utilities provider SP Group stated that the blockchain trading provides better transparency and lower transaction costs. Also, consumers can buy green energy through the certificates. The distributed ledger has opened up Singapore's energy exchange, and companies are looking to expand trading beyond the country's borders.</p><p class='black-text'>Although the cryptocurrency bear market seems to have no end in sight, traditional corporate giants are enthusiastically researching ways to leverage blockchain technology, improve their operations, and influence market growth. The long term potential of blockchain might still be disruptive for tech, digital services, and energy.</p><p class='black-text'><i>The author owns a small long position in F and WMT.</i></p> http://www.pws.io/potential-long-term-blockchain-opportunities-emerge Sat, 10 Nov 2018 11:26:52 -0500 Eric Yao Stock Market Holds After Fed Announcement. http://www.pws.io/stock-market-holds-after-fed-announcement <p class='black-text'>The markets were quiet most of the day until the Federal Reserve announced that it would keep rates the same for now. The Dow 30 closed higher on the day by 10, the S&P 500 lost 7, and the Nasdaq 100 was the worst performer with a loss of 39.</p><p class='black-text'>Sector News</p><p class='black-text'>Retail stocks continued their march higher today thanks to positive news out of names like L Brands <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LB"><span style="color:#333">(</span><span style=";">LB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> the parent company of Victoria's Secret. The sector has now comfortably pushed back above the popular 200-day moving average with gains of over 3% this week alone.</p><p class='black-text'>Oil was once again one of the areas that saw more weakness today. For the month of November already the price of oil is down almost 10%, which has hurt many oil-related stocks. Technical traders view the $58 area as short-term support as the commodity finds itself now in bear territory.</p><p class='black-text'>Stock News</p><p class='black-text'>Roku <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ROKU"><span style="color:#333">(</span><span style=";">ROKU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ROKU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ROKU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ROKU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower today as the company reported earnings that came in slightly better than expected along with revenue. Though they beat expectations, the company still showed a loss and guided for weaker overall platform revenue for the all important holiday quarter. Shares have fallen all the way back to the 200-day moving average, showing losses of about 40% from the highs. Adding to the pressure was Comcast's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CMCSA"><span style="color:#333">(</span><span style=";">CMCSA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CMCSA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CMCSA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CMCSA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> announcement that they would release their own set top box to compete with Roku.</p><p class='black-text'>Take-Two Interactive <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TTWO"><span style="color:#333">(</span><span style=";">TTWO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TTWO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TTWO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TTWO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares traded in a wild range today as the company reported earnings and revenue that were better than Wall Street was expecting. The strong beat came as their newest edition of "Red Dead" broke industry records with more than $725 million in sales on just the opening weekend. Investors noted that the success in just 8 days of this game was more than the last game did in 8 years.</p><p class='black-text'>Square <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SQ"><span style="color:#333">(</span><span style=";">SQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off today despite the company beating on revenue and earnings. Investors focused on the guidance for this current quarter, which is currently below Wall Street's expectations. Despite the move down today, Square is still one of the best-performing stocks of the year with about a 120% gain.</p> http://www.pws.io/stock-market-holds-after-fed-announcement Thu, 08 Nov 2018 17:41:09 -0500 Dustin Tibbitts Sector ETFs Continue to Repair Themselves http://www.pws.io/sector-etfs-continue-to-repair-themselves <p class='black-text'>The markets have so far continued to recover from the strong October selloff this week. The S&P 500 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has made its way back to the 200-day moving average, which technical traders will note as a key area. Since falling over 10% the SPY has recovered almost 6% of the decline.</p><p class='black-text'>The Nasdaq 100 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has traded in a sideways range so far this week, but it too finds itself just under the 200-day moving average. The QQQ has suffered more of a setback thanks to the weakness in tech stocks, but over the last few weeks has been able to recover about 6.5% of the sell off.</p><p class='black-text'>Transportation stocks <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IYT"><span style="color:#333">(</span><span style=";">IYT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IYT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IYT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IYT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> were one of the harder-hit areas during last month's selloff, but now have become one of the fastest-recovering sectors of the markets. Since hitting a low last week the IYT has recovered nearly 8%. Technical traders note the level of the oversold condition as well, as it still has another 2.5% to go before getting back to the 200-day moving average.</p><p class='black-text'>So far this week the Consumer Staples stocks <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLP"><span style="color:#333">(</span><span style=";">XLP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have been one of the standout sectors. The XLP has made new highs each day this week and are now near 8-month highs. Technical traders note the heavier volumes on this recent move as money flows from other sectors to the defensive sector.</p><p class='black-text'>Lastly, the Financials <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLF"><span style="color:#333">(</span><span style=";">XLF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which were one of the harder-hit areas of the market, have come back towards a very important technical level. The recent rally has moved the XLF back to the top of the new downtrend, which will prove to be a critical area for the sector.</p><p class='black-text'>For the rest of the week investors will be left to digest the results of the midterm elections as well as any comments or decisions out of the Federal Reserve on Thursday regarding interest rates or the future of their rate hikes.</p> http://www.pws.io/sector-etfs-continue-to-repair-themselves Wed, 07 Nov 2018 19:27:52 -0500 Dustin Tibbitts Massive Stock Rally After Midterm Results http://www.pws.io/massive-stock-rally-after-midterm-results <p class='black-text'>The markets traded higher today as the leash came off stocks following the midterm election results. Investors cheered the outcome of the elections given the successful S&P 500 history following midterm elections. The Dow 30 was higher by 542, the S&P 500 closed higher on the day by 58, and the Nasdaq 100 added 194.</p><p class='black-text'>Investors now turn their focus to the Federal Reserve, which is set to make their interest rate announcement tomorrow afternoon. It is widely expected that they will take a break from their rate hikes.</p><p class='black-text'>Sector News</p><p class='black-text'>Healthcare was one of the big winners today on the results of the midterm elections. In polls, voters across both parties signaled that healthcare was one of their biggest concerns. Investors see any healthcare reform as bullish for the insurers and healthcare providers.</p><p class='black-text'>Tech stocks also enjoyed a strong day with many of the sector ETFs pushing back above their 200-day moving average. Names like Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Adobe <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ADBE"><span style="color:#333">(</span><span style=";">ADBE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ADBE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ADBE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ADBE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> were some of the leaders in the tech space that helped to support the overall markets.</p><p class='black-text'>Stock News</p><p class='black-text'>Michael Kors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/KORS"><span style="color:#333">(</span><span style=";">KORS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="KORS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="KORS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="KORS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off to new lows today despite the company reporting better-than-expected earnings and revenue. The issue with investors today was the comparable store sales, which came in weak in their European stores. Shares have now lost about 50% since hitting a high back in August.</p><p class='black-text'>Papa John's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PZZA"><span style="color:#333">(</span><span style=";">PZZA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PZZA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PZZA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PZZA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher today despite the company missing earnings as well as revenue. Investors gave the struggling pizza chain a pass as their comparable store sales in the US fell only 9.8%, which was less than the 10.7% that Wall Street analysts had posted for expectations. Shares are still lower on the year.</p><p class='black-text'>Match Group <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MTCH"><span style="color:#333">(</span><span style=";">MTCH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MTCH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MTCH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MTCH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> were lower by double digits today despite beating on earnings and revenue expectations. Their Tinder app was another big winner for the name, but shares fell on news that revenue per user would be lower than expected. They company did announce a $2 per share special dividend as well.</p> http://www.pws.io/massive-stock-rally-after-midterm-results Wed, 07 Nov 2018 17:31:34 -0500 Dustin Tibbitts Markets Slightly Higher Ahead of Midterm Results http://www.pws.io/markets-slightly-higher-ahead-of-midterm-results <p class='black-text'>The markets were higher today ahead of the midterm election results, which seem to indicate the Democrats will take the House. The Dow 30 was higher by 175, the S&P 500 gained 17, and the Nasdaq 100 added 47, with really nothing on the economic calendar for investors to go on today.</p><p class='black-text'>Sector News</p><p class='black-text'>The transportation space was one of the leaders today thanks to solid moves in names like FedEx <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FDX"><span style="color:#333">(</span><span style=";">FDX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FDX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FDX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FDX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, UPS <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UPS"><span style="color:#333">(</span><span style=";">UPS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UPS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UPS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UPS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, as well as the trucking companies like JB Hunt <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JBHT"><span style="color:#333">(</span><span style=";">JBHT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JBHT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JBHT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JBHT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The transports have now recovered almost 8% of the 16% decline that began back in late September.</p><p class='black-text'>Oil and energy was one of the weak spots today, as the price of oil lost over 1%, moving into bear market territory. The Iranian sanctions have turned out to have a smaller-than-expected impact on oil supply, as President Trump granted exemptions to Iran which will allow them to export some oil for now. Add that to a seasonal slow period and the continued pumping by the US and OPEC and you have a recipe for lower prices.</p><p class='black-text'>Stock News</p><p class='black-text'>Marriott <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MAR"><span style="color:#333">(</span><span style=";">MAR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MAR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MAR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MAR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off today as the company reported better-than-expected earnings but missed estimates on revenue. The hotel chain also announced that it would cut its forecasts for their "revenue per room" metric that's widely followed by Wall Street. Shares are lower by about 16% on the year.</p><p class='black-text'>CVS Health <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CVS"><span style="color:#333">(</span><span style=";">CVS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CVS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CVS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CVS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher today as the company reported earnings and revenue that came in better than expected. The popular same-store sales metric saw a 6.7% increase, which helped support the bulls' efforts to buy the stock.</p><p class='black-text'>Pandora <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/P"><span style="color:#333">(</span><span style=";">P</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="P" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="P" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="P" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher today as the company beat earnings estimates and revenue thanks to a 50% improvement in subscriptions. Pandora is currently in the process of being bought by SiriusXM <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SIRI"><span style="color:#333">(</span><span style=";">SIRI</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SIRI" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SIRI" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SIRI" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'>Avis Budget <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CAR"><span style="color:#333">(</span><span style=";">CAR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CAR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CAR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CAR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off towards lows again as the company reported a large earnings miss of 21 cents. Revenue was also lower than expected, which caused them to lower their full year forecast. Shares have lost about 35% this year alone.</p> http://www.pws.io/markets-slightly-higher-ahead-of-midterm-results Tue, 06 Nov 2018 17:10:52 -0500 Dustin Tibbitts Markets Position Ahead of Midterm Elections http://www.pws.io/markets-position-ahead-of-midterm-elections <p class='black-text'>The stock market was mixed today as investors looked at tech names like Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> as the weaker names in the group. The Dow 30 was higher by 190, the S&P 500 closed up 15, but the Nasdaq 100 closed down on the day by 28 thanks to the weakness in big tech names.</p><p class='black-text'>Sector News</p><p class='black-text'>Energy and Oil companies were the stronger sectors today as the Iranian sanctions officially began. The Oil Producers continue to move off their oversold lows along with the energy-related stocks and oil service companies.</p><p class='black-text'>Financial stocks were also strong today, helping to support the stock market. Technical traders will note the move back into the new downtrend, which many will see as resistance.</p><p class='black-text'>Stock News</p><p class='black-text'>Shares of Apple were lower on the day thanks to a downgrade and a report from Japan showing that iPhone XR demand is lower than expected. The Nikkei newspaper reported that Apple has told suppliers to stop preparations of additional product lines. This same newspaper reported the same thing for the last launch.</p><p class='black-text'>Amazon shares moved lower today on news that the company will lower its minimum purchase for non-Prime members to get free shipping. The company is also rumored to be nearing its final decision for the highly publicized HQ2 location. The company says they will make their decision by the end of the year.</p><p class='black-text'>Under Armour <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UA"><span style="color:#333">(</span><span style=";">UA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares continued to move higher today as the company was upgraded by Piper Jaffray. The analyst noted that they felt the forward sales are underappreciated by investors currently.</p> http://www.pws.io/markets-position-ahead-of-midterm-elections Mon, 05 Nov 2018 17:51:21 -0500 Dustin Tibbitts IPO news of the week. http://www.pws.io/ipo-news-of-the-week <p class='black-text'>This week, all the attention from investors will be on the drama, and results of the midterm elections here in the states. With this in mind there are very few names that would schedule to launch their company into the public markets when the public markets will be focused elsewhere. Even those names that have postponed their IPO's will not likely come to market this week. If anything it could be later in the week should the markets respond favorably to the remaining earnings and midterm election results.</p><p class='black-text'>With all this in mind there are actually only two names up on the calendar for the week with a total of $82 million between the two of them in size. There are a total of 4 other offerings that technically could launch this week though there are no dates set just yet for them.</p><p class='black-text'>The largest offering of the week is CNFinance Holdings <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CNF"><span style="color:#333">(</span><span style=";">CNF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CNF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CNF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CNF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which is a Chinese based loan company. Their focus is on home equity loans and they have a total of $335 million in sales for the previous 12 months. They are offering 6.5 million shares at a range of $7.50 -$8.50 which puts them at a $600 million valuation. It should be noted that this name attempted to come public back in June at a $200 million valuation but decided to hold off.</p><p class='black-text'>The other offering of the week is a biotech. Alzheon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ALZH"><span style="color:#333">(</span><span style=";">ALZH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ALZH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ALZH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ALZH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, as the name hints at, is focused on the treatment of Alzheimer's disease. They currently are developing and testing their product and are in phase 3 clinical trials. While they currently have no sales, they are coming to market with an offering of 6 million shares at a range of $4 - $6 in hopes of raising $30 million. This would give them a valuation of $82 million.</p><p class='black-text'>While midterm elections certainly will be the focus this week, remember that the markets have been extra volatile of late and that should be attributed as one of the main reasons new IPO's have slowed. Until the overall markets can provide a more stable environment to come public, expect many postponements and less filings overall.</p> http://www.pws.io/ipo-news-of-the-week Sun, 04 Nov 2018 18:25:30 -0500 Dustin Tibbitts Trump Weekly: Immigration, Midterms, Pittsburgh, and More http://www.pws.io/trump-weekly-immigration-midterms-pittsburgh-and-more <p class='black-text'>With midterms and the <a href="https://www.nbcnews.com/news/us-news/sent-trump-soldiers-arrive-border-migrant-caravan-pushes-north-n930751">caravan of Honduran</a> migrants and asylum seekers rapidly approaching, Trump went on the immigration offensive this past week. On Monday, Trump announced that he would send 5,000 troops to the Mexican border to meet the group of migrants. He also said he would consider limiting their ability to seek asylum, possibly by raising the standard to qualify for a safe haven. By Tuesday, he floated the idea of sending as many as 15,000 troops, and on Thursday he said that soldiers will <a href="https://www.nytimes.com/2018/11/02/world/africa/nigeria-trump-rocks.html">shoot even at mild provocations</a>. He also said that he <a href="https://www.axios.com/trump-birthright-citizenship-executive-order-0cf4285a-16c6-48f2-a933-bd71fd72ea82.html">might end birthright citizenship</a> - a right that was established 150 years ago and protected since by the 14th Amendment to the US Constitution. Though it is dubious how or whether Trump would actually end birthright citizenship, his remarks on the subject ensured that immigration is in the public's mind as the midterm elections approach on November 6. Trump also had public spats with fellow Republican Paul Ryan, who <a href="https://www.cnn.com/2018/10/31/politics/trump-paul-ryan-birthright-citizenship-midterms/index.html">critiqued</a> his comments.</p><p class='black-text'>Meanwhile, Trump traveled to Pittsburgh to pay his respects to the victims of the synagogue massacre in Pittsburgh. Trump's visit was controversial, as the president has often stoked <a href="https://www.brennancenter.org/blog/trump-extremist">right-wing extremist fervor for political gain</a>, and protestors greeted his arrival. The Pittsburgh mayor and other political leaders refused to appear in Trump's company. Trump instead attended with prominent Jewish members of his administration.</p><p class='black-text'>While Trump himself was preoccupied with midterm rallies, interviews, and public appearances, his administration continued to advance his agenda. The EPA is considering rolling back regulations on<a href="https://www.cnn.com/2018/10/31/politics/epa-air-pollution/index.html"> ozone air pollution</a>, so that states will be allowed to pollute more before the EPA can intervene. The administration is also reportedly planning to mount another challenge to the Obamacare mandate that employers must cover birth control as part of their insurance packages, <a href="https://www.nytimes.com/2018/10/30/us/politics/trump-birth-control-religious-exemptions.html">despite having failed twice in federal court</a>. In another healthcare-related matter, the Trump administration also granted one state - Wisconsin - permission to start <a href="https://www.cnn.com/2018/10/31/politics/wisconsin-medicaid-work-requirements/index.html">requiring citizens to work for their Medicaid</a>, even as it fights court battles over two others. Under Wisconsin law, only the disabled and primary givers are exempt from new rule.</p><p class='black-text'>Expect more news of the midterm election results on November 6 this week.</p> http://www.pws.io/trump-weekly-immigration-midterms-pittsburgh-and-more Sun, 04 Nov 2018 18:07:48 -0500 Ariel Courage Cryptocurrency Week of November 4 in Review http://www.pws.io/cryptocurrency-week-of-november-4-in-review <p class='black-text'>The first week of November has been exciting for the cryptocurrency markets. Perhaps the biggest news is that <a href="https://www.coindesk.com/coinbase-adds-browser-startup-braves-token-to-pro-trading-platform/">Coinbase </a>announced it will add the Basic Attention Token (BAT) to its trading platform. The Coinbase exchange has added support for browser company Brave's BAT starting this weekend. Customers who don't reside in New York will soon be able to transfer, deposit, and post limit orders before full trading begins. Coinbase also aims to create a BAT/USDC trading pair on its order books. The price of BAT jumped 28 percent after the announcement before settling down some, and volume on the Binance exchange rose. BAT is the third token Coinbase listed this year.</p><p class='black-text'>Here is the rest of the week in review:</p><p class='black-text'>The controversial company <a href="https://www.coindesk.com/tether-produces-letter-confirming-dollar-deposits-but-bank-hedges/">Tether</a>, which runs the stablecoin USDT, released a contentious letter to bolster its reserve claims. The short letter by Bahamian bank Deltec dated November 1 stated: "The portfolio cash value of your account with our bank was US$1,831,322,828." But the lack of a name attached, a strange signature, and a liability caveat spurred many in the crypto community to criticize the usefulness of the letter. Some also criticized the choice of Deltec as a bank due to the Bahamas' shady past. Tether has yet to complete a full audit of its dollar reserves.</p><p class='black-text'>Startup <a href="https://www.coindesk.com/another-stablecoin-just-launched-with-real-time-view-of-dollar-backing/">Stably</a> launched its StableUSD (USDS) stablecoin for purchase and redemption. The real-time token is supposed to be backed by US dollars held in escrow by a regulated Nevada trust company. An accounting firm will also perform weekly attestations for Stably's fiat reserves. The tokens are generated through smart contracts and require know-your-customer compliance. This year, the market for stablecoins has become increasingly saturated as startups raise more funding for transparent, regulated, and collateralized stablecoin projects.</p><p class='black-text'><a href="https://www.coindesk.com/bithumb-seriesone-to-launch-security-token-exchange-in-the-us/">Bithumb</a> and seriesOne are teaming up to launch a security token exchange in the US. The South Korean crypto exchange and crowdfunding platform issued a press release that they are building a product that will allow companies to tokenize major assets like equity and debt. The project awaits approval from the US Securities and Exchange Commission and the Financial Industry Regulatory Authority (FINRA). The two companies believe that a compliant security token exchange will be in demand in the US.</p><p class='black-text'>Crypto prices remained fairly stable at around the $210 billion level. A weekend selloff threw Bitcoin (BTC) toward $6,200, but a late rally to above $6,400 rallied the rest of the market. In the top 100, the biggest losers are Neblio (NEBL), down 22 percent, SmartCash (SMART), down 18 percent, and GoChain (GO), down 17 percent. The biggest gainers are TokenPay (TPAY), up 51 percent, BOSCoin (BOS), up 48 percent, and Vitae (VITAE), up 33 percent. Maybe the new month will produce some news that moves the markets more.</p><p class='black-text'><i>The author owns a small amount of BTC.</i></p> http://www.pws.io/cryptocurrency-week-of-november-4-in-review Sun, 04 Nov 2018 17:28:16 -0500 Eric Yao As Inflation Hits, US Consumers Pay Price http://www.pws.io/as-inflation-hits-us-consumers-pay-price <p class='black-text'>With the bustling economy and low unemployment rate, the rise in US inflation is prompting companies to boost prices. As of 2018, the inflation rate is steadily approaching the <a href="https://www.wsj.com/articles/companies-raise-prices-betting-consumers-can-pay-more-1540978200?mod=hp_lead_pos3">Federal Reserve's 2% goal</a>, a guideline created to ensure short-term interest rates were low. According to the Labor Department, the US consumer price <a href="https://www.reuters.com/article/us-usa-stocks-weekahead/mixed-u-s-inflation-signals-leave-investors-adrift-idUSKCN1N01F6">inflation during January to September 2018 was 2.3%, while the annual wage growth reached 2.9 percent.</a> Unfortunately, borrowing costs appear to be on the rise in 2019 to control for inflation in the wake of the US economy's steady growth facilitated by tax cuts. Companies across the US, however, are already sensing the decrease in profit revenue. Chief investment strategist<a href="https://www.reuters.com/article/us-usa-stocks-weekahead/mixed-u-s-inflation-signals-leave-investors-adrift-idUSKCN1N01F6"> Fritz Folts</a> of 3EDGE Asset Management LP noted that "market participants are really concerned that maybe finally we have seen peak earnings and that people are talking much more about costs rising and, looking ahead, corporate profit margins could certainly come under pressure."</p><p class='black-text'>Many US companies have announced price increases, with Apple NASDAQ: AAPL) raising the prices on the <a href="https://www.wsj.com/articles/companies-raise-prices-betting-consumers-can-pay-more-1540978200?mod=hp_lead_pos3">Macbook Air and iPad Pro by 25 and 25%, respectively.</a> Likewise, the burger chain McDonald's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MCD"><span style="color:#333">(</span><span style=";">MCD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MCD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MCD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MCD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has raised prices on burgers while manufacturing company Arconic Inc. <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ARNC"><span style="color:#333">(</span><span style=";">ARNC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ARNC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ARNC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ARNC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is raising prices on rolled aluminum. Major airways including Delta Air Lines <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DAL"><span style="color:#333">(</span><span style=";">DAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Jet Blue Corp. <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JBLU"><span style="color:#333">(</span><span style=";">JBLU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JBLU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JBLU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JBLU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and American Airlines Group <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAL"><span style="color:#333">(</span><span style=";">AAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have announced higher ticket prices as a result of rising fuel costs. Airways, however, are not afraid of the effects on consumers. Delta CEO Ed Bastian <a href="https://www.wsj.com/articles/companies-raise-prices-betting-consumers-can-pay-more-1540978200?mod=hp_lead_pos3">declared</a> "The economy is healthy. To the extent oil prices were to continue to rise, we expect to be able to pass along the cost of that." Other companies suggest that an increase in prices is necessary. Kellogg <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/K"><span style="color:#333">(</span><span style=";">K</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="K" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="K" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="K" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> CEO Steve Cahillan<a href="https://www.wsj.com/articles/companies-raise-prices-betting-consumers-can-pay-more-1540978200?mod=hp_lead_pos3"> asserts that </a>"the days of straight list-price increases are gone. It would lead to a decrease in consumer demand." In July, Kellogg's released a chocolate version of Eggo waffles priced at 12% higher than similar products.</p><p class='black-text'>Along with the inflation rate, the desire to increase prices on products emerges in the wake of the Trump Administration's imposition of tariffs. To date, aluminum and steel tariffs has caused Ford Motor Co. <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/F"><span style="color:#333">(</span><span style=";">F</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="F" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="F" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="F" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> <a href="https://www.reuters.com/article/us-usa-stocks-weekahead/mixed-u-s-inflation-signals-leave-investors-adrift-idUSKCN1N01F6">to lose around $1 billion in profits.</a> Other tariffs on raw materials have led companies to raise prices as well. Moving forward, possible factors that may alleviate the burden of international tariffs on companies is the strength of the dollar, <a href="https://www.wsj.com/articles/companies-raise-prices-betting-consumers-can-pay-more-1540978200?mod=hp_lead_pos3">which can lead to cheaper imports. </a></p><p class='black-text'>Nevertheless, companies propose that the success of the US economy so far will lead consumers to embrace higher prices. Jerry Storch, CEO of consultancy Storch Advisors, <a href="https://www.reuters.com/article/us-usa-stocks-weekahead/mixed-u-s-inflation-signals-leave-investors-adrift-idUSKCN1N01F6">notes that </a>companies "are finally able to take the price now because the economy is hot. Consumers have money and wages are finally up." On the other end of the spectrum, investors have been placing their faith and wallets into companies that respond to inflation appropriately. This year, companies that exhibit high operating leverage, or the ability to accrue revenue with little changes to their costs, <a href="https://www.reuters.com/article/us-usa-stocks-weekahead/mixed-u-s-inflation-signals-leave-investors-adrift-idUSKCN1N01F6">have returned 13 percent. </a></p> http://www.pws.io/as-inflation-hits-us-consumers-pay-price Sun, 04 Nov 2018 17:21:00 -0500 Arlene Lormestoire Berkshire Hathaway invests millions in Fintech http://www.pws.io/berkshire-hathaway-invests-millions-in-fintech <p class='black-text'>Berkshire Hathaway <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BRK.A"><span style="color:#333">(</span><span style=";">BRK.A</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BRK.A" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BRK.A" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BRK.A" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> <a href="https://toshitimes.com/berkshire-hathaway-invests-600-million-in-fintech-payments-fund/">invested</a> around $600 million in the past few months in two big fintech companies, one in Brazil called StoneCo. Ltd. and another in India called Paytm. Both of these investments are focused on currently emerging markets. Todd Combs, one of Berkshire's two portfolio managers, spearheaded these investments. Mr. Combs, to whom Berkshire CEO Warren Buffett has given complete autonomy, has extensive experience in the banking and payments industry. Before joining Berkshire he ran a hedge fund, Castle Point Capital Management, which focused on financial companies. When Buffett was <a href="https://www.wsj.com/articles/warren-buffetts-firm-invests-millions-in-fintech-1540807200%20">asked to comment</a> about these new investments he refused to do so because this was, as he put it, 100% Comb's deal.</p><p class='black-text'>This is particularly surprising given the fact that Berkshire usually invests in blue-chip companies and other steady businesses such as utilities and insurance companies. Even more surprising is that they participated in StoneCo's IPO. Berkshire watchers have said that this is the first time that they recall the company participating in an IPO. During an annual meeting in 2012, Buffett was very critical of investing in IPOs. His argument was that "out of the thousands and thousands and thousands of businesses in the world...it can't be the most attractive thing" since sellers have the advantage of choosing when to enter the market.</p><p class='black-text'>Warren Buffett is a value investor, which means that he purchases stocks of companies that he believes are undervalued and that he can sell for more later on. However, it seems like sure options are not available in the industries he traditionally invests in, thus he's turned to new places where Berkshire can invest its pile of cash, which was around $111 at mid-year.</p><p class='black-text'>His investment shows how much the fintech industry has matured and how Silicon Valley has grown from a small seed post-2008 into a sector that now attracts almost $35 billion in venture capital in just the first nine months of 2018. Berkshire typically does not invest in early-stage startups so this is a good sign for the industry. Shares of Stone rose 30% to $31.09 last week. Berkshire has stated that they are interested in purchasing 14.2 million shares at an offering price of $24, marking the investment at $440 million. Stone is Brazil's fourth-largest payment processor by volume. The company also invested around $300 million in Paytm. Paytm has more than 300 million users which is more than PayPal <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PYPL"><span style="color:#333">(</span><span style=";">PYPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PYPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PYPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PYPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has around the world.</p> http://www.pws.io/berkshire-hathaway-invests-millions-in-fintech Sun, 04 Nov 2018 17:07:38 -0500 Karina Petrunova Under Trump, Big Oil Gets Fracking Access to Formerly Protected Lands http://www.pws.io/under-trump-big-oil-gets-fracking-access-to-formerly-protected-lands <p class='black-text'>The Trump administration has auctioned off millions of acres of drilling rights in order to promote more domestic energy production. The administration has also rolled back regulations aimed at protecting wildlife, air quality, and groundwater supplies. The Interior Department has gone along with industry pressure, opening up more than 12.8 million acres of federally controlled oil and gas parcels to be offered for lease. This is triple the amount offered during President Obama's two terms. In 2016, the amount was 2 million and in 2017 it was 2.5 million.</p><p class='black-text'>Not only this, but the acreage actually being leased by energy companies such as Chesapeake Energy <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CHK"><span style="color:#333">(</span><span style=";">CHK</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CHK" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CHK" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CHK" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Chevron <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CVX"><span style="color:#333">(</span><span style=";">CVX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CVX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CVX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CVX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Anschutz Explorations also increased. These companies are seeing growth opportunities as oil prices are rising due to Iran sanctions and a pro-business administration.</p><p class='black-text'>Wyoming sits on land that is rich in oil reserves. The landscape of rural areas in the state are already changing. The number of drilling rigs operating in the state has doubled since 2016 and is going to increase even further. As many as 5,000 new oil wells are being planned in Converse, a county with a population of 14,000 people. The Interior Department leases out land of private ranches that sit atop federally owned, below-ground mineral rights. The owners are able to charge drilling, fracking, and pipeline teams for the right to cross their property. This lease allows fossil fuel companies to drill for the oil and gas beneath. Once the wells are drilled, the companies pay 12.5% royalty on anything they extract. They hold onto the lease for an unspecified period of time.</p><p class='black-text'>Government revenue has soared as a result of lease sales and collected royalties. Wyoming received $669 million form federal oil, gas, and coal sales last year, which it used to pay for schools and roads, among other needs. Industry lobbyists have successfully pushed for a change in policies that govern how frequently new federal leases are offered and how quickly drilling permits are approved among other concerns. The administration has also cut the time the public has to challenge federal land sales at the industry's request.</p><p class='black-text'>The most visible consequence of these policy changes is the reversal of an Obama-era rule intended to curb the flaring or venting of methane, which is 30 times more potent than carbon dioxide.</p><p class='black-text'>The government has offered so much land through actions in the past two years that most of it has failed to attract any bidders. As Western states are reaping the short-term benefits of these sales, they are also faced with the permanent consequences on American landscapes, wildlife, and public health, which are in danger from these new policies.</p> http://www.pws.io/under-trump-big-oil-gets-fracking-access-to-formerly-protected-lands Sun, 04 Nov 2018 17:00:45 -0500 Karina Petrunova Yellen Questions Growing Deficit and US Economy Even as Wages Climb http://www.pws.io/yellen-questions-growing-deficit-and-us-economy-even-as-wages-climb <p class='black-text'>Americans have long suffered from stagnant wages and climbing costs of living since the financial crisis and Great Recession a decade ago. But the <a href="https://www.cnbc.com/2018/10/31/wages-and-salaries-jump-by-3point1percent-highest-level-in-a-decade.html">US Labor Department reported</a> this week that workers have finally seen the largest increase in nominal wages in a decade, as a tighter job market with low unemployment pushes wages upward. Though the new report is good news for employees, it could be bad for the US stock market, which is struggling after falling from record highs this year.</p><p class='black-text'>From September last year to this year, <a href="https://outline.com/r3uPHm">wages and salaries</a> rose 3.1 percent, according to the Labor Department's Employment Cost Index for civilian workers, a measure of pay that doesn't account for inflation. The Labor Department's employment cost index rose 0.8 percent during the period. But gas, rent, and healthcare prices have also increased in the last year, undercutting much of the wage gains. When the Labor Department releases average hourly earnings numbers on Friday, investors will see a more complete picture of wage growth.</p><p class='black-text'>The factors behind rising wages include a hot labor market where employers find it difficult to hire skilled workers, as well as multiple minimum wage increases by cities, states, and companies. While it's positive for the middle class that wages are finally starting to catch up with record corporate earnings and executive compensation, the wage growth could spark the Federal Reserve to accelerate its schedule of interest rate increases. When the central bank raises interest rates, investors generally believe the action negatively impacts equities, as it makes companies' borrowing more expensive and fixed income assets more attractive.</p><p class='black-text'>Former Federal Reserve Chair <a href="https://www.cnbc.com/2018/10/30/yellen-says-rising-us-deficit-unsustainable-if-i-had-a-magic-wand-i-would-raise-taxes.html">Janet Yellen</a>, who served from 2014 to 2018, has expressed concerns about the US government's growing deficit and the economy. She stated that the US debt path is unsustainable and offered a recommendation: "If I had a magic wand, I would raise taxes and cut retirement spending." In 2018, the federal deficit increased by 17 percent to $779 billion. Yellen added that the deficit will keep ballooning with government spending on Social Security and Medicare growing as more older people retire.</p><p class='black-text'>Normally, in a booming economy at risk of overheating and with high federal deficits, the Federal Reserve focuses more on fighting inflation with higher interest rates, especially with an inflation hawk like Jerome Powell as chair. Though higher interest rates help reduce employment and prevent an economy from overheating too quickly, they also make the government pay more interest on Treasury bonds, meaning a larger budget deficit. If the economy overheats and the deficit widens, the damage could hurt both stock market investors and workers who are finally seeing bigger paychecks.</p> http://www.pws.io/yellen-questions-growing-deficit-and-us-economy-even-as-wages-climb Thu, 01 Nov 2018 17:12:22 -0400 Eric Yao Trump Tweet and Earnings Send Stocks Higher http://www.pws.io/trump-tweet-and-earnings-send-stocks-higher <p class='black-text'>The markets moved higher yet again today thanks to earnings and a tweet from President Trump saying that his trade talks with China President Xi Jinping went well. The Dow 30 was higher by 264, the S&P 500 gained 28, and the Nasdaq 100 closed higher by 128.</p><p class='black-text'>Sector News</p><p class='black-text'>Semiconductors were one of the strong sectors today as the tweet from President Trump spurred the China-reliant sector. The semiconductors have now rallied over 12% since hitting a new low just 4 days ago.</p><p class='black-text'>Homebuilders enjoyed another strong move off recent lows as money continued to move into that sector. The homebuilders as a whole are now up over 10% since hitting a 52-week low just 4 days ago. The sector is still lower by 20% on the year, however.</p><p class='black-text'>Stock News</p><p class='black-text'>Shares of Cigna Health <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CI"><span style="color:#333">(</span><span style=";">CI</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CI" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CI" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CI" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> were higher today as the company reported earnings per share of $3.84, which beat expectations of $3.44 per share. Revenue came in higher as well, as the company enjoyed lower costs for the government health plans. Thanks to this, the company also raised forecasts going forward. Shares broke to new 10-month highs on the news.</p><p class='black-text'>Recent IPO Spotify <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPOT"><span style="color:#333">(</span><span style=";">SPOT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPOT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPOT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPOT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> reported a profit for the previous quarter, surprising Wall Street. Revenue was also a focus as the company announced a beat on that as well. One key metric that Wall Street looks at is the monthly active users, which were higher by 28%. In this market however, valuation remains key and investors are less willing to speculate.</p><p class='black-text'>Fitbit <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FIT"><span style="color:#333">(</span><span style=";">FIT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FIT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FIT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FIT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was one of the big winners today as the company popped almost 30% on earnings. The company reported a beat by 3 cents along with stronger revenue than expected. Though the company didn't give strong guidance going forward shares were higher on the day, likely due to the high short interest.</p> http://www.pws.io/trump-tweet-and-earnings-send-stocks-higher Thu, 01 Nov 2018 16:06:05 -0400 Dustin Tibbitts Stock Market Pushes Higher At End of Tough Month http://www.pws.io/stock-market-pushes-higher-at-end-of-tough-month <p class='black-text'>The markets closed out the volatile October on a relatively high note but still well in the red. For the month the Nasdaq 100 has lost about 9% and the S&P 500 has sold off 7% as investors continue to weigh the economy and earnings.</p><p class='black-text'>For the day the Dow 30 nearly closed back above the 200-day moving average, with a gain of 242. The S&P 500 closed higher by 28 and the Nasdaq 100 closed higher by 144. Next Tuesday is the midterm election day here in the States, which means this market volatility isn't over yet.</p><p class='black-text'>Sector News</p><p class='black-text'>Banks enjoyed another strong day today which helped support the overall markets. Technical traders note the move back towards the downtrend will likely be a sticking point, at least in the short term for the space.</p><p class='black-text'>Consumer discretionary stocks enjoyed a nice bounce today as well thanks to a strong recovery from Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and some of the other major leaders in the space. The attention was mostly on Amazon as it recovered more than half of its losses from Monday's decline.</p><p class='black-text'>Stock News</p><p class='black-text'>General Motors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GM"><span style="color:#333">(</span><span style=";">GM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was the latest automaker to report earnings, which returned a profit of $1.87 a share. This was well above the $1.25 that was expected by Wall Street. Revenue also came in higher thanks to higher prices here in the states. This sent shares higher on the day and to their highest price all month long. The company also said the'll cut back their domestic workforce.</p><p class='black-text'>Yum Brands <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/YUM"><span style="color:#333">(</span><span style=";">YUM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="YUM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="YUM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="YUM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which owns popular food chains like KFC and Taco Bell announced earnings that beat expectation as well. Revenue was higher than expected, which sent shares higher on the day. The only blemishes on the report was slower sales at their Pizza Hut brand.</p><p class='black-text'>T-Mobile US <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TMUS"><span style="color:#333">(</span><span style=";">TMUS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TMUS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TMUS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TMUS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares headed back towards highs of the year today as the company reported earnings. The company beat on earnings and revenue and showed that they added 774,000 new phone customers during the quarter. Shares are higher by about 7% on the year, which has been good for the company.</p> http://www.pws.io/stock-market-pushes-higher-at-end-of-tough-month Wed, 31 Oct 2018 17:01:27 -0400 Dustin Tibbitts ETF weekly update. http://www.pws.io/etf-weekly-update-1 <p class='black-text'>After many volatile days sent stocks lower, the markets have attempted to find a bottom. At least for now, the S&P 500 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has found enough buyers to help pull it off its low. On Tuesday, the SPY saw a gain of 1.5%, which helped it nearly erase all of Monday's losses. While we're still very much near the recent lows, investors are hopeful that this will help solidify a short-term bottom.</p><p class='black-text'>The Nasdaq 100 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has also gained the attention of the bulls this week but so far it hasn't been able to recover from early week losses. There are a handful of big tech names due to report later this week, which could have a big impact on the final resting place for the QQQ as October comes to a close.</p><p class='black-text'>Homebuilders <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XHB"><span style="color:#333">(</span><span style=";">XHB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XHB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XHB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XHB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have had a strong start to the week, seemingly putting in a bottom for now. On Tuesday the sector popped a whopping 5% on much higher than average volume which seemed to suggest a round of short covering as well as some possible sector rotation. Investors will be focused on any possibility of a follow through to close out the week.</p><p class='black-text'>The transportation sector <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IYT"><span style="color:#333">(</span><span style=";">IYT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IYT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IYT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IYT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which has been one of the weaker areas has also found some solid strength early in the week. The IYT added nearly 3% on Tuesday alone which erases the last three trading days of losses and starts to form a short term low. Continuation of this will be key to attract more and more bulls.</p><p class='black-text'>Finally, volatility <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/VXX"><span style="color:#333">(</span><span style=";">VXX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="VXX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="VXX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="VXX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has come off it's recent highs ever so slightly. With the mid-term elections due up as well as more earnings though, many feel that the popular fear index will be hard pressed to come off those highs anytime soon as investors continue to head for the safety hedge.</p> http://www.pws.io/etf-weekly-update-1 Wed, 31 Oct 2018 07:19:23 -0400 Dustin Tibbitts New Trump Tariff Threat Against China Spurs Deeper Stock Market Selloff http://www.pws.io/new-trump-tariff-threat-against-china-spurs-deeper-stock-market-selloff <p class='black-text'>On Monday, October 29, Wall Street ended a volatile trading session closer to correction territory; the S&P 500 (.INX) tumbled 0.66 percent, down almost ten percent from its September 20 record high. Tech stocks like Amazon, <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Alphabet <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> fell sharply. The impetus behind the selloff was a <i><a href="https://www.bloomberg.com/news/articles/2018-10-29/u-s-said-to-plan-more-china-tariffs-if-trump-xi-meeting-fails">Bloomberg </a></i><a href="https://www.bloomberg.com/news/articles/2018-10-29/u-s-said-to-plan-more-china-tariffs-if-trump-xi-meeting-fails">report</a> that US President Donald Trump is considering enacting tariffs on all remaining Chinese imports worth $257 billion.</p><p class='black-text'>The report disclosed that the Trump administration is ready to announce tariffs on all $505 billion worth of imports from China in December if trade talks next month fail to solve the trade war. In an i<a href="https://www.cnbc.com/2018/10/30/trump-says-he-expects-great-deal-with-china-but-more-tariffs-if-not.html">nterview with Fox News</a>, Trump stated: "I think we will make a great deal with China, and it has to be great because they've drained our country." That likely shows that though his administration is willing to negotiate with China, they remain committed to a hawkish hard line.</p><p class='black-text'>The <a href="https://en.wikipedia.org/wiki/2018_China%E2%80%93United_States_trade_war">trade war </a>escalated when Trump ordered tariffs on a quarter of a billion dollars worth of Chinese goods in September, expanding the list that began in January. The Chinese government has responded to each new tariff announcement swiftly and with equal weight. Some of the American sectors affected by the trade war include steel, industrials, aerospace, and agriculture. Though economists share an unusual consensus that tariffs cause more harm than good, the Trump administration has stated that a trade war is needed to protect American intellectual property and reverse the trade deficit.</p><p class='black-text'>Equities have responded negatively to the trade war. The Shanghai Composite (SSE) index entered a bear market earlier this year, and the Dow Jones Industrial Average (DJI) and Nasdaq Composite (IXIC) fell into correction territory in October. Coupled with the Federal Reserve's schedule to raise interest rates until 2021, the trade war is a major headwind for the US stock market, even as tax reform positively affects corporate buybacks and earnings.</p><p class='black-text'>Trump and Chinese President Xi Jinping are slated to attend the G20 summit in Buenos Aires, Argentina next month. Although representatives from both countries have been discussing trade issues since the first imposed tariff, Trump is silent on what kind of trade deal he wants to reach with China. With the <a href="https://www.barrons.com/articles/what-the-midterm-elections-will-mean-for-the-markets-1540828953">US midterm elections</a> finishing next week, it is possible that the direction of trade talks could change if the Democratic Party wins control of Congress, as Trump's Republican Party has made no real challenge to his hawkish trade policy. Regardless, the September tariffs on China are scheduled to increase from 10 to 25 percent by year's end.</p> http://www.pws.io/new-trump-tariff-threat-against-china-spurs-deeper-stock-market-selloff Tue, 30 Oct 2018 20:52:43 -0400 Eric Yao Stock Market Tries to Recover As Month Nears End http://www.pws.io/stock-market-tries-to-recover-as-month-nears-end <p class='black-text'>The markets pulled off their correction territory lows today as investors once again tried to buy the dip. The Dow 30 was higher by 430, the S&P 500 closed higher by 41, and the Nasdaq 100 added 111 on the day.</p><p class='black-text'>While investors are looking to put an end to a rough month, the statisticians note that when the S&P 500 was down 8% or more in a month with only two days to go, it bounced higher by an average of 2.75% in 80% of cases dating back to 1952.</p><p class='black-text'>Sector News</p><p class='black-text'>Oil prices fell today on news that crude output from Russia, US, and Saudi Arabia reached 33 million barrels a day, which was higher than expected. In addition, it was reported that Iran was rapidly selling oil ahead of the Trump sanctions that take effect in just a few days.</p><p class='black-text'>Semiconductors were higher on the day thanks to easing trade war concerns as well as earnings from names like KLA-Tencor <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/KLAC"><span style="color:#333">(</span><span style=";">KLAC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="KLAC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="KLAC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="KLAC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and others. The semiconductor sector has been hovering near lows over the last 5 days as traders pick and choose their bottom.</p><p class='black-text'>Stock News</p><p class='black-text'>Coca-Cola <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/KO"><span style="color:#333">(</span><span style=";">KO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="KO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="KO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="KO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher today on earnings as the company reported a beat of 3 cents and revenue that was higher than expected. The company attributed this to higher organic sales which grew by 6%. Technical traders noted the breakout above a three-month range.</p><p class='black-text'>General Electric <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GE"><span style="color:#333">(</span><span style=";">GE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares broke to new lows today as the company reported an earnings miss by 6 cents. Revenue also came in lower than expected. Analysts had already lowered their expectations for the name. The new CEO also took the opportunity to cut their dividend to 1 cent per share, down from 12 cents.</p><p class='black-text'>Under Armour <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UA"><span style="color:#333">(</span><span style=";">UA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares blasted higher today as the company easily beat earnings forecasts. The company was expected to post 12 cents a share but reported 25. Revenue was well above expectations as well, since the company said overseas sales were a tailwind for the quarter.</p> http://www.pws.io/stock-market-tries-to-recover-as-month-nears-end Tue, 30 Oct 2018 15:38:48 -0400 Dustin Tibbitts IPO Markets Slow on Volatile Stock Market http://www.pws.io/ipo-markets-slow-on-volatile-stock-market <p class='black-text'>While there are plenty of IPOs on the schedule this week, it's likely that we'll see some of these names hold off. The market's recent volatility has taken attention away from the IPO markets and last week we saw a handful of names decide to wait it out. This week there are six more names on the books, but we could also see some of last week's names jump out there as well should things look a little more favorable in the markets.</p><p class='black-text'>The largest offering of the week is a UK-based company called Orchard Therapeutics <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ORTX"><span style="color:#333">(</span><span style=";">ORTX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ORTX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ORTX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ORTX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. This IPO has been put together by some bigger names, like JP Morgan <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JPM"><span style="color:#333">(</span><span style=";">JPM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JPM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JPM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JPM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and will be seeking $200 million. The company is working on stem cell therapies to treat rare diseases and will be offering 13 million shares at a range of $14 - 16.</p><p class='black-text'>Next up is Axonics Modulation <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ANXX"><span style="color:#333">(</span><span style=";">ANXX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ANXX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ANXX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ANXX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which is working on a neural implant for those suffering from an overactive bladder or incontinence. They hope to raise $100 million by offering 6.6 million shares at a range of $14 - $16.</p><p class='black-text'>Twist Bioscience <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWST"><span style="color:#333">(</span><span style=";">TWST</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWST" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWST" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWST" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is another biotech coming to market this week. It's focused on DNA-based synthetic gene production for rare diseases. They'll be offering 5 million shares at a range of $14 - 16 in hopes of raising $75 million.</p><p class='black-text'>Leaving the biotech space for a moment, we have a community bank out of Florida. BankFlorida <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BFL"><span style="color:#333">(</span><span style=";">BFL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BFL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BFL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BFL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and it's one branch will be looking for $65 million this week by offering 6.2 million shares at a range of $10 -$11. The proceeds of a successful IPO will go to the management team, which has plans to expand the bank.</p><p class='black-text'>There are two smaller biotech offerings left on the calendar this week. The first is Eton Pharmaceuticals <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ETON"><span style="color:#333">(</span><span style=";">ETON</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ETON" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ETON" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ETON" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which is looking for $18 million by offering 3 million shares at $6. The other is Tixiana Life Sciences <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TLSA"><span style="color:#333">(</span><span style=";">TLSA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TLSA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TLSA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TLSA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which is focused on Crohn's disease. They will offer 1.1 million shares at $9.90.</p> http://www.pws.io/ipo-markets-slow-on-volatile-stock-market Tue, 30 Oct 2018 04:06:18 -0400 Dustin Tibbitts Stock Markets Continue to Find Selling Pressure http://www.pws.io/stock-markets-continue-to-find-selling-pressure <p class='black-text'>The markets started the day with a strong move higher as investors looked at the recent drop as a bit of a discount. The bears were quick to sell as news broke that President Trump would put tariffs on additional goods from China should the meeting at the G20 summit next month not go well. Tariffs would begin in December unless a compromise is reached at the G20 meeting. With this news, the Dow sold off 248, the S&P 500 closed lower by 17, and the Nasdaq 100 closed lower by 116.</p><p class='black-text'>Political news aside, this is another big week for earnings. There are still many big names left to report which will undoubtedly cause more volatility in stocks as well as their respective sectors.</p><p class='black-text'>Sector News</p><p class='black-text'>Financials were higher today as the sector continues to recover from its sharp decline over the last few weeks. Bank stocks pushed higher by over 2% as the day began but slowly sold off from their highs. Ultimately the banks still closed higher on they day by a fraction of a percent.</p><p class='black-text'>Semiconductor stocks were also mostly higher to start the day but news of a UK tax, as well as selling pressure across the entire sector, made the semis reverse course and close at lows.</p><p class='black-text'>Stock News</p><p class='black-text'>IBM <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IBM"><span style="color:#333">(</span><span style=";">IBM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IBM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IBM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IBM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower today, but made headlines as the company has decided to buy Red Hat <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/RHT"><span style="color:#333">(</span><span style=";">RHT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="RHT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="RHT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="RHT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> for about $33 billion in cash. This equates to about $190 per share, which would be the biggest acquisition ever for IBM. Red Hat shares traded higher by nearly 50% on the announcement of the deal.</p><p class='black-text'>General Electric <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GE"><span style="color:#333">(</span><span style=";">GE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were slightly higher today ahead of the company's earnings announcement which could include a cut or all-out suspension of their dividend. The news of the possible cut in the dividend sent shares higher as many saw it as a good way to conserve cash, which ultimately could help the business in their restructuring efforts. Last November the company cut their dividend by 50%.</p><p class='black-text'>Ford <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/F"><span style="color:#333">(</span><span style=";">F</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="F" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="F" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="F" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher on the day thanks to an upgrade from Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> to buy from neutral. The company also raised their price target to $12 from $9, saying that they would see an "earnings trough in 2019" thanks to cost improvements and adjustments to the product lineup around the world.</p> http://www.pws.io/stock-markets-continue-to-find-selling-pressure Mon, 29 Oct 2018 15:41:13 -0400 Dustin Tibbitts Cryptocurrency Week of October 28 in Review http://www.pws.io/cryptocurrency-week-of-october-28-in-review <p class='black-text'>The last week of October has been exciting for the cryptocurrency markets. Perhaps the biggest news is that CNBC host and trader Ryan NeuNer reported that <a href="https://www.ccn.com/newsflash-cnbcs-cryptotrader-claims-coinbase-is-preparing-for-an-ipo/">Coinbase </a>is working on plans to do an initial public offering (IPO). The exchange has reached 25 million users, 600,000 of which are active traders. It is projected to earn $450 million in revenue in the fourth quarter. If Coinbase does go public, it would be one of first crypto IPOs in history. However, Coinbase also <a href="https://finance.yahoo.com/news/exclusive-coinbase-cuts-remote-support-staff-131702732.html">laid off 15 employees</a> this week, a strange move when the blockchain startup is still growing.</p><p class='black-text'>Here is the rest of the week in review:</p><p class='black-text'>Crypto mining company <a href="https://www.bloomberg.com/news/articles/2018-10-25/bitfury-is-said-to-consider-europe-s-first-major-crypto-ipo">Bitfury </a>is also considering an IPO. Cofounders Valery Vavilov and Valery Nebesny share a majority stake in the firm. Bitfury has contacted investment banks as it weighs whether to go public in London, Amsterdam, or Hong Kong. It could seek a valuation of $3 to $5 billion, though its revenue was only $450 million in the 12 months before March. This year Bitfury garnered praise by cooling its computers in a special liquid. But the long secular bear market could make Bitfury's potential IPO difficult, if it continues to prolong.</p><p class='black-text'>A <a href="https://www.coindesk.com/chinese-arbitration-court-says-bitcoin-should-be-legally-protected-as-property/">Chinese court </a>ruled that in spite of the country's ban on cryptocurrency trading, it is legal to be used as property. The Shenzhen Court of International Arbitration ruled that Bitcoin (BTC) should be legally protected as property. The arbitrator reasoned that contractual obligations involving cryptocurrency do not fall under the central bank's September 2017 trading ban. The court added that currently no Chinese law prohibits the possession of BTC or peer-to-peer transactions. Chinese crypto enthusiast should look for regulatory clarity in the near future.</p><p class='black-text'>On Wednesday, <a href="https://www.coindesk.com/tether-just-burned-500-million-usdt-stablecoin-tokens/">Tether </a>announced that it had destroyed 500 million units of its controversial USDT token. The supply of the Tether stablecoin token in circulation has decreased to $2 billion. Tether maintains that the token burn is part of a process is called redemption, involving transfers of USDT to Treasury accounts so that the token remains backed by real US dollars. However, criticism that Tether is not fully collateralized has increased this year. The Bitfinex exchange, which owns and manages Tether, has struggled with keeping USDT at dollar parity.</p><p class='black-text'>Crypto prices remained in a tight range this week. Market capitalization fell slightly to $209 billion, as BTC has become one of the most stable major coins. In the top 100, the biggest losers are Elastos (ELA), down 32 percent, Vitae (VITAE), down 31 percent, and SmartCash (SMART), down 13 percent. The biggest gainers are Happycoin (HPC), up 392 percent, NIX (NIX), up 67 percent, and Ravencoin (RVN), up 58 percent. The lull in volatility is uncharacteristic, but it could pick up with the midterm elections and new US regulatory decisions.</p><p class='black-text'><i>The author owns a small amount of BTC.</i></p> http://www.pws.io/cryptocurrency-week-of-october-28-in-review Sun, 28 Oct 2018 09:11:52 -0400 Eric Yao US Deficit Climbed Roughly 17% in Fiscal Year 2018 http://www.pws.io/us-deficit-climbed-roughly-17-in-fiscal-year-2018 <p class='black-text'>Earlier this month, the Treasury Department announced that the US <a href="https://www.nytimes.com/2018/10/15/us/politics/federal-deficit-2018-trump-tax-cuts.html">federal budget deficit climbed </a>to $779 billion in fiscal year 2018, which ended Sep. 30, 2018. That's a nearly 17% spike from 2017, when the deficit was $666 billion, and roughly on par with the deficit in fiscal year 2012, when the US was still recovering from the 2008 financial crisis. Analysts within and without the Trump administration expect that $101 billion will be added in 2019, swelling the deficit to more than $1 trillion.</p><p class='black-text'>The Trump administration attributes the deficit rise to increased spending both on defense and on domestic initiatives. Outside analysts, however, say that Trump tax cuts - particularly those benefiting corporations with a reduction in the top rate from 35% to 21% - led to a sharp decline in revenue. While personal income tax collections were up, corporate taxes have fallen by a third. Revenues were down to 16.5% from 17.2% in 2017. According to figures released by the Treasury Department, revenue is now a full percentage point lower than the average over the last 40 years.</p><p class='black-text'>When crafting Trump's tax policies, Republicans argued that the corporate and individual tax cuts would make up for the loss in tax revenue through faster economic growth. Indeed, Treasury Secretary Steve Mnuchin said in April of 2017 that the cuts would <a href="https://www.washingtonpost.com/news/wonk/wp/2017/04/20/trumps-treasury-secretary-the-tax-cut-will-pay-for-itself/">yield such unprecedented growth</a> that in effect they would "pay for themselves." This hasn't proved to be the case, as many analysts, including the Congressional Joint Committee on Taxation, expected.</p><p class='black-text'>Revenue was lower despite Trump's tariffs, which added $41.3 billion in 2018 - an increase of about 20% from last year. Trump has promised to use the revenue from these tariffs on steel, aluminum, and Chinese products to pay down the national debt. However, it's unclear if <a href="https://www.forbes.com/sites/phillevy/2018/04/12/trump-tariff-revenue-what-tariff-revenue/#25e3b1390f62">revenue from tariffs will ever make up</a> the difference of what was lost through the tax policy, particularly since manufacturers and consumers may simply turn to products from other countries that are not subject to tariffs.</p><p class='black-text'>While the <a href="https://www.bloomberg.com/opinion/articles/2018-04-27/deficits-don-t-matter-to-stocks-until-they-do">debate over whether federal deficits matter</a> has yet to be settled, some consider the rise to be worrisome. Further, because Republicans (including Trump, who <a href="https://www.thebalance.com/trump-plans-to-reduce-national-debt-4114401">promised to eliminate the national debt</a> in two presidential terms) have traditionally taken the position that the federal deficit should be reduced, some see the growth of the debt under their watch as hypocritical. Still, because the cuts only went into effect in January of 2018, it has not yet been a year since they were enacted, and thus their full impact has yet to be measured.</p> http://www.pws.io/us-deficit-climbed-roughly-17-in-fiscal-year-2018 Sun, 28 Oct 2018 09:09:19 -0400 Ariel Courage Trump Weekly: Midterms, Census, Saudi Arabia, and More http://www.pws.io/trump-weekly-midterms-census-saudi-arabia-and-more <p class='black-text'>As per usual, Trump began this week on a controversial note. During a rally in Texas on Monday to support Republican Senator and former presidential rival Ted Cruz in the swift-approaching midterm elections, Trump proudly <a href="https://www.bloomberg.com/news/articles/2018-10-23/trump-says-i-m-a-nationalist-in-appeal-to-texas-republicans">declared that he is a nationalist</a>. The term is controversial, as it carries connotations of <a href="https://www.npr.org/2018/10/24/660042653/what-is-a-nationalist-in-the-age-of-trump">authoritarianism, chauvinism, and jingoism</a>. Though experts have long labeled Trump's policies and sensibilities as such, this marked the first time that Trump embraced the title. In the same rally, Trump also said that he and Cruz - who Trump once dubbed "Lyin' Ted" - have put their differences behind them: "To me, he's not Lyin' Ted anymore. He's Beautiful Ted. He's Texas - I call him Texas Ted."</p><p class='black-text'>On Monday, the Supreme Court handed the Trump administration a victory by <a href="https://www.washingtonpost.com/politics/courts_law/supreme-court-shields-commerce-secretary-wilbur-ross-from-answering-questions-on-census/2018/10/22/33dfa890-ce5f-11e8-a3e6-44daa3d35ede_story.html?utm_term=.c571be918377">stopping the deposition</a> of Commerce Secretary Wilbur Ross in a lawsuit seeking to fight the decision to reinstate the citizenship question on the US census. The citizenship question is critical, as data contained therein is used to set policies, apportion Congressional seats, and allocating federal funds. The filers of the suit - the ACLU and New York attorney general - claim that the citizenship question produces inaccurate results by deterring immigrants from responding. This week's census win doesn't help the administration with their <a href="http://fortune.com/2018/08/13/watchdog-wilbur-ross-broke-laws-lied-investigation/">other Wilbur Ross problem</a>, however.</p><p class='black-text'>On Tuesday, Trump finally <a href="https://www.usatoday.com/story/news/politics/2018/10/23/trump-saudis-committed-worst-cover-up-history-khashoggi-death/1742372002/">denounced</a> Saudi Arabia for its involvement in and cover-up of the murder of journalist Jamal Khashoggi. The administration also issued sanctions against Saudi <a href="https://thehill.com/policy/international/413454-suspects-in-khashoggi-killing-will-be-prosecuted-in-saudi-arabia-saudi">individuals involved</a> in the murder, but is still considering whether to impose sanctions on Saudi Arabia itself. Trump has been reluctant to do so due to close economic ties between the US and Saudi Arabia. Meanwhile, <a href="https://www.nytimes.com/2018/10/21/us/politics/steven-mnuchin-saudi-arabia-khashoggi.html">Treasury Secretary Steve Mnuchin </a>met with the Saudi Crown Prince on Monday.</p><iframe width="100%" height="400" src="said" frameborder="0" allowfullscreen></iframe><iframe width="100%" height="400" src="https://www.youtube.com/embed/R9_LCqEPaEc">said." frameborder="0" allowfullscreen></iframe><p class='black-text'>Trump also condemned on Tuesday the mailing of bombs to several prominent Democrats and other figures who have been lambasted by Trump in the past, including the Clintons, the Obamas, George Soros, CNN, and others. "Threats or acts of political violence have no place in the US," Trump . By Wednesday, after the head of CNN <a href="https://www.foxnews.com/entertainment/cnn-president-jeff-zucker-rips-trump-after-explosive-device-received">criticized </a>Trump for contributing to a politically volatile atmosphere with his repeated attacks on media, Trump went on the offensive, <a href="https://www.cnn.com/2018/10/25/politics/trump-blames-media-for-anger-after-attacks/index.html">claiming that media </a>and Democrats are responsible for creating acrimony. On Friday, a <a href="https://www.cbsnews.com/live-news/cesar-sayoc-package-bomb-suspect-florida-latest-today-2018-10-27-live/">fingerprint</a> found on one of the packages led to the arrest of a Florida man who is something of a Trump fanatic.</p><p class='black-text'>On Thursday, the <a href="https://www.nytimes.com/2018/10/24/us/politics/trump-phone-security.html">New York Times</a> reported that China and Russia have spied on Trump using his personal cell phones. Despite the urging of his aides and other senior officials, Trump has refused to give up using his cell phones. Trump <a href="https://www.nytimes.com/2018/10/25/us/politics/trump-cellphone-china-russia.html">dismissed</a> the report as "boring" and "wrong."</p><p class='black-text'>In between clashing with the media and the spectacle of sectarian politics, some governing did get done: on Tuesday, Trump signed into law the bipartisan Water Infrastructure Act of 2018, which <a href="https://www.cnn.com/2018/10/23/politics/america-water-infrastructure-act-donald-trump-signing/index.html">authorizes</a> federal spending on water infrastructure projects.</p> http://www.pws.io/trump-weekly-midterms-census-saudi-arabia-and-more Sat, 27 Oct 2018 12:51:26 -0400 Ariel Courage Stock Markets Finish Week With Another Volatile Day http://www.pws.io/stock-markets-finish-week-with-another-volatile-day <p class='black-text'>The markets traded in volatile range again today as investors digested the tech-related earnings announcements as well as comments from the Fed that the markets are doing a "very normal thing here." The Dow 30 was lower by 298, the S&P 500 sold off 47, and the Nasdaq 100 closed lower on the day by 151 as investors felt no need to put on risk into the weekend.</p><p class='black-text'>Sector News</p><p class='black-text'>Home builders continue to come off their bottoms as investors eye the decline as a possible buying opportunity. Most of the major names in the space were higher on the day but still very much in a downtrend.</p><p class='black-text'>Consumer discretionary sector was lower today mostly on the heels of Amazon and their decline following earnings. With many of the discretionary stocks taking a small hit in this market, the space has lost over 10% from their highs.</p><p class='black-text'>Stock News</p><p class='black-text'>Snap, Inc. <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNAP"><span style="color:#333">(</span><span style=";">SNAP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNAP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNAP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNAP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares broke to new lows today, losing over 10% as the company reported earnings that came in better than expected but still showed a loss. The company also reported a decline in daily active users and indicated that the trend could continue. Add that to the heavy cash burn and many feel that they will need to raise more money in the near future.</p><p class='black-text'>Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower by about 8% today as the company reported earnings which showed lower revenue than expected. The company also did not raise guidance for the all important holiday quarter as they will be paying $15 minimum wages and have increased costs and vulnerabilities in their package delivery systems.</p><p class='black-text'>Intel <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/INTC"><span style="color:#333">(</span><span style=";">INTC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="INTC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="INTC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="INTC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher today as the company reported a glowing earnings quarter. The company announced revenue that was nearly $1 billion higher than analysts expected, which caused the company to raise full-year guidance. The CEO said he expects next year to be a record year for the company.</p> http://www.pws.io/stock-markets-finish-week-with-another-volatile-day Fri, 26 Oct 2018 16:18:50 -0400 Dustin Tibbitts Stock Market Almost Pulls Complete 180 http://www.pws.io/stock-market-almost-pulls-complete-180 <p class='black-text'>The markets surged higher today in an attempt to recover some of yesterday's declines. The Dow 30 was higher by 401, the S&P 500 added 49, and the Nasdaq 100 closed higher on the day by 209. Earnings after hours are all tech-driven, which could help fuel this recovery attempt.</p><p class='black-text'>Sector News</p><p class='black-text'>The technology sector saw one of the bigger attempts to recover today ahead of a laundry list of tech names to report earnings after the close. Technical traders note that the sector is still under the 200-day moving average as well as in a confirmed downtrend.</p><p class='black-text'>Consumer discretionary stocks were also a strong sector today thanks to strong moves in names like Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and the bulk of the leaders in the sector. The sector still remains under the 200-day moving average and is lower by 10% from all-time highs.</p><p class='black-text'>Stock News</p><p class='black-text'>Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher today on the release of their historic quarter. The company reported earnings of $2.90 per share with analysts expecting a loss of $0.19 a share. The stock pushed above the 200 day moving average for the first time since August as the company reported higher revenue thanks to the increased production of their Model 3.</p><p class='black-text'>Twitter <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWTR"><span style="color:#333">(</span><span style=";">TWTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were sharply higher today as the company announced earnings and revenue that came in higher than expected. Monthly active users was the only negative, which came in at 326 million. The street was expecting 330 million. Technical traders will note the move today stopped right at the 200-day moving average.</p><p class='black-text'>American Airlines <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAL"><span style="color:#333">(</span><span style=";">AAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were sharply higher today as well following their earnings release, which showed record revenue. The main focus by investors today was the comment from the company that their profit margin would be higher for the current quarter would be higher than expected.</p> http://www.pws.io/stock-market-almost-pulls-complete-180 Thu, 25 Oct 2018 15:57:45 -0400 Dustin Tibbitts Circle and Coinbase Create Stablecoin Partnership http://www.pws.io/circle-and-coinbase-create-stablecoin-partnership <p class='black-text'>Circle and Coinbase, two of the largest and most popular cryptocurrency companies, are partnering to improve the stablecoin concept. On Tuesday, the startups announced the <a href="https://www.cnbc.com/2018/10/23/cryptocurrency-giants-coinbase-and-circle-form-a-joint-venture-to-boost-adoption-of-dollar-backed-stable-coins.html">CENTRE Consortium</a>, a joint venture that aims to speed up adoption of cryptocurrencies backed by actual fiat currencies like US dollars.</p><p class='black-text'>In May, Circle launched its own US dollar stablecoin, called USD Coin (USDC). The $3 billion fintech startup has made a <a href="https://www.cnbc.com/2018/10/12/circles-head-scratching-deals-take-shape-as-cryptocurrency-bet.html">series of deals</a> and announcements in a long-term bet that despite the bear market, the crypto economy will persevere. The USD Coin was one of those bets, and it was available for use on Coinbase's wallet since yesterday. It is Coinbase's first ever listed stablecoin.</p><p class='black-text'>Bitcoin's (BTC) price has fallen to $6,000 since its rise to $20,000 last year, making it difficult to use as a store of value. A stablecoin like Circle's USDC is meant to represent a single US dollar. It is a 1:1 representation of the greenback on the Ethereum (ETH) blockchain. Circle emphasizes that each USD Coin is collateralized by a corresponding US dollar, held in accounts subject to regular audits and public reporting.</p><p class='black-text'>Circle cofounders Jeremy Allaire and Sean Neville stated: "Coinbase and Circle share a common vision of an open global financial system built on crypto rails and blockchain infrastructure, and realizing this vision requires industry leaders to collaborate to build interoperable protocols and standards."</p><p class='black-text'>Coinbase added in a <a href="https://blog.coinbase.com/coinbase-and-circle-announce-the-launch-of-usdc-a-digital-dollar-2cd6548d237">blog post</a>: "We see USDC as a major step towards a more open financial system. The advantage of a blockchain-based digital dollar - like USDC - is that it is easier to program, send, use in apps, and store locally than traditional US dollars."</p><p class='black-text'>Other stablecoins have proved to be less than stable. In October, the price of Tether (USDT), which is supposedly pegged to the US dollar, fell below 90 cents after <a href="https://theblockcrypto.com/2018/10/16/tether-has-found-a-new-bank-in-the-caribbean/">reports </a>that the Bitfinex exchange was insolvent. Tether critics have long claimed that USDT is not backed by the equivalent amount of US dollars.</p><p class='black-text'>The groundbreaking partnership between Circle and Coinbase should be a positive development. <a href="https://twitter.com/KyleSamani/status/1054785049009291265">Some believe </a>that it will help users try decentralized applications without balance sheet risks. Others are unsure, citing Dapps' unappealing interfaces and need for native tokens. Whatever the impact on Dapps, the partnership will help Circle's mission to apply the speed and security advantages of crypto to the US dollar.</p><p class='black-text'><i>The author owns a small amount of BTC.</i></p> http://www.pws.io/circle-and-coinbase-create-stablecoin-partnership Wed, 24 Oct 2018 18:15:15 -0400 Eric Yao ETF's continue to see selling pressure. http://www.pws.io/etfs-continue-to-see-selling-pressure <p class='black-text'>Many of the market ETF's continue to push lower this week but do offer some signs of strength, if even only slightly. The S&P 500 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> broke through the 200 day moving average once again this week as investors respond to the many earnings announcement that have come out and are due to come out before week end. On Tuesday the SPY started the day sharply lower but investors mostly looked to buy that dip.</p><p class='black-text'>The Nasdaq 100 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> also broke through the 200 day moving average but investors have been buying up that dip so far this week. With major names due to report earnings by the end of the week, many are confident that the QQQ will remain quite volatile for the duration of the week.</p><p class='black-text'>Oil <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has been one of the weakest areas this week thanks to continued comments out of Saudi Arabia which suggest higher output from the OPEC nation. There are also some geopolitical stresses on the different nations which has also had energy and oil traders a little less excited to take on any risk at these levels.</p><p class='black-text'>Home builders <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XHB"><span style="color:#333">(</span><span style=";">XHB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XHB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XHB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XHB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> got a much needed bounce on Tuesday as Pulte Homes <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PHM"><span style="color:#333">(</span><span style=";">PHM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PHM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PHM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PHM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was the first to report earnings which showed a slight increase in sales along with cost cutting measures that helped them report a decent quarter. Investors looked towards the other names with the assumption that the industry is adapting rather quickly to the slowdown in the sector.</p><p class='black-text'>Transportation <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IYT"><span style="color:#333">(</span><span style=";">IYT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IYT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IYT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IYT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> stocks broke to lows again this week, now sitting at prices not seen since April. Investors in this sector have much to look forward to as UPS <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UPS"><span style="color:#333">(</span><span style=";">UPS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UPS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UPS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UPS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is due to report earnings along with many other transportation stocks in the coming week and a half.</p> http://www.pws.io/etfs-continue-to-see-selling-pressure Wed, 24 Oct 2018 15:21:48 -0400 Dustin Tibbitts Dow and S&P erase gains for 2018 as market sell off hard. http://www.pws.io/dow-and-sp-erase-gains-for-2018-as-market-sell-off-hard <p class='black-text'>The markets sold off sharply again today as earnings from the important semiconductor space disappointed Wall Street. The Dow 30 was lower by 608, the S&P 500 lost 84, and then Nasdaq 100 closed down on the day by 329. Investors expect that earnings will continue to be the focus as more than half of the S&P 500 still has to report.</p><p class='black-text'>Sector News</p><p class='black-text'>Chipmakers were a big focus today as Texas Instruments sold off on earnings. The earnings news also send many other names in the space lower today as investors fear their earnings will also show a slowdown in the sector as a whole. Shares of Micron Technologies <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MU"><span style="color:#333">(</span><span style=";">MU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> sold off to new 52 week lows.</p><p class='black-text'>Financials continued their push lower today despite a widely followed analysts comments that he is "all in" the big banking stocks. The financial sector sold off to lows today as investors continue to avoid buying this dip. The sector is now lower by 13% since the high set back in September.</p><p class='black-text'>Stock News</p><p class='black-text'>Texas Instruments <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TXN"><span style="color:#333">(</span><span style=";">TXN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TXN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TXN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TXN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off today as the company reported revenue that missed expectations. They also reported weaker than expected guidance going forward which starts to confirm the slowdown that many analysts have been predicting in the chip space. Semiconductors sold off 5% on the news.</p><p class='black-text'>Boeing <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BA"><span style="color:#333">(</span><span style=";">BA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were slightly higher today as the company reported a healthy profit for the previous quarter. Thanks to strong sales and orders, revenue was also higher than expected which allowed the company to raise it's full year forecasts. Analysts also noted their free cash flow which was higher than expected.</p><p class='black-text'>United Parcel Service <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UPS"><span style="color:#333">(</span><span style=";">UPS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UPS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UPS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UPS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off today on an earnings report which showed slower revenue than expected. The company did mention that they were confident in their outlook going forward but investors chose to exit, sending shares to a three month low.</p> http://www.pws.io/dow-and-sp-erase-gains-for-2018-as-market-sell-off-hard Wed, 24 Oct 2018 15:20:45 -0400 Dustin Tibbitts Market Recovers From Early Selloff http://www.pws.io/market-recovers-from-early-selloff <p class='black-text'>The markets sold off hard today thanks to weakness in China overnight as well as disappointing earnings here in the States. The Dow 30 was lower by 125, the S&P 500 sold off 15 breaking through uptrend support, and the Nasdaq 100 also sold off on the day with a loss of 31.</p><p class='black-text'>Sector News</p><p class='black-text'>Semiconductors and Tech were once again one of the hardest-hit areas of the markets as investors continue their risk-off approach in the tech space. Earnings from the big players in the space are due up after the close today as well as into next week.</p><p class='black-text'>Oil was one of the big losers today as yesterday's report of higher production from Saudi Arabia was confirmed today. The country said they would play a "responsible role" in the energy markets, which at this point means an increase in production.</p><p class='black-text'>Stock News</p><p class='black-text'>United Technologies <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UTX"><span style="color:#333">(</span><span style=";">UTX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UTX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UTX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UTX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher today following a beat on earnings and revenue for the previous quarter. The company raised its full-year guidance thanks to strong increases in the sales of aircraft parts as the plane builders rapidly build more aircraft. The company did say they expect to see higher costs in 2019 thanks to tariffs.</p><p class='black-text'>Caterpillar <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CAT"><span style="color:#333">(</span><span style=";">CAT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CAT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CAT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CAT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off today after reporting earnings and revenue that mostly beat expectations. The negative on the day was that the company did not raise its 2018 forecast again, which continues to have analysts fearful of a company slowdown. Shares have sold off over 25% since the beginning of October.</p><p class='black-text'>Harley Davidson <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/HOG"><span style="color:#333">(</span><span style=";">HOG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="HOG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="HOG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="HOG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off to new lows today as the company reported earnings that mostly beat Wall Street's expectations. Stronger European sales were one of the driving factors behind the beat, but the company did not raise its full-year forecast. They did comment that they expect to see about $48 million in total costs from the trade war in 2018. They said they spent more on raw materials and expect that to continue.</p> http://www.pws.io/market-recovers-from-early-selloff Tue, 23 Oct 2018 16:09:50 -0400 Dustin Tibbitts IPO markets continue to push forward. http://www.pws.io/ipo-markets-continue-to-push-forward <p class='black-text'>There are 5 names up for grabs this week though the IPO markets have increasingly been under the scrutiny of Wall Street now that the economy is looking less than consistent. Valuations and sales continue to be a focus going forward.</p><p class='black-text'>The largest offering of the week is out of Brazil. StoneCo <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/STNE"><span style="color:#333">(</span><span style=";">STNE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="STNE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="STNE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="STNE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is a cloud based, online payment processor with $289 million in sales for the last 12 months. The company has attracted the attention of Warren Buffets company which plans to buy just over half of the offering. They will offer 47 million shares at a range of $21 - $23 in hopes of raising $1.05 billion.</p><p class='black-text'>YETI Holdings <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/YETI"><span style="color:#333">(</span><span style=";">YETI</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="YETI" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="YETI" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="YETI" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> will once again try to launch their IPO. The company which sells high end, premium branded coolers and other outdoor items did try to launch back in 2016 but had to postpone until now. They will offer 20 million shares at a range of $19 -$21 in hopes of raising $400 million. The company has $737 million in sales over the last 12 months but has considerable debt and marketing expenses.</p><p class='black-text'>Alberton Acquisition <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ALACU"><span style="color:#333">(</span><span style=";">ALACU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ALACU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ALACU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ALACU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is a blank check company based in Hong Kong which is hoping to raise $100 million to acquire other companies. These types of IPO's are very likely to be heavily scrutinized during this volatile market.</p><p class='black-text'>There are two biotech names up this week. The first is Gamida Cell <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GMDA"><span style="color:#333">(</span><span style=";">GMDA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GMDA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GMDA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GMDA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which is a late stage hematologic malignancy therapy company looking for $50 million. They will offer 3.5 million shares at a range of $13 -$15 to get through phase 3 of their trials. The other name is Alzheon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ALZH"><span style="color:#333">(</span><span style=";">ALZH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ALZH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ALZH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ALZH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which is also a Phase 3 company focused on Alzheimer's. They will offer 2.5 million shares at a range of $13 - $15 in hopes of raising $35 million.</p> http://www.pws.io/ipo-markets-continue-to-push-forward Tue, 23 Oct 2018 09:48:50 -0400 Dustin Tibbitts Stocks Mixed to Start Earnings Week http://www.pws.io/stocks-mixed-to-start-earnings-week <p class='black-text'>The markets traded mostly lower today as earnings and continued selling pressure held back the bulls. The Dow 30 was lower by 126 thanks to weakness in energy and financials. The S&P 500 sold off 11, but the Nasdaq 100 closed the day higher, adding 19, led by the Chinese tech names that got a strong boost from gains in the Chinese stock market.</p><p class='black-text'>Sector News</p><p class='black-text'>Banking stocks were one of the weaker areas of the markets today as the financials continue to struggle at lows. The bank stocks have sold off almost 5% just this month and continue to trade below the 200-day moving average.</p><p class='black-text'>Oil and energy stocks sold off today as Saudi Arabia pledges to ramp up production ahead of the Iranian sanctions from the US. Production is set to be boosted to 11 million barrels per day and they commented that they could go as high as 12 million.</p><p class='black-text'>Stock News</p><p class='black-text'>Shares of Halliburton <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/HAL"><span style="color:#333">(</span><span style=";">HAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="HAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="HAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="HAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> sold off 3% despite the company reporting earnings that beat analyst expectations. Revenue was also slightly higher than expected, but the company said that capacity constraints and "customer budget exhaustion" had a small impact on results and only expects that to be a temporary issue. Investors felt otherwise, pushing shares near lows of the year.</p><p class='black-text'>Hasbro <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/HAS"><span style="color:#333">(</span><span style=";">HAS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="HAS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="HAS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="HAS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off sharply today as the company reported earnings that missed expectations. The company also reported revenue that was lower than expected which they blamed on the closing of Toys "R" Us. They also stated that the Sears bankruptcy would not have a material impact on their performance going forward.</p><p class='black-text'>Ebay <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/EBAY"><span style="color:#333">(</span><span style=";">EBAY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="EBAY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="EBAY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="EBAY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares hit new yearly lows today as the company was downgraded by Bank of America <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BAC"><span style="color:#333">(</span><span style=";">BAC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BAC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BAC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BAC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> following last week's conference call, during which PayPal said that Ebay revenue was lower along with transaction volume. Shares are now lower on the year by 25%.</p> http://www.pws.io/stocks-mixed-to-start-earnings-week Mon, 22 Oct 2018 15:53:27 -0400 Dustin Tibbitts Cryptocurrency Week of October 21 in Review http://www.pws.io/cryptocurrency-week-of-october-21-in-review <iframe width="100%" height="400" src="Constantinople hard fork " frameborder="0" allowfullscreen></iframe><iframe width="100%" height="400" src="https://www.youtube.com/embed/5Q67tmkZ5So">Constantinople" frameborder="0" allowfullscreen></iframe><p class='black-text'>The third week of October has been exciting for the cryptocurrency markets. Perhaps the biggest news is that Ethereum (ETH) has delayed its until early 2019. The Constantinople hard fork was originally planned for November and will optimize code, reduce the ETH block reward for new blocks, and progress Ethereum's goal to move toward a hybrid proof-of-stake consensus mechanism. Another proposal called ProgPow could bolster Ethereum's resistance to ASIC miners. The developer team did not want to rush the momentous changes and instead postponed the updates to January or February.</p><p class='black-text'>Here is the rest of the week in review:</p><p class='black-text'>The <a href="http://www.fatf-gafi.org/publications/fatfrecommendations/documents/regulation-virtual-assets.html">Financial Action Task Force</a> (FATF) announced that it will release international cryptocurrency regulation guidelines next summer. The intergovernmental body that serves as a money laundering watchdog stated that countries will need to enforce licenses and regulations on crypto exchanges and wallet providers. The FATF added that countries should coordinate to combat the use of virtual assets for crime and terrorism and that the organization will cooperate with law enforcement agencies to work toward that goal.</p><p class='black-text'><a href="https://thenextweb.com/hardfork/2018/10/19/cryptocurrency-attack-report/">Lazarus</a>, North Korea's infamous hacking group, has stolen over half a billion dollars worth of cryptocurrency since 2017, according to a cybersecurity vendor's report. Lazarus stole $571 million worth of crypto from attacking exchanges and ICO platforms. Hackers also used methods like spear phishing, fake ICO websites, and malware to steal crypto. The report predicts that the number of attacks in the future will rise, as more hackers are attracted to the lucrative crime. It also adds that mining pools could be targeted by hackers through 51 percent attacks that manipulate the blockchain data.</p><p class='black-text'>The <a href="https://www.sec.gov/finhub">US Securities and Exchange Commission </a>(SEC) announced on Thursday that it will launch a new office to help advise fintech startups and initial coin offerings (ICOs). The SEC's Strategic Hub for Innovation and Financial Technology, or FinHub, will work with companies experimenting with blockchain or distributed ledger technology, automated investment advice, and artificial intelligence. The SEC chairman stated that the agency will also work with investors and market actors to assist with capital formation, financial services, and investor protection. The FinHub is expected to streamline regulatory relationships with the blockchain space.</p><p class='black-text'>Crypto prices remained range bound this week, ending at around $210 billion after bouncing some from last week's dip. In the top 100, the biggest losers are Vitae (VITAE), down 14 percent, Nebulas (NAS), down 13 percent, and Dogecoin (DOGE), down 13 percent. The biggest gainers are Ravencoin (RVN), up 146 percent, Stakenet (XSN), up 45 percent, and Bytom (BTM), up 25 percent. Both volatility and volume are still low.</p><p class='black-text'><i>The author does not hold any positions in any of the securities above.</i></p> http://www.pws.io/cryptocurrency-week-of-october-21-in-review Sun, 21 Oct 2018 16:22:59 -0400 Eric Yao Kraft and the Decline of American Cheese http://www.pws.io/kraft-and-the-decline-of-american-cheese <p class='black-text'>Millennials aren't making the same consumer choices their parents once did. They're <a href="https://www.businessinsider.com/millennials-endanger-casual-dining-restaurants-2017-5">avoiding casual dining restaurants like Applebee's</a> and opting for e-commerce instead of brick-and-mortar shopping. Now, a new millennial change has been added to the list: American cheese.</p><p class='black-text'>American cheese - technically not cheese but a "processed cheese product," and a staple of generations past - doesn't mesh well with millennials' desire to eat healthier. Unlike the baby-boomer generation, millennials are health conscious, and seek non-processed and fresher foods. Food chains have reflected this desire accordingly, providing alternative cheeses that offer fewer unknown chemicals. American burger chain <a href="https://www.businessinsider.com/millennials-endanger-casual-dining-restaurants-2017-5">Wendy's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/WEN"><span style="color:#333">(</span><span style=";">WEN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="WEN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="WEN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="WEN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> offers their customers asiago cheese on their sandwiches, while Canadian locations of restaurant chain A&W has emphasized their newfound dedication to real cheddar.</a> The effort to appeal to millennials seems to be paying off, as both chains have increased revenue.</p><p class='black-text'>One store owner, Gayle Voss, chooses to offer cheeses that hail from a small farm in Wisconsin, to reflect the importance of source and quality for the millennial generation. Voss, an owner of a grilled cheese store in Chicago, <a href="https://www.businessinsider.com/millennials-endanger-casual-dining-restaurants-2017-5">noted</a> that while she buys processed cheese, "people want to know where their food is coming from, and [her] sales reflect that."</p><p class='black-text'>But what does this mean for well-known American cheese providers like the Kraft Heinz Company <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/KHC"><span style="color:#333">(</span><span style=";">KHC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="KHC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="KHC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="KHC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>? Kraft Foods (now a subsidiary of Kraft Heinz), which makes the traditional Kraft Single individually-wrapped American cheese slices, began offering canned processed cheese in 1916 to the US military. Such a product proved to be particularly beneficial for American soldiers away at battle during World War I, given its long shelf life and the convenience of its pre-cut slices.</p><p class='black-text'>Today, <a href="https://www.businessinsider.com/millennials-endanger-casual-dining-restaurants-2017-5">40% of American families purchase Kraft singles.</a> However, total sales have remained lackluster, and the future looks bleak, with analysts predicting that sales of processed cheese, including Kraft, will decrease 1.6% this year. According to the US Bureau of Labor and Statistics, prices for processed American <a href="https://www.livekindly.co/kraft-struggles-reach-millennial-market-american-cheese-sales-decline/">cheese has fallen to under $4 per pound for the first time since 2011.</a> Dairy consulting firm HighGround Dairy has found that the market value of cheddar <a href="https://www.livekindly.co/kraft-struggles-reach-millennial-market-american-cheese-sales-decline/">cheese itself has fallen significantly as a result of decreased demand. </a></p><p class='black-text'>In efforts to make American cheese marketable, Kraft has set its sights on distinguishing its products from other cheese. Presently, <a href="https://www.bloomberg.com/news/articles/2018-10-18/why-paul-allen-s-26-billion-estate-will-take-years-to-unravel">Kraft has a 30-person research team focused on increasing the sales of American cheese. </a>Peter Cotter, general manager of cheese for Kraft, believes that it is the "melt" that may drive consumers to opt for American cheese. "Honestly, you can't get that in a natural cheese," he <a href="https://www.bloomberg.com/news/articles/2018-10-18/why-paul-allen-s-26-billion-estate-will-take-years-to-unravel">said</a>.</p><p class='black-text'>Meanwhile, as American cheese enters its twilight, the industry for vegan cheese flourishes. According to the Plant Based Foods Association, <a href="https://www.livekindly.co/kraft-struggles-reach-millennial-market-american-cheese-sales-decline/">the vegan cheese market has increased by 43% in 2017 and is currently valued at $124 million.</a> Just in the last year, vegan products brought in $99.5 billion. Researchers argue that such a change is driven by milleninals' desire to avoid fat and cholesterol to ensure better health in the long run - a choice that they're likely to keep making as they age.</p> http://www.pws.io/kraft-and-the-decline-of-american-cheese Sat, 20 Oct 2018 09:05:47 -0400 Arlene Lormestoire Civil's $24 Million ICO Fails, Will Refund Investors http://www.pws.io/civils-24-million-ico-fails-will-refund-investors <p class='black-text'>The <a href="https://civil.co/">Civil Media Company</a>'s ambitious plan to sell up to $24 million worth of its cryptocurrency token CVL, and fund a decentralized platform for new journalism, has failed for now.</p><p class='black-text'>Many investors were skeptical of Civil's vision, and they were proved right when <a href="https://techcrunch.com/2018/10/16/blockchain-media-startup-civil-is-issuing-full-refunds-to-all-buyers-of-its-cryptocurrency/">Civil announced</a> on Tuesday it will refund its investors. Civil's hyped initial coin offering (ICO) failed to attract enough interest. Civil announced it will give refunds to all CVL token buyers by October 29.</p><p class='black-text'>In a <a href="https://blog.joincivil.com/whats-next-for-civil-66f2737f5c31">blog post</a>, Civil chief executive officer Matthew Iles admitted that the token sale was a disappointment. "This isn't how we saw this going," Iles wrote. "We are still working nonstop on the goal of making our soft cap of $8 million."</p><p class='black-text'>Civil wanted to sell 34 million CVL tokens for between $8 million and $24 million. The ICO opened on September 18 and concluded this week. Only 1,012 buyers purchased $1,435,491 worth of CVL tokens. Civil reported that an extra 1,738 buyers successfully registered for the sale, but never completed their contribution. The registration process was complex and required a blockchain knowledge exam.</p><p class='black-text'>But Civil is not giving up. The company stated: "A new, much simpler token sale is in the works." Once the new tokens are distributed, Civil will launch three new features: a blockchain-publishing plugin for WordPress, a community governance application called the <a href="https://blog.joincivil.com/the-civil-registry-a-tcr-for-quality-journalism-a2452f363665">Civil Registry</a>, and a developer tool for non-blockchain developers to build apps on Civil.</p><p class='black-text'><a href="https://consensys.net/">ConsenSys</a>, a renowned blockchain venture firm that invested $5 million in Civil last fall, has agreed to purchase $3.5 million worth of the new CVL tokens. The purchase is not equity, for all capital from the token sale is committed to the Civil Foundation, an independent nonprofit initially funded by Civil that funds grants for the Civil network newsrooms.</p><p class='black-text'>A recent <a href="https://www.wsj.com/articles/plan-to-fix-journalism-with-cryptocurrency-draws-skepticism-1539206132"><i>Wall Street Journal </i>report</a> claimed Civil had reached out to The New York Times, The Washington Post, Dow Jones, Axios, and others, but failed to spark interest in its token. Aside from its token sale, Civil has created strategic partnerships with media companies like the Associated Press and <a href="https://www.forbes.com/sites/forbespr/2018/10/09/forbes-becomes-first-major-media-brand-to-experiment-with-publishing-on-civil-platform/#6abcffe277c1">Forbes</a>, which reported that the failed token sale will not impact their partnerships.</p><p class='black-text'>Civil has blockchain competitors targeting journalism. Nwzer, Userfeeds, and Po.et (POE) are all trying to change the content industry with new technology. It seems too early to tell which blockchain projects will succeed in the complicated yet important journalism space.</p><p class='black-text'><i>The author does not own any CVL or POE.</i></p> http://www.pws.io/civils-24-million-ico-fails-will-refund-investors Fri, 19 Oct 2018 18:23:16 -0400 Eric Yao Stock Market Finishes Mixed After Wild Week http://www.pws.io/stock-market-finishes-mixed-after-wild-week <p class='black-text'>The stock market closed the week mixed after a volatile series of days. The Dow 30 closed higher on the day by 64 thanks mostly to Procter & Gamble <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PG"><span style="color:#333">(</span><span style=";">PG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The S&P 500 closed lower by 1 and the Nasdaq 100 lost 36 on the day.</p><p class='black-text'>Next week the focus will certainly be on earnings as the number of companies reporting starts to pick up.</p><p class='black-text'>Sector News</p><p class='black-text'>Oil was slightly higher on the day as a new report suggested that OPEC and their allies are struggling to fully deliver the oil output that they promised in previous meetings. The increase in Saudi Arabia was offset by declines in Iran, Venezuela, and Angola. For the week Oil still remains near lows.</p><p class='black-text'>Consumer staples stocks were the leading sector today as many of the names in this space saw modest gains. As the economic strength becomes more and more of a question, investors have been sliding money over to this sector for it's historical, cyclical defense against weaker economies.</p><p class='black-text'>Stock News</p><p class='black-text'>PayPal <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PYPL"><span style="color:#333">(</span><span style=";">PYPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PYPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PYPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PYPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares enjoyed a healthy bounce today as the company reported earnings and revenue that came in higher than expected. They announced 17 billion in total transactional volume on their app Venmo, along with a 15% increase in total active accounts and an expanded partnership with American Express <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AXP"><span style="color:#333">(</span><span style=";">AXP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AXP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AXP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AXP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'>American Express <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AXP"><span style="color:#333">(</span><span style=";">AXP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AXP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AXP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AXP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher on the day as they reported earnings that showed a profit for the quarter of $1.88 per share. Revenue was higher than expected as well thanks to the strong consumer using up that credit card.</p><p class='black-text'>Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off back towards the $250 support area today as the company announced a lower priced Model 3. The $45,000 version of the sedan will have a battery with total range of 260 miles. Investors were not impressed with the new announcement.</p> http://www.pws.io/stock-market-finishes-mixed-after-wild-week Fri, 19 Oct 2018 15:37:25 -0400 Dustin Tibbitts Markets Mostly Give Back Week’s Gains http://www.pws.io/markets-mostly-give-back-weeks-gains <p class='black-text'>The markets started the day only slightly lower, but as investors began to focus more on Washington news, selling pressure pushed stocks to lows. Though the markets are still higher on the week, today gave back most of those gains. The Dow 30 was lower by 327, the S&P 500 closed down 40, and the Nasdaq 100 was once again the hardest hit, losing 157 on the day.</p><p class='black-text'>Sector News</p><p class='black-text'>Semiconductors were hit hard again today, completely erasing all Monday's gains. The selling was broad-based across the entire sector today ahead of all the earnings coming out in the next few weeks.</p><p class='black-text'>Financials were another weak area of the markets today as the banks erased all of yesterday's gains. The banking sector as a whole remains under the 200-day moving average and now posts a loss on the year of about 6%.</p><p class='black-text'>Homebuilders suffered another blow today as the sector was downgraded by Bank of America <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BAC"><span style="color:#333">(</span><span style=";">BAC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BAC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BAC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BAC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The downgrade pushed the sector to new lows on the year and now shows losses greater than 20% for 2018.</p><p class='black-text'>Stock News</p><p class='black-text'>Travelers Insurance <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TRV"><span style="color:#333">(</span><span style=";">TRV</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TRV" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TRV" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TRV" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were in the news as the company reported earnings that came in better than expected. Revenue was also higher than expected as the company had successes in both divisions of its insurance offerings. Client retention came in higher than expected as well. Shares remain near lows of the year.</p><p class='black-text'>Phillip Morris <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PM"><span style="color:#333">(</span><span style=";">PM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares broke out of a longtime range today as the company reported earnings that came in well above expectations. Revenue was also strong and analysts focused on their higher pricing which helped over all profits. The company left their full year outlook unchanged, however, which many see as a signal for future weakness.</p><p class='black-text'>Constellation Brands <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/STZ"><span style="color:#333">(</span><span style=";">STZ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="STZ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="STZ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="STZ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> CEO is stepping down on March 1 next year but will remain as chairman. Bill Newlands will take the helm and continue with their efforts in the cannabis space. Newlands supported their recent investment in Canopy Growth <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CGC"><span style="color:#333">(</span><span style=";">CGC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CGC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CGC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CGC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which is now a 38% interest, and has been vocal about their need to expand outside their wine and beer business.</p> http://www.pws.io/markets-mostly-give-back-weeks-gains Thu, 18 Oct 2018 15:58:37 -0400 Dustin Tibbitts Earnings Reports Cause Wild Price Swings http://www.pws.io/earnings-reports-cause-wild-price-swings <p class='black-text'>The markets have spent the first part of the week surging back from last week's aggressive selloff. Tuesday the S&P 500 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> added over 2% thanks to strong rebounds in names like Adobe <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ADBE"><span style="color:#333">(</span><span style=";">ADBE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ADBE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ADBE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ADBE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and the banks. The SPY still officially closed below the 200-day moving average, but a rapid recovery seems to have pushed the bears away for now.</p><p class='black-text'>The Nasdaq 100 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> also surged higher this week so far as the big name tech stocks saw another round of buying at these discounted levels. Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is reporting strong earnings and a beat on subscriber numbers also helped the overall bounce from the 200-day moving average.</p><p class='black-text'>Healthcare <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLV"><span style="color:#333">(</span><span style=";">XLV</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLV" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLV" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLV" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has been a strong sector this week thanks to earnings reports from Johnson & Johnson <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JNJ"><span style="color:#333">(</span><span style=";">JNJ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JNJ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JNJ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JNJ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> as well as United Healthcare <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UNH"><span style="color:#333">(</span><span style=";">UNH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UNH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UNH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UNH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Adding over 2.5% on Tuesday alone, the healthcare stocks recovered just about half of the losses suffered over the last two weeks.</p><p class='black-text'>Homebuilders <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XHB"><span style="color:#333">(</span><span style=";">XHB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XHB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XHB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XHB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which have suffered 30 days of straight declines, saw a bottom-picking attempt by buyers this week. Tuesday the XHB popped 2.25% on decent trading volume thanks to a note from an analyst saying that this discounted move is a good entry point. Homebuilders have been rocked by higher costs, taxes, and higher interest rates.</p><p class='black-text'>Gold and Gold Mining stocks <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GLD"><span style="color:#333">(</span><span style=";">GLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> took a break from their quick pop last week. So far this week the price of gold as well as the gold miners <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GDX"><span style="color:#333">(</span><span style=";">GDX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GDX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GDX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GDX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have pulled back slightly as traders wait to see if another decline is on its way for the markets.</p><p class='black-text'>Finally, the transports <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IYT"><span style="color:#333">(</span><span style=";">IYT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IYT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IYT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IYT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have added over 2% this week so far thanks to strong earnings from CVX <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CVX"><span style="color:#333">(</span><span style=";">CVX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CVX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CVX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CVX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and an earnings beat from J.B. Hunt <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JBHT"><span style="color:#333">(</span><span style=";">JBHT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JBHT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JBHT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JBHT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The transports were one of those sectors that sold off hard and still remain under their 200-day moving average.</p> http://www.pws.io/earnings-reports-cause-wild-price-swings Wed, 17 Oct 2018 18:38:29 -0400 Dustin Tibbitts Markets digest Fed and earnings news. http://www.pws.io/markets-digest-fed-and-earnings-news <p class='black-text'>The markets traded in a wide range yet again today as the Federal Reserve indicated that it would likely continue its plan to raise rates. Ultimately the markets closed the day mixed as earnings and economic news continues to shape the day-to-day movement overall. The Dow 30 closed lower on the day by 91 thanks mostly to IBM <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IBM"><span style="color:#333">(</span><span style=";">IBM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IBM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IBM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IBM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The S&P 500 closed flat, as did the Nasdaq 100.</p><p class='black-text'>Earnings will continue to be the focus as more names flood the street with their results. Analysts have been focused on revenues as higher rates eat into overall margins. So far nearly 90% of companies that have reported have beat expectations.</p><p class='black-text'>Sector News</p><p class='black-text'>The banking sector continued to do its part to form a bottom as it had another good day. Banking stocks are enjoying a small bounce off lows as they report earnings showing growth in almost all sectors of their business. Technical traders noted that prices are still below the 200-day moving average by a wide margin.</p><p class='black-text'>Oil was one of the weak areas today as inventory reports showed an increase in the overall US supply. Inventories rose by 6.5 million barrels last week. Analysts only expected an increase of 2.2 million barrels. Oil and energy stocks also took a hit on the news.</p><p class='black-text'>Stock News</p><p class='black-text'>Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were back in the news today as the company continues to plow ahead with their Shanghai plant. The company was reportedly speeding up construction of a plant in China in response to the ongoing US-China trade war. In other news CEO Elon Musk indicated to the board that he would like to buy $20 million worth of shares in the next open trading window in what is seen as an effort to offset the fine Tesla had to pay the SEC.</p><p class='black-text'>United Continental <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UAL"><span style="color:#333">(</span><span style=";">UAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares popped today despite missing on earnings. The company reported revenue that was higher than expected with its best quarterly growth since 2010. The company also raised their full-year outlook which marks the third time this year. Deutsche Bank Analyst Michael Linenberg upgraded the stock along with other airlines. He has a 69% success rate with an average profit of 24% in the last year.</p><p class='black-text'>Teva Pharmaceuticals <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TEVA"><span style="color:#333">(</span><span style=";">TEVA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TEVA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TEVA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TEVA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off today on a Reuters report that Express Scripts will now add migraine drugs from competitors like Eli Lilly <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LLY"><span style="color:#333">(</span><span style=";">LLY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LLY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LLY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LLY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and exclude other medications made by Teva. This comes after a period of price negotiations from a handful of drug companies which appear to have worked more in favor of other names.</p> http://www.pws.io/markets-digest-fed-and-earnings-news Wed, 17 Oct 2018 15:59:54 -0400 Dustin Tibbitts Stock Market Surges Higher on Earnings http://www.pws.io/stock-market-surges-higher-on-earnings <p class='black-text'>The markets surged higher today on strong earnings from major banks, healthcare companies, and positive news out of the tech space. The Dow 30 was higher by 547, the S&P 500 closed higher by 59, and the Nasdaq 100 closed higher on the day by 214.</p><p class='black-text'>Earnings will continue to shape the week as US Bank <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USB"><span style="color:#333">(</span><span style=";">USB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Kinder Morgan <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/KMI"><span style="color:#333">(</span><span style=";">KMI</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="KMI" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="KMI" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="KMI" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, American Express <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AXP"><span style="color:#333">(</span><span style=";">AXP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AXP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AXP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AXP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Paypal <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PYPL"><span style="color:#333">(</span><span style=";">PYPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PYPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PYPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PYPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and many other names are due to report.</p><p class='black-text'>Sector News</p><p class='black-text'>Tech stocks were the strongest sector today as investors headed back into the oversold growth names like Adobe <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ADBE"><span style="color:#333">(</span><span style=";">ADBE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ADBE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ADBE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ADBE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The technology sector ETF <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLK"><span style="color:#333">(</span><span style=";">XLK</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLK" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLK" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLK" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> added over 2% on the day.</p><p class='black-text'>Healthcare stocks were also strong today thanks to earnings from names like United Healthcare <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UNH"><span style="color:#333">(</span><span style=";">UNH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UNH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UNH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UNH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Johnson & Johnson <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JNJ"><span style="color:#333">(</span><span style=";">JNJ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JNJ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JNJ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JNJ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which reported strong earnings. The Healthcare ETF <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLV"><span style="color:#333">(</span><span style=";">XLV</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLV" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLV" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLV" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> recovered all of last Thursday's declines, adding 2% on the day.</p><p class='black-text'>Stock News</p><p class='black-text'>Adobe <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ADBE"><span style="color:#333">(</span><span style=";">ADBE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ADBE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ADBE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ADBE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares erased yesterday's losses as the company announced a growth plan at their analyst conference that suggested 2019 revenue will grow 20% and digital subscriptions will grow by 25%. Analysts now believe Q4 earnings will come in at $1.89 per share on revenue of $2.43 billion.</p><p class='black-text'>Morgan Stanley <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MS"><span style="color:#333">(</span><span style=";">MS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher today as the company reported earnings that were better than expected along with revenues. Revenues came in higher by 15% year over year. Bond trading revenue also came in well above estimates. The CEO said they performed well across all areas of their business.</p><p class='black-text'>Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares traded off their lows today as the company reported earnings that comfortably beat Wall Street's expectations. Revenue came in above expectations as well. The company also noted the uptick in bond trading as one of the factors for revenue increase.</p><p class='black-text'>United Health Care <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UNH"><span style="color:#333">(</span><span style=";">UNH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UNH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UNH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UNH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares moved back to highs today as the company reported earnings and revenue that were both better than expected. Growth in the medical services division as well as their core insurance offering were cited as the reasons for the beat. They also raised their outlook for the full year.</p> http://www.pws.io/stock-market-surges-higher-on-earnings Tue, 16 Oct 2018 16:50:27 -0400 Dustin Tibbitts Stock Markets Struggle to Gain Ahead of Earnings http://www.pws.io/stock-markets-struggle-to-gain-ahead-of-earnings <p class='black-text'>The markets tried to regain some of their recent losses today but couldn't hold onto any gains. The Dow 30 was lower by 89, the S&P 500 closed down 16, and the Nasdaq 100 lost 66 as all major indices traded in a wider back-and-forth range for most of the session.</p><p class='black-text'>Earnings season is underway, which means more volatility is expected overall. Analysts have expectations of earnings to grow in the S&P 500 by an average of 19 year-over-year, which may be a high bar to reach.</p><p class='black-text'>Retail numbers came out today showing a small uptick thanks to stronger auto sales. It was noted that consumers pulled back on eating out at restaurants as well as bars, with that category seeing the biggest decline in two years.</p><p class='black-text'>Sector News</p><p class='black-text'>Gold and Gold Miners continued their push higher today following their downtrend breakout last week. Investors continue to want to add safety to their portfolios, and with the high cost of volatility as a hedge, many are turning back to precious metals.</p><p class='black-text'>Transportation stocks saw a small rebound today following the last few weeks of accelerated down moves. The sector has been hit hard and technical traders find the space to be extended in the short term.</p><p class='black-text'>REITs were another extended sector that saw a small bounce today as interest rates continue to be volatile in the short term. Since the highs back in August, the REITs have fallen over 10%, where traders tend to find short-term support.</p><p class='black-text'>Stock News</p><p class='black-text'>Sears <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SHLD"><span style="color:#333">(</span><span style=";">SHLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SHLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SHLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SHLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has officially filed for bankruptcy protection as they begin closing 142 more stores. Shares have all but traded to $0 as the company begins to wind down operations. Whirlpool issued a statement that it would not affect their overall finances thanks to only 1% due in accounts receivable from Sears. Naturally shares were lower on the day.</p><p class='black-text'>Bank of America <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BAC"><span style="color:#333">(</span><span style=";">BAC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BAC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BAC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BAC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower today despite reporting better-than-expected earnings and revenue. The company said that higher interest rates and higher loan growth were some of the reasons for the beat. Cost-cutting has also helped the company's bottom line. Two quarters ago the bank stocks sold off despite good earnings. So far this season seems to be similar.</p><p class='black-text'>Activision Blizzard <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ATVI"><span style="color:#333">(</span><span style=";">ATVI</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ATVI" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ATVI" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ATVI" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower on the day despite being upgraded to overweight at Barclay's. The analyst firm cites "optimism" over potential revenue from the Call of Duty digital offering as well as other factors.</p> http://www.pws.io/stock-markets-struggle-to-gain-ahead-of-earnings Mon, 15 Oct 2018 14:49:49 -0400 Dustin Tibbitts