Here is what you need to know on Thursday, August 18:
Equity markets remained just about near recent elevated levels on Wednesday, but some concerning signals began to appear. Market breadth remains in decline, the put/call ratio is rising, and the meme stock rally looks to be stalling. So can things keep going? That remains to be seen, but we would expect things to begin to slow if not turn. The only concern is the growing chorus of others making a similar observation, and consensus is rarely the profitable place to be in trading. Nonetheless, the Fed minutes may have somewhat dampened dovish enthusiasm. The UK and Europe certainly have more to offer on the rate hiking cycle after this week’s inflation readings. The key question remains just how detrimental to Wall Street does the Fed want to be ahead of mid-term elections. Going all conspiracy theorist here, maybe, but everyone else seems to have gone that way!
The dollar remains devoid of frenzy as it remains flat at 106.60. Oil is a bit of a mixed bag, 2% higher at $89 as a surprise draw in US reserves added to bullish commentary on supply constraints from OPEC. Bitcoin is $23,500, and Gold is at $1,768.
European markets are mixed: Eurostoxx flat, FTSE -0.1%, and Dax +0.8%.
US futures are higher: S&P +0.2%, Dow +0.2% and Nasdaq +0.3%.
Wall Street (SPY) (QQQ) top news
ECB member Schnabel says inflation concerns have not been alleviated.
Kohl’s (KSS) down 5% on guidance cut.
Apple (AAPL) iPhone 14 release date looks to be September 7, according to Bloomberg.
Bed Bath & Beyond (BBBY): Ryan Cohen filing shows intent to sell some of his stake. Stock is lower in the premarket.
BJ’s Wholesale (BJ) up 5% on strong earnings.
Cinemark (CINE) down 60% Wednesday on statement about deleveraging, restructuring, etc. Read across for AMC?
Tapestry (TPS): EPS beats, but revenue misses estimates.
Cisco (CSC) beats on top and bottom lines.
Wolfspeed (WOLF) beats on both top and bottom lines.
Bath & Body Works (BBWI) offers weak forecast as earnings beat.
Canadian Solar (CSIQ) issues strong guidance.
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