Postcards from the Florida Republic - Miami GTA 14 Edition - September 24, 2022
Split lickity...

Postcards from the Florida Republic - Miami GTA 14 Edition - September 24, 2022

From the Desk of Garrett Baldwin  

Current Outlook: I took profits on all my short positions on Friday, aided by a breakdown to the 364 level on the SPY and the 165 on the IWM. Given that we’re in oversold territory, I’d rather take the gains heading into the weekend. A lot of “stupid” can happen over a weekend – a lesson I learned the good, hard way when shorting during the COVID-19 crisis. The worst that happens is that I wake up at 7 am on Monday and trade one-directionally premarket and then look for another opportunity to short if the short covering comes in fast and furious as expected. I’ve sat in cash since mid-August – and speculating on rebounds. Here’s why. 

No alt text provided for this image

This is what a real September looks like in a negative momentum environment.

Short the World: “We’ve done short-shorted it, Ma!” If there is anything left to short out of this cycle of terror, it’s the SPDR Biotech ETF (XBI) which is still nowhere near its June bottom yet ($77 was breakdown level). Don’t be shocked to see a credit event soon in the consumer cyclical space. I expect a major consumer good producer, an airliner, or a retail apparel firm to admit to the market gods that they are on a crash course toward bankruptcy at some point in the next 30 days. 

Contrarian Indicator: Mr. Cramer is not buying the dip… Shouldn’t we? 

No alt text provided for this image

Current Mood: The Dog Days are Over…

No alt text provided for this image

Eight-Day Forecast: I just finished building and filling my planter boxes and hauled so much dirt across the yard that I am taking stronger back pills than ever. Therefore, I can’t wait for all that work to be wasted due to a tropical depression.

No alt text provided for this image

By the way, “Tropical Depression” is the name of my one-person band whenever I wear a Hawaiian shirt, drink spiced rum, and sing Lana Del Ray songs at karaoke.

---------------------------------------------------------------------------------------------------------------Dear Future Florida Republic Residents, 

This week has been a bag of bananas wrapped in a South American stimulant.

The Dow shed nearly 500 points Friday on a late expiration day, revisiting the lows of June and pushing us into oversold territory. I am writing this from a hotel pool in Miami this weekend, as I am finally coming around to fulfilling my wife’s birthday wish of seeing Florence and the Machine (at FTX Arena).

At least, I expect it’s still called FTX Arena on Monday. We’ll have to check the price of Bitcoin – which continues its dangerous slide to that $15,000 danger zone.

I’ve never been to the Brickell-Miami neighborhood before. But it quickly gave me a Buenos Aires, Argentina vibe – as no one is at dinner at 7 pm. Everyone will eat probably at 11 pm when I’ve tossed this old bag of bones across the mattress.

As I sit here and start my usual prep for the following week, I wish to begin with the fleeting expectations at the major banks in the United States. Everyone is cutting their outlooks – after a string of hyper-bullish predictions earlier this year.

You guys… you tried so hard…

No alt text provided for this image

Not even close. Above all, congratulations to Goldman Sachs. 

The investment bank slashed its year-end target on the S&P 500 to 3,600… that’s down from the 4,300 projection we saw earlier this year.

So nice of them to set that target at the level… that it’s hitting now.

I’m sure those endowment and pension clients say, “Now you told us?”

Goldman’s strategist now projects that “the FOMC will raise the policy rate by 75 basis points in November, 50 basis points in December, and 25 basis points in February for a peak funds rate of 4.5%-4.75%.”

To that, I say: “Hi… I’m Garrett.”

No alt text provided for this image

We’ve been saying this on Money Morning LIVE! since the Fed funds rate was at 0.5% in March 2022. I’m on record. Does… Does anyone watch the show?!!

Goldman cited rising odds of recession (I’m still at 91% likelihood) and expects corporate earnings to come in with some deep cuts. The S&P bottom prediction is 3,150.

I’ve heard all of this because we’ve been saying all of this since the June lows

Maybe they’ll take out a pencil and come back with something original in October.

No alt text provided for this image

Great Work Everyone 

At this time last year (September 2021), the Federal Reserve told the American people the following:

1. The Fed said interest rates would remain lower for longer;

2. The Fed said it was unlikely to raise interest rates until 2024;

3. The Fed said that a recession was unlikely in 2022;

4. The Fed said inflation was transitory and not a problem;

5. The Fed said that transitory Inflation would fall back to 2% in 2022;

Zero of these projections came true.

We are far worse off than we were last year.

And no one has been fired.

No alt text provided for this image

If you built a house, and your projections were this far off from the final product… 

You’d still be in prison.

If you needed real proof that the Federal Reserve has driven nearly every point of the S&P 500’s gains and declines for the last 14 years… it’s all “priced in…” as the kids say these days. It was 93% back in 2016. It’s now 100% of performance.

So, let’s take a little walk down each point, shall we?

1. Interest rates are surging to levels we haven’t seen since 2008. We’ve broken above the trend line of the last 30 years in the chart below. Every time the Fed has cut rates, we’ve immediately had a recession or witnessed a sharp shakeout in the market.

No alt text provided for this image

Historically, the Fed has cut rates and accommodated the market whenever rates move to this upper bound; however:

2. Interest rates are surging. The 2-Year Treasury bond just rallied above 4% for the first time… raising the borrowing costs of the nation… We are now out of that upper bound and trending higher, raising the possibility of a major economic event and the possibility of a Black Swan that we haven’t even considered. I’m sure that Universa is killing it right now. This is in direct reaction to the news that:

3. Inflation has surged to 8.3% - and efforts by the Fed to contain inflation are struggling. There are many reasons outside the Fed’s control (which I’ll discuss). But the Fed has never successfully brought down inflation without bringing the Fed funds rate above the CPI figure. This matters because: 

4. Inflation is entrenched, and there are too many things the Fed cannot do independently. It cannot print more workers. It can’t print more oil, more food, more lumber, more housing, or more water. Input costs remain stubbornly high across supply chains… and therefore: 

5. Efforts to bring inflation back to the 2% target will take years… not months. It’s time to have an honest conversation about this with political leaders, market leaders, and the American people.

Have the Federal Reserve thought about a way to better communicate with the American people… 

They could do a high school bus tour.

They could do a national prime-time address where they explain why the Fed matters to everything Americans buy or own. The Fed could answer every journalist's question and stop answering questions that only matter to bond traders.

They could raise awareness at NFL games by making all football players wear green shoes. Or add some Fed-related words to The Star Spangled Banner?

Has Jerome Powell considered an NBC Sitcom starring him and Charlie Sheen about monetary policy and their sassy female twin neighbors (also economists)?

Think the Big Bang Theory meets Two and a Half Men.

We’ll call it “Fed Up.”

And Horatio Sanz will be in it as the postman, who always keeps telling Powell that the price of stamps is going up.

“Hey, pal…” Horatio Sanz will yell, “You gotta keep up with… INFLATION!”

That will be his catchphrase.

It will be horrible - the worst television show… but it wins every award.

The laugh track is just Hillary Clinton’s cackle…

Again, it’s not just me pointing all of this failure out.

No alt text provided for this image

Recession Worries Accelerate 

With the week ending, it’s time to check again on the state of economic growth in the United States.

I’m projecting that third-quarter GDP comes in negative. But most banks continue to push the narrative that we will eke out economic gains for the quarter.

Bank of America this month kept its GDP expectation at 0.8% for the quarter. It said recent news around housing starts helped “boost the tracking estimate.”

Boost? We’re talking about economic growth under 1% for the quarter.

Meanwhile, Goldman projects a growth of 1.2%. This feels a tad high right now.

Finally, we have the Atlanta Federal Reserve Bank.

The GDPNow model projects that economic growth will come at 0.3% for the quarter. That is a decline of 20 basis points since the September 15 estimate.

No alt text provided for this image

This is going great.

MOMENTUM 

Momentum remains Red as we enter peak fear territory.

The Dow Jones took its bottom out for the year, and we continue to take out new lows. While it feels like capitulation may be coming, and the S&P 500 Volatility Index (VIX) is now above 30. This feels like we’re approaching a short-term bottom. Cash remains your best friend in this environment.

The markets have retested their lows of the year.

Biotech might have some additional losses along the way.

However, we are clearly pushing oversold territory by looking at the S&P 500 ETF (SPY) and the Russell 2000 (IWM) ETF.

This chart is the SPY – tracking the performance of the S&P 500 over the last year.

We’ve had three situations where the Relative Strength Index (RSI) has dropped near that 30 range in 2022.

No alt text provided for this image

On Friday, the RSI hit 27.44 as we headed into the final 90 minutes of the day.

After we move into those oversold territories… we tend to see some short-term covering in the following days. You can see this behavior in January and June. 

The same goes for the Russell 2000 ETF (IWM).

No alt text provided for this image

Again, we’re down in an RSI of about 27, meaning we could see a short squeeze any day now. 

If you’re a contrarian, now is the time to test your resolve. According to Bank of America, investor sentiment is “unquestionably” at the worst level since 2008.

Look at June – the last time that RSI was this low – the last time Bid was zero on momentum (No stocks in breakout conditions)

No alt text provided for this image

There is an excellent opportunity to move out two weeks on the Russell 2000 ETF at the $180 strike price for cheap. If a short squeeze comes after this week’s massive downturn, you’ll be one of the few willing to go long. These are the types of small bets I like to make when the world thinks the world is on fire. 

Consider the same with the SPY up near the $385 level.

2% Nonsense 

The Federal Reserve released its latest “Dot Plot” forecast for future rate moves.

No alt text provided for this image

The dots you see are the projected peak interest rate levels among the Fed Open Market Committee members - the voting band of merry central bankers - that set the Fed funds rate.

As you see below, the Fed will likely raise interest rates from 3% today to at least 4.25% at the end of the year. 

This means another 75-point hike in November and a 50-point hike in December. 

The Fed believes it will start to contain inflation, with rates pushing up to 4.5%-4.75% in 2023. At that point, the Dot Plot suggests, the Fed will begin to cut interest rates to support the economy in 2024 and 2025.

Not so fast, my friends.

As I’m about to show you, the Fed has no chance of bringing interest rates back down to 2% by 2025 without causing a significant financial crisis.

Have a look at this chart. This tracks every major economy that has experienced inflation of over 5% in the last 40 years. 

We’re looking at how long it took a nation with inflation over 5% to bring its inflation level back down to the 2% target. 

No alt text provided for this image

The average time: Five years. 

The Fed was incredibly off about its predictions for the previous 12 months. On what planet would I trust them over the next 36 months? 

Speaking of Fed Nonsense 

I love this one. There’s a semi-direct relationship between the size of the Fed’s Balance sheet and the performance of the S&P 500. There’s also a semi-casual relationship between the Fed’s mortgage-backed security (MBS) holdings and housing prices over the last decade.

I am not sure that many people caught this during Powell’s speech. People were too focused on the word recession to notice that Powell suggested the Fed won’t be dumping more MBS shortly.

The Fed hasn’t been doing so anyway. Remember that the Fed’s $95 billion target for monthly balance sheets is just that… a target. And they regularly miss.

No alt text provided for this image


The Fed cut its balance sheet by just $16 billion last week. That was the highest level since April. And the balance sheet is just down $149 billion from its peak… BUT STILL UP for the year.

Remember that the Fed was still buying MBS while inflation was “transitory” and helped propel housing prices higher – while keeping those rates nice and low for Blackrock and other firms to scoop up housing across the Sun Belt.

And we wonder why rent prices surged. And we hope that rent prices stabilize.

No alt text provided for this image

This will never get wound down properly without a severe liquidity problem. 

The Fed’s balance sheet is now 35% of GDP.

Does that sound like a sane economy to you?

Well, at least it’s saner than Europe, where the European Central Bank’s sheet is 81% of GDP.

Great work, Mario Draghi!

Your 2014 Fed symposium speech has made economic reality Circus Circus.

Finally… on the subject of the Fed.

The Federal Reserve has a slate of speakers lined up for Monday.

The list includes Boston Fed’s Susan Collins, Atlanta Fed's Raphael Bostic, Dallas Fed's Lorie Logan, and Cleveland Fed's Loretta Mester.

Could you pick any of these people out of a lineup?

Because they control the economy… the policy that impacts your job, and the price of your home … and these people have more power than any Congressperson running for office in November.

How scary is that?

MORE NONSENSE

Ready for more nonsense?

In 2017 at the SALT Conference, I sat down with Alex Machinsky, the CEO of Celsius Network. The conversation was so bananas, and his business model made so little sense to me that I killed the article before I wrote it.

I told my editor that I felt it “bordered on Ponzi finance.”

Well, giddy up.

The embattled firm’s new plan is to convert all of its debt into a new cryptocurrency.

No, seriously… just hear them out. From CNBC:

“In the recording, Celsius co-founder Nuke Goldstein outlines a compensation plan for customers who deposited assets in Celsius’ “Earn” account, for which Celsius had promised yields as high as 17%. 
Goldstein said Celsius would release “wrapped tokens,” serving as an IOU for customers. The tokens represent the ratio between what Celsius owes customers and what assets they have available. He said if customers wait to redeem their tokens, there’s a better chance that the gap between what Celsius has and what it owes will be smaller."

So, these are cryptocurrency IOUs? I’ve seen this movie, bud.

No alt text provided for this image

Is there a regulator… anywhere? Can I be the regulator? Anyone? Buehler?

Finding the Bottom in this Market 

This week, I pointed out that a market bottom will eventually come. But how do we find that market bottom? Well, let’s use a little bit of math and statistical analysis. Right now, fund managers are massively net short on S&P 500 futures.

Those red zones at the bottom of this chart signal the maximum fear of four previous crises since 2008. That’s right… four… what a joy it is being a millennial and listening to people argue that we live in a capitalistic society (Not convinced).

No alt text provided for this image

The red dots are as follows: 

·     2008: Post Bear Stearns’s collapse and again after Lehman’s collapse.

·     2011: The European financial crisis and the U.S. debt ceiling crisis

·     2015: The Chinese Yuan and stock market upheaval

·     2020: COVID-19. 

You can also see a significant net short position during the 2018 market spasm caused by the Fed raising interest rates and cutting its balance sheet.

So, what can we layer over this to determine whether the worst is “over?”

That’s where this chart comes into play.

No alt text provided for this image

This is the insider net buying-to-net selling – dollar for dollar – at the height of each crisis. If you want to know if the market is ready to correct itself – look for an upper bound (extreme) level of dollar-for-dollar buying to selling. As you can see, the orange dots coincide with both the bottom of the market – and some pivot in fiscal or monetary policy that helps fuel the rebound.

·     In 2008-09, it was Operation Twist by the Fed and Congress’ $787 billion stimulus. 

·     In 2011, it was monetary policy in Europe and the end of the debt ceiling crisis.

·     In 2015, we had China’s central bank intervened and ended the turmoil.

·     In 2018 – although not as extreme, you can see a lot of insider buying as the Fed pivots, cuts interest rates, and stops selling from its balance sheet.

In 2020, it was the magic money waterfall provided by the Federal Reserve at the end of March that year. The Fed dropped $5 trillion out of the sky, setting us up for the current problems we face. 

So, what’s missing in 2022?

That’s correct… an Orange Dot (I would be adding).

Because insider buying to selling on a dollar-for-dollar basis are muted right now, I will note that there have been many insider filings compared to selling filings. This could be the start of a shorter-term move for the markets, which rivals a slight uptick like June. 

I still anticipate capitulation… but that can only come if funds decide to finally start selling – and admitting that the Fed will keep rates elevated for some time.

The recovery looks like this.

1. The Fed cuts rates or pivots

2. Insiders load up on their stocks – creating a monster buying opportunity

3. Momentum goes Green and stays green for at least three months – a straight line up for the S&P 500, the Russell 2000, and every other asset in the Hemisphere.

Wait for it.

Contrarian Takes

Germany’s housing market is slowing, and the nation’s Producer Price Index is now north of 46%. Housing activity is just slumping…

No alt text provided for this image

So, let me tell you – this is the best time to buy a home in Germany in a generation – and likely the only time you’ll get them at these prices for the next 20 years.

I regret not buying a condominium in Dubai in March 2020.

Every day, I look at my uncompleted gazebo…  

It’s contrarian. And speaking of Contrarian.

This headline on gold is quite something after thousands of years to the contrary.

No alt text provided for this image

I’m not a gold bug. But one must consider what is transpiring right now that has gold retreating. It’s priced in a rising dollar. We’re experiencing a liquidity problem around the globe. People are dumping assets to raise cash.

The likely pathway out of this crisis will be more money printing – but lots of filling holes as we did with Lehman Brothers, AIG, and General Electric. The money supply will increase, but the capital will vanish into a black hole.

This might be the first time I’ve wanted to buy gold since the Fed dumped all that money out of the sky in 2020… or early 2011 as the Debt Ceiling standoff started to formulate.

Gold at $1,600 an ounce is starting point for a good dollar average price. Anything around $1,500 is a buy – because things will be terrible at those levels. By then, I will likely have moved much cash out of Bank of America and into my walls.

Cash is still king.

No alt text provided for this image

The Invesco DB US Dollar Index Bullish Fund (UUP) hit $30, as I predicted in July 2022. And it’s clear that this still has room to run.

No alt text provided for this image

When will all this end?

As I explained, it’s when the Fed pivots and the Insiders buy up with both hands.

On my end, it feels like we’re almost there. Markets are still pricing in a 4.7% rate move by May 2023. You’re getting to where I wanted back in June 2022.

No alt text provided for this image

I’d like to see zero cuts through the rest of 2023 in the curve, and I’d like to see this number hit 5% for July. At that point, I’d deploy 50% of my capital into community banks and the bottom half of U.S. value stocks in non-financials, as tabulated by Tobias Carlisle’s Acquirer’s Multiple lists of stocks.

Almost home. But not home enough.

We’re now into the worst week of the year for seasonality…

No alt text provided for this image

So, maybe we finally get that VIX 40 and capitulation. Till then… Cash.

Top Five Video

This was the funniest thing I saw on the internet this week.

It’s Chamath Palihapitiya talking about Tesla in two videos back-to-back.

First video: Jan 7, 2021: He says: “I don’t understand why people are so focused on selling things that work,” he said. “When things are working, you’re paid to stay with people that know what they’re doing. This is a guy [Elon Musk] who has consistently been one of the most important entrepreneurs in the world. And so why bet against him,” he said about Musk and Tesla stock. “It’s probably going to $100,000, then $150,000, then $200,000. In what period? I don’t know. [Maybe] five or ten years, but it’s going there.”

He also talks about dancing… (Click here)

No alt text provided for this image

Second video: Sep 29, 2021: When asked if he still has a sizeable stake in Tesla…

“No.”

When asked if he sold it…

“Yeah.”

You can’t give that pep talk to Americans… and then sell it when they aren’t paying attention. I don’t even know what this qualifies as on ethics…

Chart Party

Ain’t no party like a Miami chart party. Let’s look at charts while listening to cars speed around the Brickell area like I’m living in Grand Theft Auto 15.

Chart No. 1 – Unknown Unknown…

Every Federal Reserve rate hike has ended in a crisis somewhere around the world… whether it’s here in the United States or some country that most Americans can’t locate on a map. Let’s look at pre-2020 rate hikes and the calamity that ensued.  

No alt text provided for this image

Now, here’s the kicker.

The Fed is raising interest rates at a pace we haven’t seen before.

No alt text provided for this image

Which begs the question. What black swan event is coming?

Chart No. 2 – Breaking Down Like… A Breaking Guy… Who Breaks.

We’re getting into rarified air. The chart below offers insight into the number of consecutive days the S&P 500 traded below its 200-day moving average. 

No alt text provided for this image

This tells us that we’re really in crisis mode.

And it’s why I continue to eye the charts aligned with the Dot-Com and the 2008 Financial Crisis. With so much aggregate demand imploding, it’s hard to see how this situation improves in the short term. 

Maybe. MAYBE the Fed pauses hikes in December to give us a little reprieve, and people will stop selling like the world is on fire. But the world is on fire, and I wouldn’t be shocked to see this figure surpass the Dot-Com or the Great Financial Crisis downturn, given the fight against inflation.

Chart No. 3 – Junk Junk Baby…

The Fed can’t step in again and start repurchasing corporate bonds, can it?

No alt text provided for this image

The corporate bond ETFs are melting down past their COVID lows.

Again, we’re spiraling toward a worse liquidity crisis than people initially thought. When will the Fed pivot? Can it be at this point without hurting its credibility?

No one is coming to save us.

Chart No. 4 – Vital to Life

Just a reminder to politicians in Washington. Natural gas is by far the most essential ingredient of our economy today. We can’t ban it without a real plan. And since you people don’t have plans… I drink your milkshake.

No alt text provided for this image

But don’t worry… I’m sure we can just eat bugs or something…

Chart No. 5 – Shapes

As I continue to teach my daughter shapes… I wanted to add a new one.

No alt text provided for this image

Hey oh!!! Kudos to Syz Group... as always.

Postcards from the Florida Republic

Just when I thought about giving up on Jamie Dimon after his comments on cryptocurrencies this week, he goes and redeems himself. 

No alt text provided for this image

This week, Dimon and several other bank executives appeared before Congress to testify on business practices.

Michigan Rep. Rashida Tlaib has never held a job in the public sector and again proves it daily. During the hearing, she asked banking executives if they planned to divest from oil – after saying that the world needed to stop production, you know, right now.

“Please answer with a simple yes or no. Does your bank have a policy against funding new oil and gas products,” Tlaib asked? 

Dimon answered first: “Absolutely not and that would be the road to hell for America.”

At that point, a sitting U.S. Congressional Representative called for Americans to make a run on a bank. I think this is the first time I’ve ever seen this behavior. Tlaib was angry that Dimon had also criticized the haphazard plan to forgive up to $20,000 in student loans… 

“Sir, you know what, everybody that got relief from student loans — has a bank account with your bank — should probably take out their account and close their account,” she said. “The fact that you’re not even there to help relieve many of the folks that are in debt, extreme debt, because of student loan debt and you’re out there criticizing it.”

  • It’s important to remember that JPMorgan didn’t create the student loan crisis.
  • JPMorgan didn’t give out student loans… no questions asked...
  • It didn’t nationalize the student loan industry…
  • It didn’t tell people to go out and get degrees with a negative investment return.
  • It didn’t create its printing press. It didn’t lie to students and tell them they needed a college degree and mountains of debt to succeed in America.

Congress did.

The United States government has poured free money into the student loan process – without any competition – for 11 years. The cost of college has exploded.

JPMorgan has benefited because endowments continue to swell, and someone’s got to help those tax-free endowments (again, Congress’ fault that they don’t pay normal capital gains) make oodles more money without lowering tuition costs.

Oh, and Jamie Dimon is right.

Eliminating oil today would be worse than hell.

The Wall Street Journal had a great comparison to the green movement and Mao’s Great Leap Forward – the forced industrialization of China.

There is zero forward thinking about the impact of stopping oil production in America – you know, like, right now. They just want to do it, and if people can’t get to work or feed themselves, we just HAVE TO TRANSITION…

And if we don’t… apparently Gaia will get us.

If a Representative from Michigan wants to try that, I’m sure she will be looking for a job in about 26 months – when her constituents can’t access food because our supply chains will have completely broken down.

These people are insane. They need an intervention. This is why I own a farm.

I’ve said it before, and I’ll say it again.

The world economy was built AROUND OIL… not the other way around.

Oil is to the global economy as oxygen is to the human body.

This is basic logistics. This is basic economics. This is basic globalization.

And these zealots don’t care whom they hurt… It’s all about power.

That’s why there are rumors that they’re trying to install Al Gore at the World Bank… and it would all end very poorly. Road… to… hell… indeed.

Soft plug… read the Man with the Big Red Balloon.

I predicted all this nonsensical policy behavior back in 2016…

The Week Ahead

Monday

  • Fed speakers include Boston Fed’s Susan Collins, Atlanta Fed's Raphael Bostic, Dallas Fed's Lorie Logan, and Cleveland Fed's Loretta Mester.

Tuesday

  • UiPath (PATH) hosts its investor day.
  • Earnings from BlackBerry (BB), Endava (DAVA), United Natural Foods (UNFI), Cal-Maine Foods (CALM), and Progress Software (PRGS).
  • Fed Chairman Jerome Powell will take part in a panel discussion on cryptocurrencies.

Wednesday

  • Amazon hosts an investor day to unveil new products, including new Echo products, new products from Ring and Blink, and probably some updates on its smart home and apartment management tools.
  • CNBC’s Delivering Alpha Conference will occur. There will be much focus on the short side of the market. Listen to updates from Jim Chanos and Muddy Waters.
  • Earnings from Thor Industries (THO), Vail Resorts (MTN), Paychex (PAYX), Cintas Corporation (CTAS), and Jeffries Financial (JEF)

Thursday

  • Nike will report earnings, and earnings expectations imply a big move by the stock after the bell. Pay close attention to Under Armour (UAA) and Skechers (SKX). These companies tend to trade in the same direction as Nike.
  • Earnings also arrive from Micron (MU), Carnival Corp. (CCL), Bed Bath & Beyond (BBBY), and CarMax (CMX). Oh, don’t forget Rite Aid (RAD).

Friday

  • Tesla will host its Artificial Intelligence Day in Palo Alto.
  • Federal Reserve Bank presidents John Williams and Lael Brainard speak at a central bank conference on “financial stability.” That should make us all feel good.
  • Earnings arrive from CIRCOR International (CIR).

Enjoy your Sunday,

Garrett Baldwin

Editor, Postcards from the Florida Republic

To view or add a comment, sign in

Insights from the community

Explore topics