HaiKhuu Weekly Recap & Analysis
January 1 - January 5, 2024
MAJOR EVENTS OF LAST WEEK
Major Indices’ Weekly Movement:
S&P 500: -1.79%
Nasdaq: -3.53%
Dow Jones: -0.61%
Highlights:
The Justice Department is in the late stages of an investigation into Apple and could file an antitrust case taking aim at the company’s strategies to protect iPhone dominance
FOMC Meeting Minutes:
Several participants observed that circumstances might warrant keeping the policy rate at the current level longer than they currently anticipate
SpaceX launched the first set of Starlink satellites capable of beaming phone signals directly to smartphones in partnership with T-Mobile
DAILY EVENT BREAKDOWN
Monday, January 1
Markets Closed for New Year’s Day
Tuesday, January 2
Stock Related News:
Tesla produced 494,989 cars and delivered 484,507 in Q4 2023
Deliveries grew 38% YoY in 2023
Apple shares fell 4% after being downgraded by Barclays to underweight with a price target of $160, down from the previous target of $161
Maersk halted Red Sea shipping until further notice
Economic News:
S&P Manufacturing PMI Final 47.9 (Forecast 48.4, Previous 48.2)
Renewed contraction in output as orders fall at a sharper pace
Rates of inflation pick up
Joint-fastest drop in employment since June 2020
Fed’s Barkin on Rate Hikes:
There is potential for additional rate hikes. It remains on the table
Risks to a soft landing include the delayed impact of high interest rates on credit, outside shocks, services inflation getting stuck at a high level, and strong demand
Major Indices:
S&P 500: -0.56%
Nasdaq: -1.69%
Dow Jones: +0.06%
Wednesday, January 3
Stock Related News:
SpaceX launched the first set of Starlink satellites capable of beaming phone signals directly to smartphones in partnership with T-Mobile
The SEC held meetings with exchanges Nasdaq, CBOE & NYSE to finalize comments on the 19B-4s submitted by the BTC Spot ETF issuers
General Motors delivered 2.6 million vehicles in 2023, up 14% from last year
GM leads the industry in total sales
Ford is recalling over 112,000 F-150s after NHTSA highlights rollover risk
Intel formed a new AI company, Articul8, backed by DigitalBridge Group and other investors, to improve AI privacy, security, and costs
The DEA announced it will review marijuana's classification
South Korean exports to the US exceeded shipments to China for the first time in two decades last month
South Korea sold $11.3 billion in goods to the US in December, compared with $10.9 billion to China
Cigna is in advanced talks to sell its medicare business for $3B -$4B
Xerox announced a re-organization, which targets a 15% workforce reduction
Economic News:
FOMC Meeting Minutes:
Several participants observed that circumstances might warrant keeping the policy rate at the current level longer than they currently anticipate
In projections, almost all participants indicated their base-line implied a lower federal funds rate would be appropriate by the end of 2024
JOLTS Job Openings Actual 8.79M (Forecast 8.821M, Previous 8.733M)
ISM Manufacturing:
PMI 47.4 (Forecast 47.1, Previous 46.7)
New Orders Index 47.1 (Forecast 49.1, Previous 48.3)
Employment Index 48.1 (Forecast 46.5, Previous 45.8)
Prices Paid 45.2 (Forecast 49.5, Previous 49.9)
Redbook YoY Actual 5.6% (Forecast -, Previous 4.1%)
Major Indices:
S&P 500: -0.82%
Nasdaq: -1.06%
Dow Jones: -0.76%
Thursday, January 4
Stock Related News:
Microsoft's new Copilot AI assistant will get a dedicated key on Windows 11 keyboards, with estimated incremental revenue of $9.1 billion by 2026
Eli Lilly launched LillyDirect website, offering weight loss drug prescriptions through telehealth
Walmart and Unity are bringing immersive commerce to games, virtual worlds and apps
The new API enables physical commerce opportunities contextually and natively, offering players a seamless experience
Peloton Interactive has entered an exclusive partnership with TikTok to create a workout content hub
Disney's ESPN and the NCAA have reached a new, eight-year agreement beginning Sept. 1, 2024, for NCAA championships media rights.
Qualcomm announced its next-gen Snapdragon XR2+ Gen 2 Platform
The Biden Administration is providing $162 million to Microchip Technology to support the domestic production of computer chips
JP Morgan reached all-time highs of $173.38
Economic News:
Jobless Claims:
Initial Claims 202K (Forecast 216K, Previous 218K)
Continued Claims 1855K (Forecast 1881K, Previous 1875K)
ADP Employment 164K (Forecast 130K, Previous 103K)
S&P Services PMI Final 51.4 (Previous 51.3)
S&P Composite PMI Final 50.9 (Previous 51.0)
Major Indices:
S&P 500: -0.32%
Nasdaq: -0.51%
Dow Jones: +0.09%
Friday, January 5
Stock Related News:
The Justice Department is in the late stages of an investigation into Apple and could file a sweeping antitrust case taking aim at the company’s strategies to protect the dominance of the iPhone as soon as the first half of this year
Tesla is recalling about 1.6 million vehicles, including its models S, X, 3, and Y in China due to crash risks in their self-driving system
Executives at companies that use OpenAI’s software say they are increasingly looking also to use others’ technology to protect themselves from the risks & problems of OpenAI
Economic News:
Unemployment Report:
Unemployment Rate 3.7%, Previous 3.7%
Labor Force Participation 62.5%, Previous 62.8%
Average Earnings YoY 4.1%, Previous 4.0%
Private Payrolls 164k, Previous 150k
Average Workweek Hrs 34.3, Previous 34.4
ISM Services
PMI 50.6 (Forecast 52.5, Previous 52.7)
Employment 43.3 (Forecast 51, Previous 50.7)
New Orders 52.8 (Forecast 56.1, Previous 55.5)
Prices Paid Actual 57.4 (Forecast 57.3, Previous 58.3)
Factory Orders MoM 2.6% (Forecast 2.4%, Previous -3.6%)
Durable Goods Revised 5.4% (Forecast 5.4%, Previous 5.4%)
Core Durable Goods Revised 0.4% (Forecast 0.5%, Previous 0.5%)
Treasury Secretary Yellen on the Economy:
What we're seeing now can be described as a soft landing
Real wage increases mean Americans are getting ahead
Some surveys are beginning to show that Americans are more optimistic
Major Indices:
S&P 500: +0.04%
Nasdaq: +0.06%
Dow Jones: -0.04%
