HaiKhuu Weekly Recap & Analysis
August 5 - August 9, 2024
MAJOR EVENTS OF LAST WEEK
Highlights:
Over $2 Trillion in market value was wiped from the US stock market before 10:30 AM ET on Monday, causing the CBOE Volatility Index (VIX) to have its 3rd biggest jump in history
On Thursday, the S&P 500 had its largest intraday gain (2.31%) since November 2022
Jobless Claims came in lower than expected, causing markets to rally:
Initial 233k (Forecast 240k, Previous 249k)
Continued 1.875M (Forecast 1.871M, Previous 1.877M)
Major Indices’ Weekly Movement:
S&P 500: +4.27%
Nasdaq: +6.19%
Dow Jones: +2.24%
Monday, August 5
Stock Related News:
Over $2 Trillion in market value was wiped from the US stock market before 10:30 AM ET
The CBOE Volatility Index (VIX) had its 3rd biggest jump in history, following the COVID and Lehman crash
Google lost a DoJ antitrust lawsuit over its search; a judge ruled that Google’s payments to make its search engine the default on smartphone web browsers violates US antitrust law
Goldman Sachs increases the 12-month recession odds by 10pp to 25%, but says it continues to see "recession risk as limited
Elon Musk filed a federal lawsuit against Sam Altman alleging that the Tesla boss was “manipulated” into co-founding OpenAI
NVIDIA and Taiwan Semiconductor Manufacturing are facing production challenges with the next generation of its AI chips
Kellanova surged 20% in pre-market trading after a potential buyout from Mars (M&Ms) in a deal worth close to $30 Billion
Economic News:
S&P PMI:
Services 55 (Forecast 56, Previous 56)
Composite 54.3 (Previous 55.0)
ISM Services Data:
PMI 51.4 (Forecast 51, Previous 48.8)
Employment 51.1 (Forecast 46.4, Previous 46.1)
Major Indices:
S&P 500: -2.91%
Nasdaq: -2.98%
Dow Jones: -2.60%
Tuesday, August 6
Stock Related News:
Disney announced it is raising prices by up to 25% across all its streaming platforms including Disney +, Hulu, and ESPN
Rumble announced that it has joined X to file antitrust lawsuits alleging a conspiracy to withhold advertising revenue from Rumble and other digital media platforms
Tesla China has recalled (Over-the-Air Software Update) 1,683,627 cars
CrowdStrike is facing a potential class Action lawsuit for disrupted flights during the outage
JPMorgan CEO Jamie Dimon remains confident in the economy as markets retreat, says "we're going to get through it"
JPM also warns that the Yen carry trade unwind is only about halfway finished
Economic News:
US Trade Balance -73.1B (Forecast -72.5B, Previous -75.1B)
NY Fed Q2 Data:
Credit card balances up 5.8% YoY
Total borrowing delinquency rate unchanged at 3.2% versus Q1
Major Indices:
S&P 500: +0.92%
Nasdaq: +0.96%
Dow Jones: +0.81%
Wednesday, August 7
Stock Related News:
Disney may have to pay up to $5 billion more to buy Comcast's minority stake in Hulu
Disney has disclosed a $1.5 Billion stake in Epic Games, which represents about an 8% ownership stake
Intel decided against investing in OpenAI in 2017/2018, partly because then-CEO Bob Swan did not think generative AI would make it to market in the near future
Meta is in talks to license its VR software to Indian technology company Jio
Palantir and Wendy’s are partnering on AI and supply chain digitalization
Amazon Prime Video is planning on Hollywood expansion
The Cboe announced plans to launch options on the volatility index (VIX) futures
Economic News:
MBA Mortgage Applications 6.9% (Previous -3.9%)
30-Yr Mortgage Rate 6.55% (Previous 6.82%)
Major Indices:
S&P 500: -0.67%
Nasdaq: -1.08%
Dow Jones: -0.56%
Thursday, August 8
Stock Related News:
The S&P 500 had its largest intraday gain (2.31%) since November 2022
Microsoft and Palantir aim to sell AI to US defense and spy agencies
Google and Meta are facing allegations of covertly targeting Instagram ads to teenagers on YouTube
Apple is preparing a smaller Mac Mini model with the new M4 Chip that would be its smallest computer yet
FTX was ordered to pay $8.7 billion in restitution and $4 billion in disgorgement, which will be used to further compensate victims for losses suffered due to SBF’s fraudulent scheme
Apple is to let developers offer products outside of its ecosystem
Americans' credit card debt has reached a new all-time high of $1.14 Trillion
Economic News:
Jobless Claims:
Initial 233k (Forecast 240k, Previous 249k, Revised 250k)
Continued 1.875M (Forecast 1.871M, Previous 1.877M, Revised 1.869M)
Major Indices:
S&P 500: +2.31%
Nasdaq: +3.06%
Dow Jones: +1.47%
Friday, August 9
Stock Related News:
Sen. Elizabeth Warren sent a letter to a Tesla Chairperson concerning CEO Elon Musk and possible breaches of his fiduciary duty to the company
Apple has ramped up iPhone 16 production in expectation of high demand, leading Foxconn to hire 50,000 new workers
Cisco announced it will lay off thousands of employees in 2nd job cut this year
Netflix has tapped Paramount’s CBS Sports to produce its Christmas NFL games
JPMorgan has rolled out a Generative AI assistant powered by OpenAI to tens of thousands of its employees in recent weeks
Economic News:
Fed's Collins on Interest Rates:
It's appropriate to begin easing soon if the data is as expected
The timing and pace of cuts are to be based on data
Major Indices:
S&P 500: +0.44%
Nasdaq: +0.52%
Dow Jones: +0.16%
