HaiKhuu Weekly Recap
August 21 - August 25, 2023
MAJOR EVENTS OF LAST WEEK
Major Indices’ Weekly Movement:
S&P 500 +0.56%
Nasdaq +1.23%
Dow Jones -0.55%
Highlights:
Fed Chair Jerome Powell at Jackson Hole:
Powell repeats the Fed's responsibility to reduce inflation to 2%
Inflation has come down from its peak due to a combination of factors, including monetary policy tightening
Powell discusses the progress in core goods, housing services, and nonhousing services inflation, highlighting the need for sustained progress
Brazil’s President has proposed a common currency for BRICS nations to reduce their reliability and use of the US dollar
Nvidia ($NVDA) Earnings:
2Q Adj EPS $2.70, est. $2.07
2Q Revenue $13.51B, est. $11.04B
Sees revenue coming in next quarter at $16.00B +/- 2% above expectations of $12.5B
DAILY EVENT BREAKDOWN
Monday, August 21
NY Fed July Survey:
Americans expect record income to start a new job
The July survey finds the pay needed to accept a job at $78,645
Expectations of better pay come amid softer labor market views
Subway is nearing a deal to be sold for $9.6 Billion to Roark Capital
US court says AI-generated art cannot receive copyrights
Meta to launch a web version of "Threads"
Softbank’s Arm Holdings filed to go public through an IPO
Arm Holdings will trade on the Nasdaq under the ticker $ARM
Major Indices:
S&P 500 +0.65%
Nasdaq +1.61%
Dow Jones -0.13%
Tuesday, August 22
Microsoft ($MSFT) and Activision Blizzard ($ATVI) have restructured their proposed acquisition
Under the restructured transaction, Microsoft will not be in a position either to release Activision Blizzard games exclusively on its own cloud streaming service or to exclusively control the licensing terms of Activision Blizzard games for rival services
Existing Home Sales Actual 4.07M (Forecast 4.15M, Previous 4.16M)
Existing Home Sales Change -2.2% (Forecast -0.24%, Previous -3.3%)
No final decision from the US Court of Appeals on Grayscale's lawsuit with the SEC over converting its fund to a Bitcoin spot ETF
$AMC hit a new 52-week low of $2.50
S&P downgraded multiple regional banks due to real estate and funding concerns from Fed rate hikes
Banks downgraded include Comerica Bank, UMB Financial, and KeyCorp
Major Indices:
S&P 500 -0.27%
Nasdaq -0.14%
Dow Jones -0.50%
Wednesday, August 23
US S&P Data:
Composite PMI Flash Actual 50.4 (Forecast 51.5, Previous 52.0)
Services PMI Flash Actual 51 (Forecast 52.2, Previous 52.3)
Manufacturing PMI Flash Actual 47 (Forecast 49, Previous 49.0)
US New Home Sales:
Change MoM Actual 4.4% (Forecast 1%, Previous -2.5%)
Units Actual 0.714M (Forecast 0.704M, Previous 0.697M)
July median Home sale price $436,700, -8.7% from July 2022 ($478,200)
Nvidia ($NVDA) Earnings:
2Q Adj EPS $2.70, est. $2.07
2Q Revenue $13.51B, est. $11.04B
Sees revenue coming in next quarter at $16.00B +\- 2% above expectations of $12.5B
Brazil’s President has proposed a common currency for BRICS nations to reduce their reliability on the dollar
Major Indices:
S&P 500 +1.11%
Nasdaq +1.58%
Dow Jones +0.55%
Thursday, August 24
Core Durable Goods Actual 0.5% (Previous 0.5%)
Durable Goods Actual -5.2% (Previous 4.6%)
Jobless Claims
Initial Claims 230k (Previous 239k)
Continued Claims 1.702M (Previous 1.716M)
$AMC had a 10:1 reverse split
JPMorgan ($JPM) wins a ruling that leveraged loans are not securities
Fed's Harker at Jackson Hole:
“I see the US keeping rates where they are all this year, if inflation comes down next year, we could cut rates”
Harker sees the labor market easing and expects unemployment to reach 4%
Advocates for continued restrictive policies to lower inflation, notes balance sheet reduction
Acknowledges credit tightening, uncertain about China's impact, and downplays AI disruption
T-Mobile ($TMUS) fired 5,000 employees, 7% of their workforce
Walmart ($WMT) teams up with Google’s Wing ($GOOGL) to expand drone deliveries
Major Indices:
S&P 500 -1.39%
Nasdaq -2.14%
Dow Jones -1.10%
Friday, August 25
University Michigan Data:
Sentiment Final Actual 69.5 (Previous 71.2)
1 Yr Inflation Final Actual 3.5% (Previous 3.3%)
5 Yr Inflation Final Actual 3.0% (Previous 2.9%)
Expectations Final Actual 65.5 (Previous 67.3)
Fed Chair Jerome Powell at Jackson Hole:
Powell repeats the Fed's responsibility to reduce inflation to 2%
Inflation has come down from its peak due to a combination of factors including monetary policy tightening
Powell discusses the progress in core goods, housing services, and nonhousing services inflation, highlighting the need for sustained progress
Fed’s Goolsbee at Jackson Hole:
Goolsbee acknowledges improvement in core inflation but believes it's early to claim victory
Consumer spending remains solid despite rate hikes, and GDP growth forecasts suggest an acceleration
Goolsbee notes consumers' resilience to rate hikes, minimal economic drag from banking issues, and ongoing focus on managing rate duration
Talk Veritas is considering a takeover of Blackberry ($BB)
Disney ($DIS) hit a new 52-week low of $82.31
Amazon ($AMZN) has had early talks with Disney ($DIS) about working on the streaming version of ESPN it is developing
Rite Aid ($RAD) is preparing to file Chapter 11 bankruptcy within a few weeks
Instacart has filed to go public through an IPO and trade under the ticker $CART
Major Indices:
S&P 500 +0.85%
Nasdaq +0.96%
Dow Jones +0.84%
