The Tale of the Tape
Good evening folks. The market bounced today after Friday’s big sell-off and made up about half of those losses. Energy was the worst sector as it continues to lag everything including buggy whips and sour milk. Meanwhile, materials, tech and communications all rallied more than 1.25%.
Google reported earnings after the closing bell today. Here are the numbers:
EPS: $15.35 vs. $12.76 est
Revs: $37.6B vs $38.4B est
The stock traded lower after hours, down 5%.
Here’s more from The Wall Street Journal.
Zoom shares jumped 14% today. In addition to the price increase, volume was its second-highest ever. The “story” behind the pop was… “coronavirus makes ‘face to face’ meetings less attractive” That story sounds wonderful in theory. Here’s the daily chart below:
Shanghai got Shanghaied
Stocks in China got crushed overnight as the Shanghai Composite index dropped 7.72%. Shares of more than 3200 companies went limit down. Only 162 stocks in Shanghai and Shenzhen were positive. If you’re trading Chinese markets and looking for relative strength, those 162 might be ones to watch. Good luck with that.
Google’s Heartstring Formula
Last night’s Google Super Bowl commercial drove many to tears and rated high among all the SB spots. If you didn’t watch, it showed an elderly man remembering his wife with the help of Google Assistant. For those shedding tears, let us pull back the curtain to give you an idea of what is really going on.
Google has well over $100 billion in cash. It earmarks a fraction of this giant pile to marketing and hires ad firms trained to sell you frozen waffles and Viagra.
These ad firms create narratives like this one intended to tug at your heartstrings. Here’s another Google commercial from 10 years ago that is almost the exact same thing. It even uses the same music. Sigh…
Links that Don’t Suck
In this new Dutch neighborhood, there will be 1 shared car for every 3 households – Fast Company
Chicago’s Puerto Rican Bonds – WSJ
Great Things Take Time – Nick Maggiulli
Tech in 2020 – Standing on the shoulders of giants