Tale of the Tape
Good evening everyone and welcome back. What a day and incredible come from behind win for this Fed fueled US stock market.
The S&P 500 rose 0.83% which hardly seems like a big deal until you realize that we opened the day down 2.5%.
It was looking like things might even get a little crashy on hints of a second coronavirus wave gripping media attention and investor sentiment.
But then we rallied and rallied some more on news the US Fed is buying corporate debt. Very kind of them. See more below.
The S&P 500 rose .8% on the day, a full 3% off the morning low.
Financials led the way up 1.4% and all sectors closed in the green.
Home Builders were constructive up 4.5%. Gold miners were digging it up 2.7%. Biotechs got high up 2%.
Peloton closed at an all-time high. Freak of nature. See more below.
Here’s your closing prices on the major US indices:
The Fed Will Buy Corporate Bonds.
The markets jumped after the Fed announced it will buy $250B in individual corporate bonds.
We have a question though…
Here’s more from Business Insider if you care.
This Market is Crazy.
Callie Cox, Senior Investment Strategist at Ally Invest shared the following tidbit today.
On June 15, the S&P 500 fell 2.5% intraday, then recovered all its losses to close up on the day. That’s the third time that’s happened in 10 years.
Callie also mentioned this occurred 11 times during the Global Financial Crisis.
This market is crazy y’all.
$GSX Broke Out
China based GSX Techedu broke out with ferocity today. $GSX closed up 20%.
Message volume on the $GSX Stocktwits Stream ramped 109% so there’s growing interest in the name. 😲
It’s highly controversial too and still hated despite the breakout with sentiment 80%-20% Bearish.
There are very strong opinions on both sides, which is intriguing given recent research on Stocktwits data indicating the predictiveness of strong varying views.
Regardless, the chart’s beaut…
Walmart Shopify Is a Big Deal
Today, Walmart and Shopify announced a partnership that will help Walmart grow its online marketplace.
This is a big deal for both companies. For Shopify, it broadens the customer profile from primarily small businesses and it does so by going right to the top of the retail food chain.
Now, more large partners will have to line up and Shopify should gain business in large swaths and even more e-commerce clout.
For Walmart, this energizes it’s slow but steady marketplace in a big way. This is a prerequisite for going toe to toe with Amazon, which is the obvious Godzilla vs King Kong rivalry.
Execution will be crucial for both companies and we’ll be keeping an eye. $WMT gained 0.3% on the day while $SHOP gained 8% to close within 0.25% of an all time high.
Here’s more details via Shopify Investor Relations
Peloton New highs
Peloton cracked $50 today. The stock couldn’t manage to close above the round number but $49.94 is pretty darn close.
In case y’all forgot Peloton had its share of controversy, remember “the ad” from last holiday season. Well since then $PTON is up 67.50%. 🤯
Apparently bikes are flying out the door, check out this notice Peloton has pinned on its website.
Is $50 just the start for Peloton? Place your bets…
Be sure to know when your stocks report earnings. Here’s the full earnings calendar.
Links That Don’t Suck
📃 Exploring The Globe’s Many Islands
📃 Deadliest Corporate Crime in U.S. Will End With 84 Guilty Pleas
📺 SALT Talks: Chamath Palihapitiya | Founder & Chief Executive Officer, Social Capital
📃 Workers Can’t Be Fired for LGBT Status, U.S. Supreme Court Says