Tale of the Tape
Good evening everyone. Grab yourself a cold beverage and say hellooo to the weekend. It got a little loose out there today, so maybe you’re ready for a belt.
The S&P 500 fell 2.42% to close the week down nearly 3%. The index is now red for the month of June by a bit, though we have two days next week to make it up 🤞🏼
A lot of the recent winners in this momentum fueled market couldn’t keep it up today. Nvidia dropped 5%. Netflix chilled 3.5%. Apple fell 3%. Tesla swerved 2.5%. Even Zoom and Datadog gave it up, off 1% and 5% respectively and those two never go down.
The only bright spot in the momo names was Fastly, which rallied another 6%. What a monster lately!
The big winner though was The Gap. It ripped 19%. Really. See more below.
| S&P 500 | 3,009 | -2.42% |
| Nasdaq | 9,757 | -2.59% |
| Russell 2000 | 1,378 | -2.44% |
| Dow Jones | 25,015 | -2.84% |
Faceplant
Facebook fell 8.44% today on word that more large advertisers will boycott the social media behemoth.
Both Verizon and Unilever announced they’ll cease buying ads over $FB’s poor handling of hate speech and moderation.
Zuck and Co. have hemmed and hawed even as the social mood has shifted dramatically and real companies are finally stepping up.
Unilever spent $8B last year on advertising 👀 and Verizon is huge also so, obviously, this is a big deal.
Update: Late today, Zuckerberg announced $FB would prohibit hate speech in its ads. Money talks. We guess.
Technically, today’s sell off looks like it might have done some damage as the stock fell out of this recent trading range (See chart below). Place your bets…
Gapping Higher
Gap was the biggest winner in the S&P 500 today, ripping 18.8% on ridiculous trading volume.
Kanye West signed a 10 year deal with the suffering clothing retailer, which could be a big deal. Read all about it here.
$GPS gapped up 23% at the open and continued higher until 10am EST where it began a slow fade.
The stock finished the day with the most shares traded in a single session in the stock’s 45-year trading history!
Who knows, maybe the stock will finally flip the script like Wesley and Spike. 😉
Banks Tank
The Banking Industry Index got mauled today, losing over 6%. The broader Financial Sector ETF, $XLF, fell 4.28%.
We keep a close eye on this name not only because we love the pain, but because financials are so important to the health of the broader economy.
Until today, the low close for June on the $XLF was 22.98. Today it blew through that level.
The March 23rd crash low was 17.66 so there’s a bunch more damage required to test that level. Still, the failure at $23 will be something to eye next week with respect to the fitness of the broader stock market.
Friday Follows on Stocktwits
We’re blessed to have an amazing community on Stocktwits.
So let’s highlight a few of our best.
Alistair_chart has a great eye for the futures market.
Check out his follow up.
Alphacharts provides The Glengarry levels…
FlynancialAnalyst consistently identifies great setups.
If you like their style, make sure to give them some love and a follow.
Hotels, Resorts, and Cruise Lines
Recently, we stumbled upon this S&P 500 Hotels, Resorts & Cruise Lines Sub-Industry Index.
It provides a nice snapshot of these businesses that are closely related and that has become so important since COVID-19 moved front and center across the globe.
Check out today’s 6 week closing low:
We’ll be sure to drop in on this one as price behavior warrants.
10,000 Years of Humans and Dogs
Check this National Geographic’s story about our ancient relationship with dogs. The pics alone are worth the click.
Links That Don’t Suck
🎧 Indy Musician Earning $800/Month on Spotify
🛹 Skateboarder’s Survival Story | Ross Capicchioni
👟 Adidas’s Yeezy collection.
💻 What’s the future of the Mac?
🙌 Building the perfect playlist to get you hype.
🔑 The mathematics of (hacking) passwords.
🦈Massive great white shark filmed prowling under surfers.
