Tale of the Tape
Good evening, folks. The market of stocks marched higher after Monday’s minor meltdown.
Every major index closed green and the small-caps continue to see strength as the Russell 2000 rallied 1.77%. See more below.
Energy was the strongest sector— $XLE surged 3.5%. Financials finally closed at a new all-time high. Even Wells Fargo flew 2% to finish at its highest prince since last March. Healthcare and communications both lost over 1%.
The cryptos continue to bounce. Bitcoin and Ethereum both stayed within their previous day’s range.
Plug chugged another 22% after the company announced a collaboration with Groupe Renault. The stock is already up 94.69% in 2021. 🤯
GM announced additional plans for its EV ambitions. The stock closed at a new all-time high. Peep the monstrous $GM monthly chart:
Rumors roared that Doordash might expand to Japan. $DASH dashed 15% to close at its highest price of all time. Fellow unicorn $ABNB also bopped 8.5%.
$SFIX soared 18% while $FUTU flew 15%.
Here are the closing prints:
Strength in Small-Caps
It’s Tuesday, so we might as well get technical. 😉
The strength in small-caps can’t be denied as the Russell 2000 Index settled at its 3rd record close in the past 5 sessions. 👀 The Russell 2000 ETF $IWM has already increased 7.75% in 2021.
Here’s the daily chart:
We’ve said that the small caps are strong, but just how strong? The Russell 2000 outperforms the S&P 500 by more than 5% already this year.
Here’s a ratio chart of the Russell 2000 vs S&P 500 for the last 5 years:
Energy has been electric so far this week. The energy ETF $XLE has already surged 5%, led by the likes of $XOM, $COP, and $PSX.
$XLE is still stuck below its previous high from last summer. Will energy finally make a higher high? ⚡ Time will tell.
Here’s the daily chart:
Financials fought hard and finally closed at new all-time highs, previously set last February. The financial ETF $XLF has closed green 4 weeks in a row… can it go for a fifth? Place your bets.
Here’s the monthly chart:
Goldman Sachs gained 2.85% and closed at a new all-time high. $GS is up a whopping 60% since the beginning of November.
Here’s the monthly chart:
Don’t Hate— Terminate.
It never feels good when a relationship doesn’t work out, especially if the break-up involves $5.3B (we’re sure Bezos can attest to this 😂). Today Visa and Plaid are feeling the pain of going on a break… permanently.
The two companies called off their merger agreement after running into a regulatory wall caused by the DOJ antitrust lawsuit from November.
Visa claims the deal could have been completed, but would’ve required “protracted and complex litigation.” In other words, it simply wasn’t worth time or effort. Oof. 🤦
An IRL Jetsons Flying Car
You certainly can’t accuse GM of setting easy goals.
The automobile giant boldly introduced the Cadillac eVTOL air taxi today. Note the word “air.” Yes, it’s a flying car.
The company said the 4-rotor aircraft will be powered by a 90-kWh EV motor and move at speeds up to 56 mph. Here’s a video mockup.
GM didn’t give a timeline, but we’re excited to fly right over rush hour traffic in a couple of years. 😁
Uber and Moderna, A Perfect Pair
Uber and Moderna announced a collaboration in search of ways to aid the distribution of Covid-19 vaccines.
The two companies will work side-by-side to provide info on vaccine safety using Uber’s in-app messaging. $UBER and $MRNA will also partner with public health officials, targeting additional opportunities to broaden access to Covid-19 vaccines.
Uber CEO Dara Khosrowshahi said:
Used by millions of people every day, the Uber platform can both help educate the public about vaccine safety and help eliminate transportation barriers to vaccination. Together with Moderna, we hope to do our part to help increase vaccination awareness and adoption, and we look forward to exploring ways we can help ensure everyone, especially in the hardest-hit communities of color, has access to a vaccine.
$UBER spiked 7.25% and broke out to blue skies. ☀️ $MRNA closed up 6.22%. 💪
CES: Cool Excessive Stuff
CES continued virtually today, and it sure didn’t stop with the “that’s awesome, but completely unnecessary” featured technology.
The highlights of today included a Keurig-style ice cream machine, a gaming face mask by Razer, a Lenovo laptop with two screens (one of which is on the outside), and our personal favorite— a smart shower that uses 80% less water and infuses your soap and shampoo directly into its stream. Woah. That’s fresh (and you will be too, after you use it). 🛁 🧼
Innovation is the lifeblood of the world. CES certainly accounts for a lot of it.
Here’s CNET with more.
Earnings This Week
Be sure to know when your stocks report earnings. Here’s the earnings calendar.
Links That Don’t Suck
*📈 Here’s a better way to buy IPO stocks using chart patterns (and why buying on day one is for rookies).
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