May 26, 2022

Markets:

Futures tied to the Dow Jones Industrial Average and S&P 500 rose slightly Thursday, as Wall Street tried to rebound from a long string of weekly declines.

The move in futures comes after strong earnings from the retail sector. Macy’s shares surged 15% in premarket trading after the company raised its 2022 profit outlook, and Williams-Sonoma rose 8.3% after beating estimates on the top and bottom lines.

On the flipside, shares of chipmaker Nvidia dropped 5.6% in the premarket after the company delivered weaker-than-expected guidance for the second quarter and the company’s CFO said Nvidia would slow hiring. Similarly, software stock Snowflake tumbled 14% after the company’s guidance for operating margin came in narrower than expected.

Investors will get an updated look at weekly jobless claims and a second read on first-quarter GDP. Data on pending home sales will follow later in the morning.

Positions:

We enter the new trading session holding positions in BLNK, PHR, and holding itrm. Very nice session for us yesterday. We expect another session filled with swings; it's typical Fed action.  Patience is needed with these swings.  However, if we were to somehow hold any type of rally – could be a change in price activity and trends.  Keep an open mind to this; we will be watching closely.  Also, keep in mind we are heading into a long holiday weekend.  There will be some position rebalancing taking place into the weekend.  Volume is expected to decrease into tomorrow.  Stay patient right now.  Be on alert today and let's have a great session.