June 28, 2022

Markets:

Stock futures rose early on Tuesday following a losing day as the market attempted to keep its rebound from the bear-market lows going.

The overnight action followed modest losses on Wall Street as a comeback rally stalled. The blue-chip Dow fell about 60 points, while the broader benchmark, the S&P 500, dipped 0.3% and the tech-heavy Nasdaq Composite lost 0.7% on Monday. The major averages rallied last week, posting their first positive week since May as major averages rallied off their lows for the year. The S&P 500 is still down 18% on the year but is up more than 7% from its low hit in mid-June.

On Tuesday China relaxed its Covid restrictions for inbound travelers, cutting their quarantine time upon arrival by half to seven days. That gave travel and casino stocks a lift in premarket trading. Wynn Resorts and Las Vegas Sands rose more than 7% each. American, United and Delta Air Lines all added more than 1%.

Several major banks raised their dividends in response to successfully clearing this year’s Federal Reserve stress tests, including Bank of America, Morgan Stanley and Goldman Sachs. JPMorgan and Citigroup, however, said increasingly stringent capital requirements forced them to keep their dividends unchanged.

Shares of Nike edged lower in pre-market trading even after the sportswear company topped Wall Street’s earnings and sales expectations for the fiscal fourth-quarter despite a Covid lockdown in China and a tougher climate for consumers in the U.S.

Despite last week’s bounce, the S&P 500 is down nearly 14% in the second quarter, on track to post its worst quarter since the first quarter of 2020, at the depth of the pandemic.

Portfolio:

We enter the new trading session holding positions in ALLY, VERU, AEHR, and holding ITRM. Our set-ups look good here and we will be looking to add a potential new trade setup today with the queue continuing to ignite. Not only are we about to be presented with a new quarter, but we have season trades coming into play, as well as traders beginning to position themselves for mid-terms and the expected results. The market over the next several months has the potential to produce enormous opportunity. Let's take full advantage of it. Just be patient here. Let's have a great session.