November 13, 2023

Markets:

U.S. stock futures dipped on Monday after Moody’s Investors Service lowered its U.S. credit rating outlook to negative from stable.

Moody’s on Friday underscored the U.S.′ “very large” fiscal deficits and partisan gridlock in Washington as contributing factors for the downgrade. The ratings agency reaffirmed America’s credit rating at AAA, the highest level. This comes three months after Fitch lowered the U.S. long-term foreign currency issuer default rating to AA+ from AAA, also citing expected fiscal deterioration, an increasing debt burden and political standoffs on fiscal and debt issues.

While there is “zero default risk of U.S. debt,” the lower credit rating outlook remains relevant for its impact on the attractiveness of the debt for foreign investors.

On the economic data front, investors will be keeping an eye on October’s monthly federal budget, as well as the Federal Reserve Bank of New York’s October consumer expectations survey. Fed Governor Lisa Cook is also scheduled to give remarks Monday morning. This all comes ahead of the monthly consumer price index data on Tuesday.

Portfolio:

We enter this outstanding new trading week filled with enthusiasm as we continue to see impressive price activity in our queue. So many stocks are on the verge or beginning their breakouts. We have sectors igniting! Cannot stress enough the period we have entered and hope to see this continue to materialize as it would provide all of us an outstanding period to capitalize on. We enter the new trading week loaded and ready to move into new opportunities shortly as well. No changes needed on PLTR, ASAN, DKNG, and GEO. Be on alert and ready. Let's have an outstanding week!