June 26, 2024
Markets:
Stocks were set to struggle again on Wednesday as investors evaluate their holdings following a booming first half of the year led by AI plays. The S&P 500 was on track for its fourth losing day in the last five as it closes out a six-month gain of nearly 15%.
FedEx popped 14% after issuing adjusted earnings that surpassed estimates in the fiscal fourth quarter. Rivian Automotive soared 36% after Volkswagen Group said it would invest up to $5 billion in the electric vehicle company. Nvidia inched up 0.5% in premarket trading Wednesday after climbing 7% on Tuesday, its first positive day in four. The artificial intelligence chipmaker’s $3.1 trillion market value has come to dominate the cap-weighted S&P 500, and its 154% surge in 2024 has raised concerns that most other stocks are failing to participate in this year’s rally.
Investors began to shift their attention toward fresh inflation data on Friday with the release of May’s personal consumption expenditures price index. The Federal Reserve keeps a close eye on its preferred inflation gauge, and investors are hopeful that the central bank will lower interest rates at some point later this year if price increases continue to moderate.
Portfolio:
We enter the new trading session holding set-ups in NVDA, PLTR, TSLL, GBTC, and MARA. Algos in control early on in futures / pre. Friendly reminder, MU releases earnings tonight, should be a nice driver for AI and semi related stocks. NVDA had a strong positive reaction yesterday and as we stated in yesterdays premarket NVDA showed strength at 20 day and area we outlined. Reminder, We stated yesterday the theme / narrative trying to be pushed. Seems to have worked again; trap more bears and then run it higher. I can see another rug pull soon, maybe even this morning, before the monster run up begins for the summer. As difficult as higher might seem for some, it's exactly whats building and the trend continues to point to that Undeniable! I'm just not sure why folks continue to try and short this.