Subscribe to receive this FREE daily commentary directly in your email
Apple
Apple (AAPL) easily beat analyst estimate when it reported results tonight, and to no surprise, the stock pop by over 6 percent, and the rest of the supply chain went right with it. Cirrus Logic (CRUS), Qorvo (QRVO), Skyworks Solutions (SWKS), and Broadcom (AVGO), all jumped from 1.5 to 5 percent.
AAPL Price data by YCharts
The better than expected guidance brings a sense of relief to those investors believing that Apple may have delayed the launch of the new iPhone 8.
Don’t forget to subscribe to Reading The Markets- “Lite”
Tech Sector
It wasn’t just the Apple suppliers that jumped with Apple, it was the whole tech sector that popped, with even the Technology Select Sector SPDR (XLK) jumping by over 1.5 percent following results.
Believe it or not, even with the XLK’s run, it has still not surpassed the highs seen in March of 2000, when it reached, nearly $65.
Pretty amazing stuff.
Also, notice the difference in volume, in the ETF over the years, how it has been steadily growing from near non-existent levels back in the day.
Don’t forget to check out our on-demand research product. We can create customized research for you.
Financials
In the chart above we can that the Financials continue to advance higher, up by over 80 bps, versus an S&P 500 that was up only 25 bps. The XLF continues to gain solid traction, and grind higher after filling the gap, late last week. Â On the following chart, it is clear that the XLF passed the last level of resistance on the near-term chart, and is likely on its way higher from current levels.
Now, that hurdle has been cleared; the ETF has a path to reach levels last seen in 2007-2008, around $30. Unlock Deeper Insights with Exclusive Member-Only Video Content on The Market Chronicles YouTube Channel – Just $34.99/Month
Economy
If you feel like you aren’t making more money in recent years, it is likely because you aren’t.
And if you are worried about inflation, you likely should not be.
If you look at the circle,  it would appear to be a triple top formation on the chart, a technical analyst indicator, which is bearish on inflation, indicating that inflation is likely to fall further.
Have a good night.
Disclaimer:
Michael Kramer and the Clients of Mott Capital Management own shares of SWKS.Â
Mott Capital Management, LLC is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Upon request, the advisor will provide a list of all recommendation made during the past twelve months. Past performance is not indicative of future performance.
Subscribe to receive this FREE daily commentary directly in your email
Charts used with the permission of Bloomberg Finance L.P. This report contains independent commentary to be used for informational and educational purposes only. Michael Kramer is a member and investment adviser representative with Mott Capital Management. Mr. Kramer is not affiliated with this company and does not serve on the board of any related company that issued this stock. All opinions and analyses presented by Michael Kramer in this analysis or market report are solely Michael Kramer’s views. Readers should not treat any opinion, viewpoint, or prediction expressed by Michael Kramer as a specific solicitation or recommendation to buy or sell a particular security or follow a particular strategy. Michael Kramer’s analyses are based upon information and independent research that he considers reliable, but neither Michael Kramer nor Mott Capital Management guarantees its completeness or accuracy, and it should not be relied upon as such. Michael Kramer is not under any obligation to update or correct any information presented in his analyses. Mr. Kramer’s statements, guidance, and opinions are subject to change without notice. Past performance is not indicative of future results. Neither Michael Kramer nor Mott Capital Management guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment commentary presented in this analysis. Strategies or investments discussed may fluctuate in price or value. Investments or strategies mentioned in this analysis may not be suitable for you. This material does not consider your particular investment objectives, financial situation, or needs and is not intended as a recommendation appropriate for you. You must make an independent decision regarding investments or strategies in this analysis. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Before acting on information in this analysis, you should consider whether it is suitable for your circumstances and strongly consider seeking advice from your own financial or investment adviser to determine the suitability of any investment.
Rates Surge Stocks Drop Following Hot Job Report, CPI Next Week
Mott Capital's Market Chronicles January 10, 2025 12:02 PM