Subscribe to receive this FREE daily commentary directly in your email
DECEMBER 11, 2019
STOCKS: NFLX, GE, HD, TSLA
MACRO – SPY, FED
MICHAEL KRAMER AND THE CLIENTS OF MOTT CAPITAL OWN NFLX AND TSLA
US Markets
- S&P 500 Futures -1.5
- US 10-Year 1.82%
- VIX 15.87
- Oil $58.98
- Dollar Index 97.51
International Markets
- Japan -0.08%
- HK +0.79%
- China +0.24%
- KOSPI +0.36%
- UK -0.14%
- DAX +0.15%
Reading The Markets Premium Content from December 10:
- Subscriber Mailbag- Following Analyst Rating And Price Targets
- Looking For Signs Of A Market Rebound
- Gap Filled, Economy Improving, Markets Move Up
Macro
It will be a somewhat busy day with US CPI this morning, and the FOMC rate decision this afternoon followed the press conference at 2:30. The Fed meeting should be uneventful, with interest rates expected to remain unchanged.
There may be some questions regarding the repo market and liquidity, the state of the balance sheet, and its expansion. One final thing that may come in to focus is the Fed’s forecast for GDP, Inflation outlook, and future longer-term rate outlook as part of its dot plot.
S&P 500 Futures
S&P 500 futures are pointing to a minor decline, and 3,140 continues to be near-term resistance, with stronger support around 3,110. It seems as if investors are just in the mood to wait out the Fed, and perhaps the decision on tariffs with China.
I’m not sure that new tariffs will hurt the market all that much, they haven’t too this point, and there is no evidence to suggest that are causing higher prices or even slowing the economy all that much.
Stocks
Netflix (NFLX)
Piper Jaffray is out with some positive commentary on Netflix today, following yesterday’s negative analysis from Needham. Piper notes the potential upside for the US and international subscriber growth in the fourth quarter. The analysts maintained its $400 price target and Overweight rating.
GE (GE)
GE shares have pulled back in recent weeks, and the stock will need to hold support at $10.75 to avoid further declines.
Tesla (TSLA)
According to reports, Tesla plans to build 500,000 cars per year out of its gigafactory 4 in Germany. The stock continues to work its way higher towards $360.
Home Depot (HD)
Home Depot is falling today, after the company forecast 2020 sales growth beloe expectations. The stock is nearing support at $210.
Have a good one!
-Mike
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 recommendations made during the past twelve months. Past performance is not indicative of future results.
Subscribe to receive this FREE daily commentary directly in your email
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.
Market Liquidity Pressures Build As Equity Financing Cost Plunge
Mott Capital's Market Chronicles 8 hours ago