Tariffs? What Tariffs? Take ’em Up Friday!
Well so much for steel and aluminum tariffs taking down the market. Was the fear even a full 24-hours? The S&P surged into the close, up by nearly 50 bps, after starting the day lower around 2,643, now with at the end of the day it sits at 2,690, just your typical Friday.
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Again, like I said last night it continues to prove just how fragile the market is, and how easily swayed it can be, and why it makes trying to trade these markets on a daily basis nearly impossible. On Tuesday, February 27 the S&P 500 was at 2,790 at 1 PM by this morning the decline reached 5.2 percent decline from peak to trough, in just three days.
The stock movements intraday have been crazy as well, look at Amazon from $1,530 to $1,460. Where is this stock going over the course of the next couple of days? I have no clue, because who knows which way the wind blows on Monday morning.
Netflix performance just shows you how much conviction the buyers have in the name. How does a steel tariff affect Netflix? No clue! Netflix isn’t in China anyway, because China won’t let them in! The market decides when it comes to Netflix they don’t get it either. The bear’s tested it at $285 two times, and then someone flips the switch, and the stock took off. Now the stock is sitting over $300.
How do steel tariffs affect Nektar Therapeutics and the development of its immuno-oncology portfolio? It doesn’t, and the stock is rocketing higher by 25 percent, to all-time highs, as Mizhuo see the recent collaboration with Bristol Myers potentially leading to a take out. The stock up nearly 700 percent over the past 52-weeks.
What about Micron? Fuhgetaboudit! It is ripping higher, after touching an intraday low around $46, and closed at $49.11, while knocking on the door of an enormous break out at $50.
At least for today, everyone seems to be feeling differently then they did yesterday.
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