Good MorningEquity markets are bracing for what could be a very frosty winter for the stock market. The lingering rise in inflation coupled with the rise of FOMC interest rates has the outlook for S&P 500 earnings in decline and that is the single most important factor to lead the stock market. In this light, the S&P 500 could be expected to fall back to previous lows near 3,500 sometime early in the New Year. The question is when it will be hit and how low the bottom will be when the market gets there. If the outlook for earnings continues to deteriorate the S&P 500 could easily slip below support at the 3,500 level and continue its plunge deeper into correction territory.
The risk for the market this week is almost entirely in the economic data. There are several important reports due out this week including the ADP and NFP reports on employment. The takeaways will be the level of employment and the pace of wage inflation. If either holds true to trends that include steady job gains and mid-single-digit levels of wage inflation the market will not take the news well. Featured: Sell these "safe" blue chips immediately (Ad) 
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Technology | |
In what was a forgettable 2022 for the S&P 500, the information technology sector declined -28%, on par with REITs for the year’s worst economic group.
A surge in interest rates, 40-year high inflation and the Russia-Ukraine conflict, put relentless pressure on technology and other grow... Read the Full Story |
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From Our Partners | | Porter Stansberry nearly canceled the entire project. When he first saw the claimed returns - only one down year in nearly two decades and total gains of almost 2,000% - his immediate reaction was disbelief.
It took a trusted friend's personal vouching for Emmet Savage and a face-to-face trip to Ireland to change his mind. The full documentary, Investigating Project Prophet, is now live. | | Watch the full story and see the verified track record for yourself |
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Consumer Staples | |
Analysts rated shares of Tyson Foods Inc. (NYSE: TSN) a hold, opting for caution throughout 2022. The MarketBeat analyst consensus rating creeped toward a bullish position. We estimate that the stock offers a potential value opportunity at around $60.
Tyson ranks as the fifth largest food and be... Read the Full Story |
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Utilities | |
Diversified energy utility Duke Energy Co. (NYSE: DUK) stock has been resilient throughout 2022 as shares closed out the year virtually flat compared to the (-20%) drop in the S&P 500 (NYSEARCA: SPY). The Company operates three divisions comprised of Electric Utilities and Infrastructure, Gas ... Read the Full Story |
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From Our Partners | | Moderna's stock doubled in a single day after its cancer vaccine hit key Phase 3 goals, and Merck jumped too. But according to a former Steve Cohen fund manager, the next big opportunity is not Moderna or Merck.
It is a different kind of company tied to a technology already backed by Elon Musk, Sam Altman, Jeff Bezos, and Peter Thiel. Nvidia's Jensen Huang says it will have a dramatic impact on daily life, while Anthropic's CEO believes it could unlock a century of medical progress in just ten years.
Nature Magazine estimates its potential value at $367 trillion globally, and it is already rolling out across the United States. | | Click here to learn about this new era of medical technology |
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Consumer Staples | |
Due to the continual interest rate hikes by the Federal Reserve over the last twelve months, it has become increasingly likely that the US will head into a recession, likely sometime within the first quarter of next year.
For this reason, investors are rushing toward defensive safe havens to... Read the Full Story |
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Technology | |
Enterprise data storage solutions provider Pure Storage Inc. (NYSE: PSTG) stock closed out 2022 with a (-16.5%) loss. Much of the selling in the shares was attributed to the weakening demand for storage chips, as warned by DRAM maker Micron Technology Inc. (NASDAQ: MU).
Micron warned of continued... Read the Full Story |
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From Our Partners | | Gold is hitting record highs, but most investors are leaving income on the table. A $15 fund is quietly paying out up to $1,152 a month to regular investors - no mining stocks, no options, no physical metal required.
Chief Income Strategist Tim Plaehn calls it a breakthrough strategy that transforms gold's rally into reliable monthly payouts. The next distribution is just days away. | | Discover the gold income fund before the next payout date |
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Consumer Discretionary | |
The second largest U.S. automaker Ford Motor Company (NYSE: F) stock, took a (-46%) plunge in 2022 as normalization kicked in from the post-pandemic demand shock. Ford lost steam after a strong Q2 2022 EPS beat with strong revenues as its Q3 2022 results fell flat, accompanied by lowered guidance.... Read the Full Story |
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Industrials | |
The market was closed on New Year’s Day (observed), but the analysts are still working hard. A string of positive commentaries has come out, and it looks like it will push names like Nike (NYSE: NKE) and FedEx (NYSE: FDX) higher. The key takeaway from the news is that consensus figures are o... Read the Full Story |
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Communication Services | |
Media and entertainment giant The Walt Disney Company (NYSE: DIS) enters 2023 under new but familiar leadership with the return of Bob Iger as its CEO. Iger was the previous CEO for 15 years until his departure in 2020, moving on to the role as Executive Chairman of the Board. Its newly crowned CE... Read the Full Story |
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Technology | |
As the Mega Millions jackpot climbs back toward $1 billion, a big-time lottery winner could emerge this week.
In a gambling arena of far better odds — the U.S. stock market — investors are hoping $1 trillion market cap companies live up to their ‘mega’ name in the months a... Read the Full Story |
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Consumer Discretionary | |
2022 has been challenging for big tech. While the QQQ NASDAQ Index tracking stock (NYSE: QQQ) is down more than 33% from its post-pandemic peak names like Facebook (cough Meta Platforms (NASDAQ: META)), Amazon (NASDAQ: AMZN) and Salesforce.com (NYSE: CRM) are down more than 50%, and the figure may... Read the Full Story |
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Tuesday's Early Bird Stock Of The Day GE Vernova LLC, an energy business company, generates electricity. It operates under three segments: Power, Wind, and Electrification. The Power segments generates and sells electricity through hydro, gas, nuclear, and steam power. Wind segment engages in the manufacturing and sale of wind turbine blades; and Electrification segment provides grid solutions, power conversion, solar, and storage solutions. The company was incorporated in 2023 and is based in Cambridge, Massachusetts. | | View Today's Stock Pick |
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