Wake Up Wall Street (SPY) (QQQ): CPI hurdle, midterm elections and crypto crash


Here is what you need to know on Wednesday, November 9:

Equity markets are stalling in the latest rally as big hurdles await this latest equity rally. Elon Musk hits Tesla (TSLA) with another chunk sold, and Meta Platforms (META) dumping about 11,000 jobs. Disney (DIS) also misses as it seems Disney+ is paying for subscribers, which is ultimately hurting earnings. The question is how much is it worth and how much can it afford to pay for a share of the streaming market. Disney is down about 7% in the premarket.

Over in the crypto space, things are even worse with the fallout from the FTX debacle continuing. Bitcoin set a new yearly low but so far is hanging on for its life to the $17,000 handle. Let's see how this plays out for risk assets, but the correlation between Bitcoin and Nasdaq, for example, has weakened in recent weeks, so contagion may not spread.

Gold has stabilized after recent rallies and is at $1,707 now. Oil prices are lower. On Tuesday we got a surprising build in crude inventories from API data and more talk of covid outbreaks in China are hurting demand. Oil is down to $87.20 now. The Dollar Index is higher at 110, but all is calm before tomorrow's CPI data. 

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European markets are lower Eurostoxx and FTSE are flat but the Dax is -0.6%.

US futures are also lower Dow, Nasdaq, and S&P are all down -0.4%.

Wall Street top news

Democrats appear to do better than expected as Trump-backed candidates fare less well than predictions.

Republicans should win the House, but Senate looks like it stays with Democrats.

IEA says OPEC+ may need to rethink supply cuts.

Disney (DIS) misses as streaming costs build up.

Meta Platforms (META) cutting 11k jobs.

Tesla (TSLA): Elon Musk sells more stock.

Canopy Growth (CGC) misses on EPS, but revenue is ahead of forecasts.

AMC Entertainment (AMC) earnings show cash burn and lower attendance despite earnings beating estimates.

Roblox (RBLX) down sharply on earnings miss.

DR Horton's (DHI) profit rises, but it misses on EPS and revenue.

Lucid (LCID) says orders were lower in Q3, shares fall 7%.

Novavax (NVAX) cuts revenue forecasts again.

Occidental Petroleum (OXY): EPS is in line with revenue beating forecasts.

FedEx (FDX) says package volumes are lower than forecast.

Taiwan Semiconductor (TSM) to build a new plant in Arizona.

Upgrades and downgrades

WSJ.com

Economic releases

 

 

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