🇺🇸 The US votes in midterm congressional elections today.
▪️Futures are mixed: Dow -0.6%, Nasdaq-100 +0.4%.
The index entered its third correction of the year yesterday. Deutsche Bank notes that the S&P 500 rose in the fourth quarter in 21 of the 23 midterm election years, by an average of 7%.
▪️Apple (AAPL) -4% despite reporting better-than-expected results. New CEO John Ternus warned of margin pressure from rising memory costs amid the AI boom; services are also slowing. Fundstrat recommends buying the dip, with a target of $368 in early 2027.
▪️Palantir (PLTR) -6% despite revenue growth of 96% and a raised forecast. New contracts fell to $2.9 billion from $3.4 billion, and the market doubts that this pace will justify a valuation of over $400 billion.
▪️Apollo (APO) posted a $1.06 billion loss due to investment losses in its pension unit.
Fabrinet (FN) +10% on data center demand,
Lattice Semiconductor (LSCC) +9% on a strong forecast,
Baird raised its price target to $195.
AMD (AMD) is rising ahead of its after-hours earnings report.
Marathon Petroleum (MPC) is up as CVR Energy (CVI) is close to buying its refinery for over $4 billion.
Lufthansa (LHA) and Philips (PHIA) are rising after strong quarters.
🛢 Brent is holding near $105 after yesterday’s 7.6% “discount” and the “secret” US strike on Iran. ING believes the risk of escalation has not yet passed.
▪️The 10-year yield is up 3 bps to 4.94%.
▪️Futures are mixed: Dow -0.6%, Nasdaq-100 +0.4%.
The index entered its third correction of the year yesterday. Deutsche Bank notes that the S&P 500 rose in the fourth quarter in 21 of the 23 midterm election years, by an average of 7%.
▪️Apple (AAPL) -4% despite reporting better-than-expected results. New CEO John Ternus warned of margin pressure from rising memory costs amid the AI boom; services are also slowing. Fundstrat recommends buying the dip, with a target of $368 in early 2027.
▪️Palantir (PLTR) -6% despite revenue growth of 96% and a raised forecast. New contracts fell to $2.9 billion from $3.4 billion, and the market doubts that this pace will justify a valuation of over $400 billion.
▪️Apollo (APO) posted a $1.06 billion loss due to investment losses in its pension unit.
Fabrinet (FN) +10% on data center demand,
Lattice Semiconductor (LSCC) +9% on a strong forecast,
Baird raised its price target to $195.
AMD (AMD) is rising ahead of its after-hours earnings report.
Marathon Petroleum (MPC) is up as CVR Energy (CVI) is close to buying its refinery for over $4 billion.
Lufthansa (LHA) and Philips (PHIA) are rising after strong quarters.
🛢 Brent is holding near $105 after yesterday’s 7.6% “discount” and the “secret” US strike on Iran. ING believes the risk of escalation has not yet passed.
▪️The 10-year yield is up 3 bps to 4.94%.
