Morning Reads

Morning Reads




Real Quick

  • S&P 500 futures are 1.2% below fair value; the Nasdaq 100 futures are 1.2% below fair value; and the DJIA futures are 1.1% below fair value
  • Key factors driving the futures market:
    • Rapid increase in Treasury yields
    • Worries about a hard landing
    • Steep drop in British pound (GBP/USD -1.6% to 1.1077) after UK government announces a fiscal stimulus plan (tax cuts and investment incentives) that will require deficit financing at a time of rising interest rates
    • Goldman Sachs cuts S&P 500 year-end price target to 3,600 from 4,300; sees downside to 3,150 in the event of a hard landing
  • Flash manufacturing and services PMIs for eurozone, Germany, and UK mostly reflect contraction (sub-50 readings) and an acceleration in the pace of contraction
  • Costco (COST) down 2.8% despite reporting better-than-expected fiscal Q4 earnings results on 10.4% increase in adjusted comparable store sales
  • Storm developing in Caribbean could form Hurricane Hermine and impact the Gulf of Mexico coast next week, according to Washington Post
  • Hong Kong ends quarantine policy for travelers, according to The Wall Street Journal
  • Brokerage research calls of note:
    • Upgrades: APO, AVA, DPZ, FUBO, SPRO
    • Downgrades: ALLY, DLR, EQIX, SAFE, STE
  • WTI crude futures -3.6% to $80.47/bbl; nat gas futures +1.1% to $7.17/mmbtu; copper futures -3.8% to $3.34/lb
  • 2-yr note yield +9 bps to 4.23% (hit 4.26% overnight) and 10-yr note yield +6 bps to 3.77% (hit 3.82% overnight)
  • Today's economic data: Preliminary September IHS Markit Manufacturing and Services PMIs at 9:45 a.m. ET

Known to most as Uranium Pinto Beans, Jason has more than 15 years under his belt of trading stocks, options and currencies. His expertise primarily lies in chart analysis, and he has a strong eye for undervalued stock. Because he’s got the ability to identify great risk/reward trades he usually enjoys taking the path less traveled and reaping the benefits from the adventure.

He is a co-founder of Option Millionaires, and he is best known for his weekly webinars with Scott, as well as his high level training webinars and charts found in the forums.

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