Stocks closed higher again on Tuesday, with the S&P adding .52% as yields fell. Asia markets closed in the green overnight while Europe indexes are mostly higher this morning. U.S. futures are pointing to a higher open as I write, the Dollar and Gold are higher while Yields and Oil are lower.
Markets found a bid again yesterday despite the geopolitical issues. Still feels like a relief rally/bounce more than anything else to me. This morning PPI numbers came in a tad higher than expectations. Markets seems to be shaking it off for now. This just adds more importance to the CPI numbers tomorrow. If those come in hotter than expected, could make for a rough session. The Fed minutes also come out this afternoon. We have had 3 strong session in a row after that $420 handle held up on the SPY. CPI data comes in flat or cooler than expected tomorrow and Bank earnings on Friday surprise, maybe the market can remain bid. Still in the camp that more downside is coming:
WW continued its ascent yesterday, trading up another 11%. Think it is a combination of many factors, including Oprahs comments this weekend. As I have been saying, think folks out there still look at WW as just a diet plan company with meetings. Instead, they will be the gateway for weight loss drugs, support, community and much, much more. I was able to close some of my Oct and Jan strikes for over 100% and added some Nov calls. Will be looking for some more 2024 strikes today. NVO announced it ended its FLOW trial early due to efficacy after the close yesterday. Huge news as it likely shows GLP-1 can also reduce kidney failure... Dialysis stocks are falling this morning. Just another notch in the GLP-1 tool belt. Think $15+ on $WW in the coming week or two:
VKTX will be presenting its data next week(Oct 17th) on its Phase 1 dual-agonist study. Looks like they will be providing new data on the impacts on fatty liver and plasma lipids... Fatty liver = NASH. Still waiting on Oral data which should be out any day now. Not adding anything more on VKTX just yet:
Cowen initialed AZO with an outperform yesterday. I used the morning move higher to finally add puts. I think it comes back into the $2400s in the coming days. Will have a stop around $2620:
SHW closed slightly higher yesterday despite the market rally. Should be trading below $250 in the next session or two:
Another green session for DPZ. Will likely just hold the rest of my freebie puts into earnings tomorrow morning with the risk they will be bidless on any beat/raise. I think a miss and it trade south of $320:
MCD and ULTA closed green yesterday. Will need some selling here for my puts to come back to life.
Was eyeing ROKU calls but passed. The stock closed $2.50 off its highs but the chart does look like a potential bottom is in. Will be watching again for some possible spec calls today if the market rallies:
And here is what I am watching today: WW, VKTX, LLY, NVO, TWLO, ROKU, NFLX, AZO, ULTA, ORLY, LLY, NOW, MDB, SITE, MELI, ADBE, AVGO, WIX, ALGN, SPOT, OKTA,LRCX, CMG, QQQ, BLK and TEAM.
Let's have a great day!
-JB