📊 Copiers Weekly Portfolio Update 🚀 (Week 46: Nov 13th – Nov 19th)
📈 Market Overview:
The major stock market indexes eked out gains on Friday, securing robust gains for a third consecutive week as Treasury yields continued to fall. Surprisingly tame U.S. inflation data fueled optimism among investors, signaling that the Federal Reserve’s series of interest rate hikes might be in the rearview mirror. The yield on the benchmark 10-year Treasury note plummeted 19 basis points for the week to 4.44%. In the stock market, the Dow Jones index advanced 1.9%, the S&P 500 rose 2.2%, Santiago1000 surged +2.87%, and the Nasdaq Composite climbed 2.4%. Over the past three weeks, the Dow gained 7.8%, the S&P surged 9.6%, and the Nasdaq jumped 11.7%. The 10-year Treasury yield ended the week at 4.44%, while the 2-year yield closed at 4.90%.
🎰 New Sportsbook:
In the competitive landscape of online sports betting, ESPN BET, rivaling FanDuel and DraftKings, went live in 17 U.S. states ahead of Thanksgiving week’s busy slate of college and pro games. Anticipating significant integration between ESPN BET, Penn Entertainment’s rebranded sportsbook ( $PENN), and ESPN’s media content, the launch coincides with Disney’s potential minority stake sale in ESPN. Analyst Juxtaposed Ideas now cautiously leans bullish on Penn, foreseeing a potential reversal in its prospects due to ESPN BET.
Investors raised their champagne glasses to celebrate the latest CPI report, which was a “clear shock to the consensus” as October’s inflation rate fell more than expected. Stocks soared, and Treasury yields tumbled after headline inflation remained flat month-on-month. Lawrence Fuller, Investing Group Leader and author of The Portfolio Architect, emphasized the report’s support for his year-long assertion that the rate of inflation would fall as fast as it rose. The market’s celebration also witnessed Nasdaq exiting correction territory, with the “Magnificent Seven” adding over $200 billion to their market caps.
🛍️ Retail Radar:
Economic data continued to flow in, with the retail sales report inching down 0.1% M/M, surpassing the consensus for a 0.3% decline.
🚫 Shutdown Averted:
Later in the week, President Biden signed a short-term government funding bill, avoiding a federal shutdown and postponing the federal budget debate to next year. The bill maintains government spending at current levels for two more months, providing lawmakers time to negotiate appropriations bills. The measure excluded the $106 billion requested for Israel and Ukraine aid, humanitarian funding for Palestinians, and other supplemental requests, which Congress is expected to address in December.
Dow: +1.9% to 34,947.
S&P 500: +2.2% to 4,514.
Nasdaq: +2.4% to 14,125.
Russell 2000: +5.2% to 1,794.
CBOE Volatility Index: -2.6% to 13.8.
🌐 World Indices:
London: +2% to 7,504.
France: +2.7% to 7,234.
Germany: +4.5% to 15,919.
Japan: +3.1% to 33,585.
China: +0.5% to 3,054.
India: +1.4% to 65,795.
🛢️ Commodities and Bonds:
Crude Oil WTI: -1.7% to $75.86/bbl.
Gold: +2.4% to $1,983.5/oz.
Natural Gas: -2.3% to 2.962.
Ten-Year Bond Yield: -0.2 bps to 4.439.
💱 Forex and Cryptos:
#Ethereum : -5.9%.
📊 Top Portfolio Performers (WEEK):
$ENPH (Enphase Energy Inc.): +19.08%.
$CROX (Crocs Inc): +14.42%.
$TSLA (Tesla Motors, Inc.): +9.15%.
$PBR: +5.32%. $FEZ: +5.00%.
💡 What’s Ahead Next Week:
The holiday-shortened week will feature a flurry of earnings reports just before Thanksgiving. Nvidia (NVDA) will take the spotlight, alongside other notable companies like Lowe’s (LOW), Analog Devices (ADI), Autodesk (ADSK), Best Buy (BBY), Baidu (BIDU), Deere (DE), and DICK’s Sporting Goods (DKS). The economic calendar will be dominated by global flash PMIs for November, the durable goods order report, and the release of minutes from the FOMC meeting by the Federal Reserve, along with the European Central Bank’s accounting of its last meeting.
📅 Earnings Spotlight:
Monday, November 20: Zoom Video (NASDAQ: $ZM) and BellRing Brands ( $BRBR).
Tuesday, November 21: $NVDA (NVIDIA Corporation) Lowe’s ( $LOW), Medtronic ( $MDT), Analog Devices ( $ADI), Autodesk ( $ADSK), Best Buy ( $BBY), Baidu ( $BIDU), DICK’s Sporting Goods ( $DKS), Burlington Stores ( $BURL), HP ( $HPQ), Nordstrom ( $JWN), and Jack in the Box ( $JACK). Wednesday, November 22: Deere ( $DE).
📈 Nvidia Earnings Preview:
$NVDA is set to report Q3 earnings on November 21 with high expectations. The tech giant is anticipated to announce revenue of $15.99B for the quarter and EPS of $3.37. Key topics include the impact of China export controls, the product roadmap, updates on the data center supply chain, hyperscale commentary, and insights into AI services revenue. Nvidia enters earnings day on a hot streak, with shares already up 240% year-to-date. Options trading implies a potential 8% swing in share price for Nvidia post-earnings.
Until next time,