Title: Refreshing Perspectives on Breakfast Expectations
** Market Overview **
The S&P 500, Nasdaq, and Dow closed yesterday's session with minimal changes. The S&P 500, at 6,050, saw a slight increase of 0.05%. Meanwhile, the tech-heavy Nasdaq climbed 0.4% to reach 19,481. The Dow witnessed a slight dip, with a loss of 0.17%, ending the day at 44,706. Cryptocurrency Bitcoin saw a marginal increase, going up 0.55% to $95,949.
**1. Fedspeak Indicates Policy Easing **
Federal Reserve members, including Mary Daly and Austan Goolsbee, signaled intent to keep interest rates lower, ahead of Chair Jerome Powell's speech. Daly hinted at continued policy easing but declined to confirm a rate cut vote at the upcoming December meeting. The strong labor market indicated by the JOLTS job openings release, which hit 7.74 million, was positively received by both policy makers and investors.
**2. Chewy Earnings to Take Center Stage **
Quarterly earnings for Chewy, (CHWY 0.30%) are scheduled before the market opens. Investors will focus on growth in mobile app adoption, Autoship subscription program, and an update on the annual Chewy Claus campaign for Q4. Rule Breakers' May 2024 recommendation of Chewy has yielded 84% returns greater than the S&P 500.
S&P 5006,050 (+0.05%)
**3. Amazon's Technological Advancements Aims at Competitor Market Share **
Amazon unveiled new chip clusters and a large language model at their annual re:Invent conference, targeting AI chip market dominance. The new technology could potentially challenge competitors such as Nvidia and Meta, with AI models training at 40% lower cost on Amazon's own chips.
Nasdaq19,481 (+0.4%)
**4. Synopsys to Release Fiscal Q4 Earnings **
Synopsys is set to disclose its fiscal Q4 earnings after market close, following a previous revenue and earnings beat. The company is forecasted to report a 2.5% revenue growth and a 4.1% EPS increase. Expectations for AI demand discuss potential implications on Synopsys' business, with the merger with ANSYS still under review.
Dow44,706 (-0.17%)
**5. Resilience of Malls Surprises Amidst Expectations **
Results from a survey by the National Retail Federation revealed that in-person shoppers increased during the Thanksgiving weekend by 5 million, while online shoppers decreased by 10 million. This surprising trend was highlighted by Dividend Investor's Anthony Schiavone, who pointed to the strength of Simon Property Group.
Bitcoin$95,949 (+0.55%)
Enrichment Insights:
- Predictions on Interest Rates: Bankrate projects three more rate cuts by the Federal Reserve in 2025, bringing the key borrowing benchmark to 3.5-3.75%.
- Chewy Earnings Predictions: For the upcoming Chewy, Inc. (CHWY) quarter, an EPS of $0.20 and revenue of $3.20 billion are expected.
- Synopsys Earnings Performance: Synopsys reported better-than-expected Q4 earnings with revenue growth and EPS increase. However, the stock declined due to a lackluster revenue outlook for fiscal year 2025.
- Mall Shopping Performance: Strip malls are experiencing value growth due to the decline of large box stores and e-commerce, with large investors like Blackstone investing in the sector.
6. Investors Keen on Chewy's Financial Performance
As Chewy's earnings approach, investors are eager to understand the financial health of the company, focusing on key metrics such as mobile app adoption, Autoship subscription growth, and updates on the annual Chewy Claus campaign.
7. Wise Investment Decisions in the Tech Sector
Given the advancements in AI technology, savvy investors may consider investing in technology companies that are leading in this field, such as Amazon, which is aiming to dominate the AI chip market and challenge competitors like Nvidia and Meta.