This article first appeared in the Morning Brief. Get the Morning Brief sent directly to your inbox every Monday to Friday by 6:30 a.m. ET. Subscribe
Monday, September 12, 2022
Today's newsletter is by Brian Sozzi, an editor-at-large and anchor at Yahoo Finance. Follow Sozzi on Twitter @BrianSozzi and on LinkedIn.
It's September conference season on Wall Street!
Last week, I was camped out at the 29th annual Goldman Sachs retail conference in New York City.
We had some very insightful chats with Topgolf Callaway Brands CEO Chip Brewer (he signed off on the Topgolf acquisition), Shake Shack CEO Randy Garutti and CFO Katherine Fogertey (a former long-time Goldman analyst), Neiman Marcus Group CEO Geoffroy van Raemdonck (nice turnaround unfolding at Neiman), and many others.
Goldman's head retail analyst Kate McShane also weighed in on why she has a $2 price target on meme crowd fav Bed Bath & Beyond.
This week, I'll be stationed in San Francisco on Monday and Tuesday at the Goldman Sachs tech + media conference. Our coverage kicks off live on Yahoo Finance at 9:00 a.m. ET.
And while making the rounds at Goldman's conferences, I've been paying careful attention to similar events being held by Citi and Deutsche Bank. Always lots of learnings for investors to kick off September as summer comes to an end.
Here are 12 things that have surfaced in the last week I think are worth noting:
Not one executive I talked is seeing seeing trends in their business that hint the U.S. economy will be in a recession in the first quarter of 2023. That said, no one is speaking with a tone of an economy poised to crank into a much stronger gear.
Customer demand hasn't bounced back materially from the slowdowns seen at the end of the second quarter. The caution on the part of CFOs on the health of the economy is sticking around, and they continue to look for ways to cut costs.
There is palpable fear by multinationals on Europe entering a prolonged economic downturn at the hands of surging energy costs.
Fresh China lockdowns are weighing on demand in the country, particularly for multinational retailers.
Executives agree we haven't begun to see the impact of the Federal Reserve's rate hikes. There is a general distrust that the Fed can engineer a soft economic landing.
The PC correction has further to go — Intel, for example, issued a light profit warning for the current quarter at a Citi conference.
Intel's warning at Citi also suggested continued consumer spending sluggishness.
Yes, supply chains are improving.
No, inflationary pressures aren't easing a lot.
Price increases continue to be pushed through to customers.
The next six months could see the resumption of headline-making deals as companies look to get out in front of higher financing costs. This applies mostly to the tech sector, as valuations have plunged across the sector for attractive businesses.
If you are inclined to trade retail into the holidays, stick with ultra-high end plays. I was astonished to hear the strength of the spending trends at luxury players Neiman Marcus and Canada Goose at the Goldman conference.
I encourage you all to visit the investor relations pages of companies you are invested in to see if they are presenting at a conference this month. It's important you listen into the webcast.
Have a great week of wealth building! And remember: Sharks don't swim backwards.
No notable reports scheduled for release.
Oracle (ORCL)
Everything to know this week in markets
What ETH holders need to know coming out of the Merge
Shipping rates plunge as experts say 'unprecedented' boom has peaked
Click here for the latest stock market news and in-depth analysis, including events that move stocks
Read the latest financial and business news from Yahoo Finance
Download the Yahoo Finance app for Apple or Android
Follow Yahoo Finance on Twitter, Facebook, Instagram, Flipboard, LinkedIn, and YouTube
Related Quotes
The Education Department estimates about 27 million borrowers qualify to receive up to $20,000 in relief.
Everyone knows that you should buy low and sell high if you want to turn a profit in the markets. The trick is finding the bottom, to know when to buy. Jim Cramer, the well-known host of CNBC’s ‘Mad Money’ program, sees the market bottom hitting in the next couple of weeks, making the end of October the right time for investors to buy in. Referring to some recent predictions by market technician Larry Williams, Cramer says, “The bear market is more or less… toast and, even if the current rally s
Tesla stock is forming a bearish head-and-shoulders pattern. And with CEO Elon Musk likely selling more stock to fund his Twitter purchase, shares of the electric-vehicle giant might have further to fall.
Seana Smith checks out several stocks and sectors trending in the after-hours trading session, including the semiconductor industry following President Biden's export restrictions on China.
Insigneo CIO Ahmed Riesgo and Todd Sohn, Managing Director of Technical Strategy at Strategas, a Baird company, join Yahoo Finance Live to discuss the market outlook amid the Fed's interest rate hikes and recent employment data, and also talk about trading in volatile or recessionary periods.
Here are the markets that will be open on Columbus Day, also recognized as Indigenous Peoples' Day, on Monday, Oct. 10.
Investors listen to Warren Buffett because of his long-term ability to beat the S&P 500. Between 1965 and 2021, a 56-year timeframe, his Berkshire Hathaway portfolio has logged average returns of 20.1%. Berkshire has also beat the indexes in 2022, with Berkshire stock falling 6% since January versus almost 20% for the S&P 500.
Even if the economy falls into a deep recession, these cash-generating companies are going to be fine.
The stock is down more than 12% so far this year and has a 52-week low of $18.89 and a 52-week high of $41.56. The stock slid when a federal judge pushed back a hearing until Jan. 5 regarding a lawsuit opposing the company's Thacker Pass lithium mine in Humboldt County in Nevada. Opponents of the mine are trying to get the court to overturn the mine's approval, set by then-President Donald Trump in January 2021.
Shares of tech giant Microsoft (NASDAQ: MSFT) fell hard today, down some 4.5% as of 12:30 p.m. ET. Microsoft is considered somewhat defensive by tech standards, so it was rare to see the stock down so much in a day. Last night, AMD pre-announced revenue for its September quarter, which came in far below expectations.
NIO Inc. stock is trending on the Yahoo Finance Platform. Here is a visualization of $NIO performance over time, how that performance compares to the wider industry, and analyst projections for the current quarter.Check out the ticker page here.
Yahoo Finance Live anchors discuss the decline in stock for AMD after issuing preliminary third-quarter results.
Many S&P 500 investors are convinced a recession is on the way. And if it is, you'll want to know which stocks to avoid.
Aehr Test Systems (NASDAQ: AEHR), a once-obscure stock that has become noticed by many investors thanks to its connection with the electric vehicle (EV) industry, had quite the trading session on Friday.
Investors are facing a storm of headwinds right now – a genuine bear market, stubbornly high inflation, rising interest rates, and increased fears of a recession in the near-term. However, Mary Callahan Erdoes, CEO of JPMorgan's Asset & Wealth Management division, advises investors to stay invested. "It's actually the easiest time in the world to find alpha — there is alpha everywhere… It's everywhere, because we are in such a state of change… While all the world is focused on all the black
Since the stock market bottom during the Great Recession in 2009, tech growth stocks were the driving force on Wall Street. Historically low lending rates combined with the Federal Reserve's quantitative easing program created a plentiful pool of cheap capital that growth-oriented businesses used to fuel expansion. While a lot of the wreckage is due to the collapse in speculative plays, many otherwise solid tech companies whose runway for growth remains undiminished have also been pulled down.
Bank of America Senior Semiconductor Analyst Vivek Arya assesses the outlook of semiconductor stocks amid waning demand and export restrictions on China
Semiconductor maker Advanced Micro Devices issued a third-quarter revenue warning Thursday after the close of trading. Let's check on the charts and indicators again. Our last review on September 27 was not encouraging.
Meta Platforms, Inc. stock is trending on the Yahoo Finance Platform. Here is a visualization of $META performance over time, how that performance compares to the wider industry, and analyst projections for the current quarter.Check out the ticker page here.
The chip sector melted down Friday for its third 6% one-day drop of the year after U.S. regulators moved to pump the brakes on China's military ambitions as it issued wider restrictions on semiconductor and AI technology that can be sold to the world's second-largest economy.