Premarket: Apple is green

apple premarket green 1-19-22From the Wall Street Journal’s “Stock Futures Waver as Bond Yields Rise” posted early Wednesday:

U.S. stocks were poised for muted opening moves following Tuesday’s selloff, and government-bond yields extended their advance, as investors prepare for central banks globally to raise interest rates…

Investors kept selling government bonds, pushing up yields. Yields on benchmark 10-year Treasury notes rose to 1.893%, compared with 1.866% Tuesday, which was their highest level since January 2020. Yields on interest rate-sensitive two-year notes rose to 1.063% from 1.038% Tuesday…

In Tokyo, Sony Group lost 13% following gaming rival Microsoft’s deal to buy Activision Blizzard, maker of games including World of Warcraft and Call of Duty. The drop was Sony’s biggest since 2008…

Investors have stepped up bets that the Federal Reserve and other major central banks will tighten monetary policy in the coming months, withdrawing a pillar of support for markets. Mounting expectations of interest-rate rises follow evidence that the drivers of inflation have broadened beyond the supply-chain shock that fueled price gains for much of 2021.

Recent volatility is “really all about inflation and how aggressive central banks are going to be to counteract it,” said Brian O’Reilly, head of market strategy at Mediolanum Asset Management, adding that inflation could also curtail economic growth by knocking consumption. ”Certainly, the market is nervous at the moment.”

Charts: Yahoo!Finance sees a neutral commodity channel index pattern. Max pain seems to be stuck at $150 with a call mountain at $170.

apple premarket green 1-19-22

8 Comments

  1. Robert Paul Leitao said:
    Apple has now turned red on the day. In my view, there’s rarely a bad time to acquire a good equity like Apple for the long-term. In the short-term interest rate concerns will influence movement of the share price the way ocean waves move a buoy out at sea. The good news for Apple investors is the company is anchored by strong fundamentals.

    0
    January 19, 2022
  2. Milenko Tanasijevic said:
    Today, as so many times before, is all about Jan weekly / monthly option expiration on Friday in the context of pre-earnings buyback blackout period.

    2
    January 19, 2022

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