Premarket: Apple is red

From CNBC's "Stock futures are slightly higher as investors look ahead to Fed meeting minutes" posted early Wednesday:

U.S. stock futures were marginally higher on Wednesday morning, as investors looked ahead to Federal Reserve meeting minutes for clues into the pace of future interest rate hikes...

The Dow Jones Industrial Average rallied nearly 400 points, or about 1.2%, during the regular session Tuesday. The S&P 500 rose 1.36%, closing above the 4,000 level for the first time since September. Meanwhile, the Nasdaq Composite jumped 1.36%.

Investors shrugged off fears of further lockdowns in China after the country reported its first Covid deaths since May. Instead, traders focused on some strong earnings reports, and bet on the likelihood for an easing in monetary policy from the Fed going forward.

“Investor psychology remaining optimistic is driving the rally in this market,” Eugene Profit, CEO at Profit Investments, said Tuesday on CNBC’s “Closing Bell: Overtime.”

“Going into the next Fed meeting, I think the Fed will probably moderate their language a little bit, and I think investors want to remain optimistic, and ignore a lot of headwinds in this market,” he added.

Charts: Yahoo!Finance sees a bullish triple-moving-average-crossover pattern. Max pain moves up $1 to $148 with the same call mountain $160 and put peak at $145.

6 Comments

  1. Robert Paul Leitao said:
    In early trading today the major indexes are modestly higher. Leading the S&P 500 is Deere & Company, moving up over 6% on fourth fiscal quarter results beating expectations. Apple is higher by about $.75 despite reports of major iPhone supply shortages heading into Christmas. Please see today’s Apple 3.0 blog post covering the comments of analyst Dan Ives on Apple’s iPhone supply challenges.

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    November 23, 2022
  2. Robert Paul Leitao said:
    As we enter midday in New York I’m spotlighting Apple supplier Broadcom (AVGO) which is green again today and is up about 15% over the past month while down about 2% over the past 52 weeks. The company is actively pursuing the acquisition of VMware which reported results yesterday. At midday Broadcom’s shares are trading up $2.67 at $532.72.

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    November 23, 2022
  3. Steven Philips said:
    I think the Fed will probably do another.75 before starting any moderation. I do think there will be a significant jump in AAPL as soon as they do. Ten points anyway. But this is all just gut feeling.

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    November 23, 2022
  4. Robert Paul Leitao said:
    Apple closed at $151.07, up 0.59% on pace with the S&P 500. AVGO, highlighted earlier today, closed up $3.59 at $533.64. Concerns and the accompanying “market noise” over iPhone supply disruptions into the holidays have created some downward pressure for Apple’s share price. Again, please today’s Apple 3.0 blog post covering the comments of Dan Ives on the supply challenges. In general, the tech sector has moved out of favor for now as interest rates rise and several big name tech companies have announced layoffs to rebalance staffing needs following the pandemic and changes in near-term business prospects. Apple isn’t Meta, Amazon, Netflix or Alphabet. It’s think it’s best for the FAANG grouping, and references to it, to fade into the pages of market history.

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    November 23, 2022

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