Premarket: Apple is green

From Reuter's "Futures edge higher ahead of producer prices data" posted early Friday:

U.S. stock index futures ticked up on Friday ahead of monthly producer prices data that could offer more clues on how long the Federal Reserve will keep raising interest rates to tame decades-high inflation.

Wall Street's main indexes have come under pressure in December after two consecutive months of gains on fears of a potential recession fueled by the extended U.S. monetary policy tightening as well as downbeat comments from top executives.

The Labor Department's report, at 8:30 a.m. ET, is expected to show producer prices edged higher to 7.2% last month after an 8% rise in October.

Core producer prices, which exclude volatile food and energy components, are expected to show a 5.9% rise after a 6.7% growth in October.

"The big question is whether this trend can be maintained against a U.S. central bank that doesn't want to be seen as going soft on inflation, and services and wages data that points to a U.S. economy that is slightly more resilient than originally thought," said Michael Hewson, chief market analyst at CMC Markets.

Charts: Yahoo!Finance sees a bearish short-term KST pattern. Max pain moves down $1 to $144 with the same call mountain at $150 and a put peak at $140.

8 Comments

  1. Robert Paul Leitao said:
    Apple supplier Broadcom (AVGO) is up in early trading following the release of quarterly and fiscal year results. After rising 2.43% on Thursday, the shares are higher by 3.09% or $16.43 to $547.51. The company also announced a 12% increase in its quarterly dividend to $4.60 per share. The dividend is payable on December 30th to shareholders of record on December 20th.

    1
    December 9, 2022
    • Robert Paul Leitao said:
      Broadcom (AVGO) held much of the early morning gains into the close, finishing at $544.72, up $13.64 or 2.57%. The shares are currently up $1.11 in the AH session.

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      December 9, 2022
  2. Robert Paul Leitao said:
    In the first half-hour of trading, Apple is off $.70 at $141.95. Please see today’s Apple 3.0 blog for PED’s coverage of the iPhone’s sales performance in Southeast Asia and interesting insights on China’s change in Covid-19 policies to support Apple.

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    December 9, 2022
    • Robert Paul Leitao said:
      In late morning trading, Apple has moved from red to green and is currently higher by $1.64 at $144.29. Today’s PPI print, coming in hotter than expected, is keeping the three major indexes close to the line. Attention now turns to the release of the more widely followed CPI or Consumer Price Index, which will be released next Tuesday, and the FOMC meeting next week in which the Fed is expected to increase the fed funds rate by an additional 50 basis points.

      1
      December 9, 2022
      • Robert Paul Leitao said:
        Despite strength earlier in the day, Apple closed down $0.49 at $142.16. The broad market moved lower in the last hour of Friday trading. All three major indexes were in the red at the end of the session.

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        December 9, 2022
  3. Robert Paul Leitao said:
    For those following the streaming wars, Netflix is up nearly 5% at this time following an upgrade by Wells Fargo. Paramount Global is also rising, up over 4.5%. The two enterprises are currently the top performers among the S&P 500 components in afternoon trading.

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    December 9, 2022
  4. John Konopka said:
    With 20 minutes to go volume is quite low at about 53M. Maybe many people are sitting on the sidelines waiting for things to sort themselves out?

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    December 9, 2022

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