.

Color Key: Positive – Neutral – Negative

Laurie’s Abbreviation Index:

‘div’ – dividend 

‘m/m’ – month over month

‘y/y’ – year over year

‘Inven’ – inventories

‘mfg’ – manufacturing 

+/- – plus or minus, positive or negative

Underlined text – higher volume premarket

Market Setup- Pre-730ET 

Global Markets:  USA, Europe, Japan, China, Hong Kong Asia – Negative  equity global set-up

·         Commodities:  Gold, Silver, Oil, natgas, Softs, Industrial Metals 

·         Yields: Yields are higher Currencies:  USA +.14% 

·         News:  USA: Job cuts -8% y/y; UE claims at 8:30 ET; ISM Services 10ET China: Caixin services PMI 54 vs 52  Europe:  Services PMI 50.9 vs 51.1 UK: 25bp rate increase

·         Stocks: Earnings:  CLX +6%, QRVO +6%, MELI +4.9%, U +4.3%, QCOM -9.6%, PYPL -8.5%, HOOD -5.9%, SHOP -2.8%, ETSY -9%, OXY -3% DXC -24%

·          General: Leading: KWEB, VXX, GDX, ICLN  Lagging: SMH, SOXX, XLK, EFA, KRE, XLE, QQQ, XLF, EFA, QQQ, XLK 

·         Overview: USA SPY 448.6 displays support of 448, 445, and 440 and resistance at 450 455 and 460. SPY expected move +/- 2.6 QQQ 372.3 with resistance at 375, 380 and displays support of 370 365. QQQ expected move +/- 5.4.  Global equities are risk-off with debt upgrade. Macro setup is negative with US$ higher and yields higher. Yields spiking post the Fitch downgrade is weighing on indices which are now in negative gamma which means market makers will sell dips and buy rips and volatility will increase. SPY 450, SPX 4500 were key support levels and below creates risk of SPX 4400. AMZN AAPL earnings may be significant market movers given the increase in Nasdaq volatility. SPY and QQQ are currently below the expected move for week which though statistically more likely to close inside open the risk for larger downside moves.  QCOM earnings report is negative for semis and a negative read through for AAPL.

·         Stocks to watch   AMZN, MRNA, CLX, QCOM, AAPL, SHOP, PYPL, ETSY  Spec Names U 

Pre-800ET
Earnings ALB, BOOT, CFLT, CLX, CTSH, DASH, AUPH, BUD, U, W, WBD, QCOM, PYPL, DXC, MGM, OXY, ETSY, HOOD, QS, SDGR 

Indices  KWEB, VXX, GDX, ICLN, EEM, LIT, SMH, SOXX, XLK, EFA, KRE, XLE, QQQ, XLF

S&P500 WBD, MRNA, PARA, DXC, QCOM, ETSY, PYPL, MGM, LUV, OXY, NXPI

IWM EAUPH, FRO, OSTK, STNE, SDGR, TGTX

WSB NIO, HOOD, AFRM, UPST

Movers W, RUN, U, AUPH, MRNA, BUD, FRO, OSTK, BEKE, BILI, PDD, NIO, FUTU, XPEV, JD, WBD, STNE, PARA, DXC, SDGR, QS, QCOM, PYPL, ETSY, HOOD, MGM, LUV, DQ, AZN, LUV, OXY, AFRM, UPST

Trade Idea: COST
COST reported good same store sales and a defensive name.  In my opinion there is a potential long over 557 with target 561 – 566. Expected move into end of week +/-8. Note market is weak so all stocks can be dragged down with it but COST can benefit if there is a rotation.