Edition #34- Monday, July 10th 2023
Hi Oak Investors,
Welcome to another recap on the week’s action and events!
At Oak Investing, I look to provide value for all levels of investor, whether it’s pulling together the week’s best articles, insights and breaking news, or clarifying new concepts for beginners.
I hope you enjoy this week’s recap, please get in touch if there’s anything more you’d like to see in The Acorn. If you like what you see, please like, subscribe and share to keep growing the Oak Investor community! 🌳
Thanks,
Gordon
Summary 📝
Last week saw a decline in the market as employment data showed the US economy was in a surprisingly good shape. As always, this “good news is bad news” approach means the Fed is more likely to hike interest rates at their upcoming meeting, but there’s hope that they’ll be done soon with their fight against inflation.
The market dropped 1% after Thursday’s surprisingly high jobs numbers. 497,000 jobs were added, exceeding the expected amount by over 200,000 jobs!
The Fear and Greed index remained in the Extreme Greed category at 78/100.
The Volatility Index spiked up to 15 following this surprise upside. This number is still fairly low in relative terms, so don’t get too carried away with buying any dips!
Quiz Question of the Week ❓❓
Answer at the bottom!
This Week in History 📰
Provided by The History Place
July 10, 1991 - Boris Yeltsin took the oath of office, becoming the first popularly elected president in Russia's thousand-year history.
July 14, 1789 - The fall of the Bastille occurred at the beginning of the French Revolution.
July 16, 1945 - The experimental Atomic bomb "Fat Boy" was set off at 5:30 a.m. in the desert of New Mexico desert, creating a mushroom cloud rising 41,000 ft.
Major Events This Week 🔬
Economic Events (EST)
Provided by Unusual Whales
Monday
10:00 am Wholesale inventories
10:00 am Fed Vice Chair Barr speaks
11:00 am San Francisco Fed President Daly speaks
11:00 am Cleveland Fed President Mester speaks
3:00 pm Consumer credit
Tuesday
6:00 am NFIB optimism index
Wednesday
8:30 am Consumer price index
8:30 am Core CPI
8:30 am CPI year over year
8:30 am Core CPI year over year
8:30 am Richmond Fed President Barkin speaks
1:00 pm Atlanta Fed President Bostic speaks
2:00 pm Fed Beige Book
Thursday
8:30 am Initial jobless claims
8:30 am Producer price index
8:30 am Core PPI
8:30 am PPI year over year
8:30 am Core PPI year over year
2:00 pm Federal budget
6:45 pm Fed Governor Waller speaks
Friday
8:30 am Import price index
8:30 am Import price index minus fuel
10:00 am Consumer Sentiment
Incoming Earnings Reports
Provided by Earnings Whispers
Notable Upcoming Earnings
Provided by Unusual Whales
Monday
WDFC (afterhours) Implied Move: +/- 18.7% Sector: Basic Materials
Thursday
DAL (premarket) Implied Move: +/- 3.8% Sector: Industrials
PEP (premarket) Implied Move: +/- 2.0% Sector: Consumer Defensive
CTAS (premarket) Implied Move: +/- 3.3% Sector: Industrials
Friday
C (premarket) Implied Move: +/- 3.3% Sector: Financials Services
WFC (premarket) Implied Move: +/- 3.2% Sector: Financial Services
JPM (premarket) Implied Move: +/- 2.6% Sector: Financials Services
UNH (premarket) Implied Move: +/- 3.1% Sector: Healthcare
BLK (premarket) Implied Move: +/- 3.2% Sector: Financial Services
Post of the Week 💌
✅ So many people never start investing, thinking that there might be a better time in the future, or waiting for the market to recover. 🤯
✅ The reality is, the best time to start was probably a while ago, but today will do just fine! Even if you don’t know a thing, you can try practice accounts, start with a tiny amount, or reach out for help. 🥳
If I can get one person to invest with this post, I’ll consider it a huge success, feel free to reach out! 📈
What’s Moving Markets? 🏃♂️
Three stories I’m watching carefully this week. Provided by CNBC
This is ‘the end of the beginning’ of the battle against inflation, economist says
U.S. inflation cooled in May to an annual 4%, its lowest annual rate in more than two years, but core inflation rose by 0.4% month-on-month and 5.3% year-on-year.
“The central banks need to trigger a recession to force unemployment to pick up and create enough demand destruction, but we’re not there yet,” top Societe Generale economist Kokou Agbo-Bloua said.
Nathan Thooft, co-head of global asset allocation at Manulife Asset Management, said that a recession had been “postponed rather than canceled.”
Twitter traffic is ‘tanking’ as Meta’s Threads hits 100 million users
User traffic on Twitter has slowed since the launch of Meta’s text-based platform Threads, which has already surpassed 100 million sign-ups since its debut last week.
Threads is being touted by Meta executives as a more positive “public square” for communities “that never really embraced Twitter.”
Matthew Prince, CEO of Cloudflare, shared a screenshot to Twitter Sunday showing that traffic on the platform was “tanking.”
Goldman Sachs says India will overtake the U.S. to become the world’s second-largest economy by 2075
India is poised to become the world’s second largest economy by 2075, Goldman Sachs forecasts.
On top of a burgeoning population, driving the forecast is the country’s progress in innovation and technology, higher capital investment and a rising worker productivity.
Chart of the Week 📈
Provided by Chart of the Day
The June jobs report showed signs that the U.S. labor market may be losing steam after surprisingly strong growth earlier this year, but some categories still saw big jumps in employment last month.
The biggest area for growth was health care and social assistance, with 65,200 jobs added, according to data from the Labor Department. That category expanded by more than 70,000 new jobs when education is included, as some economists do.
The other star category was government, which added 60,000 jobs. That category has seen growth accelerate this year but is still below its pre-pandemic employment level, according to the Labor Department.
Investor’s Toolkit ⚒️
Unusual Whales- Options Flow and Analysis 🛠
5% off with code OAK2022
SimplyWallSt- Stock Analysis 🛠
5% Discount with code OAK
Want to Work with Me? 📈
If you’d like to take your investing to the next level, there are 3 ways I can help:
Pick up a copy of The Investor’s Blueprint, and learn at your own pace 📚
Book a free discovery call with me, and discuss how you can take a step closer to financial freedom 🏆
Follow me on social media, for daily financial education and market insights. 👏
Follow for More 🎉
Quiz Question of the Week- Answer ❓
Answer- D Over 100 million and counting!
Source-Quiver Quant
Source- BBC
Thanks for reading, have a great day!
Gordon
Disclosure ✅
This newsletter provides general information only. Before making any financial or investment decisions, please consult a financial planner to take into account your personal investment objectives, financial situation and individual needs.