Weekly Buzz: Strong jobs data dragged down Q1 rate cut odds
Happy Friday, mooers! Welcome back to Weekly Buzz, where we review the news, performance and community sentiment of the selected buzzing stocks on moomoo platform based on search and message volumes of this week! Answer the Weekly Topic question for a chance to win an award next week!
Make Your Choice
Weekly Buzz: Strong jobs data dragged down Q1 rate cut odds
Wall Street's bulls wavered in the first trading week of 2024 as some investors apparently locked in gains from the meteoric rise of the "Magnificent Seven" stocks last year. Signs of continued resilience in the U.S. labor market are adding to worries that the Federal Reserve won't be as aggressive in cutting interest rates as some were hoping. While Fed officials penciled in three 25-basis point reductions in rates for 2024 during their last meeting in December, traders were pricing in a 40% chance of seven cuts as of the end of Dec. 29, as per the CME's FedWatch Tool. But by Friday, those odds had fallen to 17% following news that the U.S. unemployment rate held steady at 3.7% in December, while nonfarm payrolls rose faster than expected.
All in, stocks fell for the week, in part fueled by two analyst downgrades on Apple -- Wall Street's most valuable company -- following the tech giant's lofty gains in 2023. Apple, the most heavily weighted stock in both the S&P 500 and the Nasdaq Composite, fell 5.9% this week -- pulling down both indices.
Let's dive into the top buzzing stocks in the community this week:
In recent news: Tesla is recalling more than 1.6 million vehicles in China over software issues, its biggest recall in the world's largest electric vehicle (EV) market, involving potentially all vehicles delivered.
@ImSerious: People blindly investing on Musk brain rather his Tesla. The way he is entering in new business, worries me a lot.
In recent news: Goldman Sachs initiated coverage of Nio with a Neutral rating, saying the Chinese electric vehicle (EV) maker's growth momentum is likely to remain soft.
@Teck Wang Pang: CNY coming and many are looking for a new car, Nio cut short of delivery date, good plan.
In recent news: Most major digital assets fell on Friday with bitcoin (BTC-USD) hovering above $43,000.
@nicsohsayso: This kinda of stock don't hold more than 1 day. It's the kind where you day trade on a 5-min candlestick chart and flip within minutes due to its volatility
In recent news: AMC hit another record low close Friday, ending the session at $5.17 after falling 2.5%. The stock is now on a five-day losing streak, its longest since a five-day streak that ended on Nov. 13, 2023.
@Piggy Bank Trader: Assuming the avg movie ticket price is around 9.50 in the US, even after a merge AND 10:1 reverse split, the stock value is less than a movie ticket.
In recent news: Piper Sandler & Co.'s Harsh Kumar cut his Apple rating on Thursday, citing a weak macro environment in China that will dampen demand for iPhones.
@Cow Moo-ney: This is probably something wasn’t expected by many investors as they thought that 2023’s rally would have continued till first week of the year, at least.
In recent news: NVIDIA's CEO Jensen Huang has been titled the best "CEO" of 2023, by the British publication The Economist, citing the tremendous success in AI.
@72913498: Come on lets shake off the new year hangover, time to rally back to 500.
In recent news: Shares of Advanced Micro Devices were surging last month after investors responded positively to the launch of its new Instinct MI300 accelerators designed to run advanced AI models. The launch had been long anticipated by investors.
@BrandonnW: AMD's Ryzen 8000-series APUs are looking pretty darn strong.
In recent news: Coinbase's 10% shareholder Ehrsam Frederick Ernest III sold 97,836 shares of common stocks on Jan 3, 2024 at an average price of $152.2762 for a total value of $14.9 million.
@103825571: This reminds me of GameStop when everybody is crazy by ignoring the reality of the growth rate and profitability of the company for long run.
In recent news: Singapore Airlines certainly has been doing a good job lately as its earnings growth has been positive while most other companies have been seeing their earnings go backwards. It might be that many expect the strong earnings performance to degrade substantially, possibly more than the market, which has repressed the P/E.
@151326437: I think this stock is going to start going north soon. They have an impressive fleet and are expanding their routes.
In recent news: XPeng's volume and margin outlook for this year appears positive, but the EV maker may face pricing pressure amid intense competition, HSBC Global Research analysts say. The analysts lower their earnings estimates for 2023-2025 to factor in pricing pressure, which may be partly offset by normalized raw material costs.
@bullrider_21: In addition to launching the X9, Xpeng announced on Jan 2, XNGP added coverage to 191 cities, bringing the total coverge to 243 cities. This reflects the rapid progress in iteration, allowing users to access city NGP features without relying on HD maps, Yu's team said.
Thanks for reading!
All comments, links, and content posted or shared by users of the community are the opinion of the respective authors only and do not reflect the opinions, views, or positions of Moomoo Financial Inc., Moomoo Technologies, any affiliates, or any employees of MFI, MTI or its affiliates. Please consult a qualified financial professional for your financial planning and tax situations.
Apple, the company with the largest market cap, shed 5.9% this week after two analysts downgraded their ratings on the stock. Your thoughts on this?
Comment below and share your ideas! We will select up to 10 TOP COMMENTS for a reward next week. Winners will get 200 points by next week, with which you can exchange gifts at Reward Club.
Disclaimer:
Any app images provided are not current, and any securities are shown for illustrative purposes only.
This presentation is for information and educational use only and is not a recommendation or endorsement of any particular investment or investment strategy. See this link for more information.
Disclaimer: Moomoo Technologies Inc. is providing this content for information and educational use only.
Read more
Comment
Sign in to post a comment
Moomoo Community Official Account
Bringing you insights, inspiration and the hottest content.
149KFollowers
1199Following
59KVisitors
Follow
102362254 : Apple's stock price took a tumble this week, dropping by 5.9%. Analysts downgraded it, citing weaker iPhone sales as the reason. But don't worry, Apple's adaptability to changing market conditions underscores its resilience. It's like a cat that always lands on its feet, even when it falls from a high shelf.
Remember, the stock market is always unpredictable and influenced by various factors. So, as an investor, it's important to do your research and make informed decisions aligned with your goals and risk tolerance. And if you're feeling down about your portfolio, just remember that even Apple has bad days. In fact, back in 2000, Apple's stock price plummeted by a whopping 52% in a single day. So, chin up, and keep investing.
Meme_Short_Queen : Apple is way overpriced now, but get ready to load once it falls below $130
mr_cashcow : Unfortunately $Apple (AAPL.US)$ was hit with lawsuits and therefore took a few hits but that is just part of the business and I am confident they can weather this small setback and come back even stronger
70185181 : There is a question I've never understood. Why can American Tesla electric cars be sold in the Chinese market? But are Chinese electric cars prohibited from being sold in the US market? Regarding stocks in 2023, US large-cap stocks rose at an unbelievable rate, while US small-cap stocks all plummeted by more than 90% and fell into the base and remained unchanged. I personally think that only poor people in the world will buy cheap small-cap stocks, which have lost the most in the past four years. This is how the Jewish consortium behind the Federal Reserve manipulates stocks to harvest the poor and protect the rich. The president is just a puppet of the consortium.
Simon33 70185181: Every country does the same thing when deciding whether to pay subsidies based on power batteries.
小trader : While I'm mindful of short-term fluctuations, my approach is grounded in a long-term perspective. I plan to delve deeper into the analysts' rationales behind the downgrades to assess whether they align with my own understanding of Apple's fundamentals. It's crucial to weigh external opinions against a comprehensive analysis of the company's performance, strategy, and market position.
Moreover, I remain confident in Apple's strong business moat. The ubiquity of Apple users I encounter everywhere underscores the robustness of the Apple ecosystem. Unless I perceive a direct threat to this economic moat, my investment thesis on Apple will remain unchanged.
stefanita 70185181: Because Chinese cars don't meet US safety standards. Before BYD started selling their car in Europe they had to add additional air bags and reunforce the frame…
defishu Meme_Short_Queen: 130..
Let's wait slowly
Danodanc 70185181: I just cannot understand why either country would allow any vehicle made by the other operated I there country
I and many others on both sides have not ignored the many dust ups and picking at each other. This tug of war is much older then we have been told and is getting downright scary with all of this destabilization engulfing some regions that are already riddled with war.. And when 63% of the refugees coming over our southern are men of military age? And noone even bats an eye. I mean maybe I'm wrong
And If I remember correctly that was all decided back when some huge security inspection and upgrade decided that our ports would come under Chinese control if the micro chips were Chinese made.. I'm sure it's something like that..
Hua Moo Lan : Apple’s shares sank after Barclays downgraded the stock to an “underweight” rating from “equal weight and trimmed its target price to $160 citing disappointing iPhone 15 sales particularly in China. However, being an Apple shareholder, I’m not concerned about that sudden dip of its share price following that rating change ( due to the triggering of panic selling or investors taking profit from its 46% rise in 2023).
Reason behind is that I still have faith in Apple's fundamentals and future earnings growth. Apart from iPhone, Apple sells a line of other hardware products and various subscription services for cloud storage, video, news, games, music, and more. With its services segment begins to carry more weight ( 22% of Apple’s total revenue in its fiscal 2023), Apple will be less reliant on the iPhone.
Last but not least, has Warren Buffet started dumping Apple stocks which weights 50% of his investment portfolio? If no, why should we be worried about that 5.9% drop in Apple’s share price?
View more comments...