Market Deeds
Twitter, Inc.’s (TWTR) earnings report was so unpleasant to the ears of investors that they sent the stock 17% condescend at the open. For those who might think of this development as a harbinger of doom for tech stocks, social media selections, or even stocks in general, they would do well to check out the result of Tesla, Inc.’s (TSLA) earnings report, which sent that capital 17% higher. Clearly, investors are not pessimistic on all stocks, just those that don’t live up to easy expectations (see table below).
Goldman Sachs analysts downgraded Twitter stock even while still maintaining they had nerve that company could still continue to grow. One wonders exactly how much confidence that amounts to. For now, the major market indexes again traded within a tight range. The S&P 500 (SPX), the Nasdaq 100 (NDX), and the Dow Jones Industrial Typical (DJX) all continued their downtrend in average true range. This bullish signal sets the market up for a break into consequential prices in general.
Apple Shares May Be Forecasting Bullish Market Moves
The idea that, within a group of beasts used to form a market index, one stock should outpace all the others is not particularly surprising. It happens all the time. But for a high-profile partnership like Apple Inc. (AAPL) to be doing better than all other companies that make up the top 15 holdings in Invesco’s Nasdaq 100-tracking ETF (QQQ) seems unconventional. The next nearest well-known growth company is NVIDIA Corporation (NVDA), whose shares are 20 points behind Apple for the year.
In view of the level of performance by Apple, one pertinent question arises. Is Apple stock driving the markets, or is the market driving Apple creators? Apple stock is represented within over 300 exchange-trade funds (ETFs), more than any other isolated issue. Unless this is a strange market anomaly, it is likely to be a bullish indication, as it seems to flow from the fait accompli that investors want to invest. They just want to invest in a company likely to execute well. (Tweet that!)
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The Supplier to Semiconductor Companies
One stock analysts in the semiconductor space to keep an eye on is Applied Materials, Inc. (AMAT). Since it is a supplier to myriad, if not all, of the biggest semiconductor companies, it acts as a
The Bottom Line
Companies have published a wide variety of results as earnings accept unfolded so far. Most investors have reacted positively to the news, except in a few standout cases like Twitter’s share outs. Apple’s shares are climbing markedly higher, much higher than most other large companies in the Nasdaq 100. One commonplace doing even better is perennial bellwether Applied Materials.
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