Channel Calendar

This Week – The earnings are much lighter from here and mainly retail. HD and WMT the only important names.

Monday: N/A

Tuesday: PPI, HD earnings

Wednesday: CPI

Thursday: Retail Sales, Philly Fed, Jobless Claims, WMT, and DE

Friday: Housing Starts. Goolsbee from Fed speaks 

Torrent Trading Observations

• PPI came in at +.2% vs est of .3%, paving the way for a Sept are cut

• HD first reaction lower in earnings (comps/margins)

• 5320/5240 support.  5390 resistance

Wave Watch

CPI tomorrow - with NY Fed showing sub 3%

Mainstream Metrics

10 Year

GOLD

BITCOIN

Consumer/Financial Healthcare

PSFE shares rose 5.3% after the fintech company boosted its revenue forecast for the full year.

HD posts a shortfall on comps and cuts guidance for the year…..reported an EPS beat in FQ2 at 4.67 (vs. the Street 4.52) as higher op. margins offset a sales shortfall (comps came in -3.6% in the US, about 100bp worse than the consensus forecast). Mgmt. says business conditions are tracking to a -3% comps for the year, while -4% would require a further weakening in business fundamentals

ONON - Results Beat, Guidance Maintained; Momentum Strong… we remain buyers especially if stock reacts to slight DTC segment miss. The outlook implies slight 2H revenue acceleration (after 1H +29.3% ex-currency), with mgmt citing strong brand momentum and additional focus on the U.S. warehouse automation to expand North America capacity over the medium turn.

SBUX - Starbucks has named Chipotle Chief Executive Brian Niccol as the coffee chain’s new chief executive officer and chairman, replacing Laxman Narasimhan after just over a year in the role. CMG down 10% on the news.

SBUX – Upgraded at Baird, I am first of many coming

Apartment rents: a surging supply of apartments is forcing landlords to offer increased concessions to renters - Bloomey

YUM’s KFC (before the Mon open) announced an expansion of its $5 value menu, the latest sign of price competition in the fast-food industry.

Technology

DELL shares climb 2.9% as Barclays raised to equal-weight from underweight.

GOOGL will launch new smartphones on Tues, a few months earlier than normal, as the firm looks to capture mindshare from Apple’s iPhone - Bloomey

NVDA – Investors have opportunity to “buy the dip” ahead of NVDA earnings – Goldman

China's Huawei Technologies is close to introducing a new chip for artificial intelligence use to challenge Nvidia in China amid U.S. sanctions Huawei readies new AI chip to challenge Nvidia in China, WSJ reports | Reuters [reuters.com]

ON is reiterating its full year expectation of at least 30% net sales growth on a constant currency basis. Considering the recent strength of the Swiss Franc and assuming spot rates persist at current levels for the remainder of the year, this implies reported net sales of at least CHF 2.26B in 2024.

Industrials 

DELL shares climb 2.9% as Barclays raised to equal-weight from underweight.

GOOGL will launch new smartphones on Tues, a few months earlier than normal, as the firm looks to capture mindshare from Apple’s iPhone - Bloomey

NVDA – Investors have opportunity to “buy the dip” ahead of NVDA earnings – Goldman

China's Huawei Technologies is close to introducing a new chip for artificial intelligence use to challenge Nvidia in China amid U.S. sanctions Huawei readies new AI chip to challenge Nvidia in China, WSJ reports | Reuters [reuters.com]

ON is reiterating its full year expectation of at least 30% net sales growth on a constant currency basis. Considering the recent strength of the Swiss Franc and assuming spot rates persist at current levels for the remainder of the year, this implies reported net sales of at least CHF 2.26B in 2024.

Small business optimism rising

Positioning underweight

More people dipping into 401ks for hardship

Interesting

Rapid Review

Openwater Opinion