Weekend Update - 6|2|24

Last week we saw a volatile stock market. Wall Street had a strong May, with all three major averages notching their sixth positive month in seven. Nasdaq went up 6.9%, its best month since November 2023. Nvidia released another spectacular quarter. 

Nvidia (NVDA) stock will undergo its sixth stock split with 10-1 starting June 10, 2024. The price will officially take effect June 10, 2024, investors need to won the share by market close on June 6, 2024 to be issued new shares in the split. The company also announced the new AI chip architecture, dubbed “Rubin,” ahead of the COMPUTEX tech conference in Taipei tomorrow. Semi conductor sector got smacked after Dell’s earnings. We may continue to see that as earnings season is almost over. This may bring some good long term buying opportunities on pullbacks.

On Thursday, 5/30, Q1 GDP numbers were revised down to 1.3% from 1.6%. In addition, there were few earnings that did not satisfy Wall Street bringing the market down.

On another important note, Europe is expected to start cutting rates this week when they meet on Thursday, 6/6/24.

This week we will have a few key economic reports to keep eye on as indicated below:
Monday, 6/3: ISM Manufacturing.
Wednesday, 6/5: ADP Employment report.
Friday, 6/7: Nonfarm Payrolls (This could be market moving event).

Stocks to watch next weeks: NVDA, DELL, SMCI, MSFT, ADBE, META, ENVX, GME.

Earnings Reports: Last week few key earnings were released. Here is a quick update:

DELL Technologies (DELL) released earnings after the bell beating the top and bottom line. Company guided higher but WS was not satisfied slamming 18% in the AH trading. Tomorrow would give a good long term opportunity as this company should be a beneficiary of AI growth. I would like to accumulate this one.

Salesforce (CRM): Salesforce (CRM) missed the Top line for the first time since 2006, beat in the bottom line but guided lower. Stock got slammed 20% today.

UiPATH (PATH): slightly beat on top and bottom line but disappointing guidance for next quarter and year. CEO was fired. There are RED flags. It was in my blog portfolio, SOLD all shares and removed from my blog portfolio.


Comments

Post a Comment

Popular Post

Shesa's JUN 2025 Investment Blog

By Shesa Nayak U.S. Stock Market Update   The U.S. stock market had an incredible month of May. The S&P 500 added more than 5% in May, while Nasdaq was the star performer blasting 9.5% . Most of the gains were driven by tech and AI stocks. Despite tariff concerns, strong corporate earnings (about 12.5% Q1 growth) and a stable labor market supported stock market optimism. After a  marathon run in May, the U.S. stock market in June has shown resilience amid trade tensions, economic uncertainties and high intensity of Geopolitical tensions .  Israel, Iran War : Israel bombarded Iran and killed many of their senior leaders and Iran retaliated. The war intensified over the weekend between both nations. Israel has also attacked some of the oil fields. Wall Street was jittered last Friday due to the war. The reason is, if both these countries continue to battle then it may impact oil supply and oil prices would go up. Lat Friday, crude oil jumped around 10%. The worry ...
Read more

U.S Stock Market Weekend Update - 5|31|25

The month of May ended with a spectacular market performance. The S&P 500 added more than 5% this month, while the Nasdaq rocketed 9.5% in that time. Both are on track to notch their best months since November 2023. The Dow Jones gained 3% on the month. For the week, the S&P 500 advanced 1.5%, while the 30-stock Dow is up 1% and  Nasdaq went up 1.9%. The biggest ever was another great earnings report. I will write about it later. On the economic front, the Consumer Confidence Index for May 27, 2025, rose to 98.0 from 85.7 in April. This is the highest ever increase of consumer confidence in a single month . The Federal reserve - FOMC minutes  from May 7, FOMC that showed a cautious approach due to increased economic uncertainty. Officials noted solid economic growth and labor market but highlighted rising risks of higher inflation and unemployment, partly due to tariff uncertainties. The last three months inflation has been receding but FED is...
Read more

Shesa's Weekend Update - 6|29|25

We saw a fantastic week for the stock market. The S&P 500 and Nasdaq hit record highs on June 27 , 2025, with the S&P 500 closing at 6,173, up 3.32% for the week, and the Nasdaq closed at 20273.46, up 4.36% . The Dow gained 2.6%. Stocks rallied due to easing Middle East tensions, trade deal optimism with China (Trump said deal was signed - framework), and expectations of Federal Reserve rate cuts.  There were  211 new small-cap stocks added to the Russell 2000 Index on June 27, 2025 which will start trading in Russell index starting tomorrow, Jun 30.  A glance to the Economic Report last week The Manufacturing PMI index came at 52 vs.51 expected. The Services PMI came at 53.1 vs. 53 expected. All comfortably above 50, signaling ongoing expansion in U.S. economic activity. The economy remains on solid footing. The Consumer Confidence Index for June 2025 was released on Tuesday, June 24, 2025. It dropped to 93.0 from 98.4 in May, below the expected 99.4.  Per...
Read more