Analytics, 10 September 2019
Daily comment Sep 11
Daily comment Sep 11
- Wall St opens mixed on China’s measures to ease trade war
- AAPL +1.1% following iPhone 11 launch
- AMZN -0.3% on antitrust probe over its marketplace
- Zscaler -20% on 4Q miss
- Trump pushes Fed for further interest rates cut
- WTI’s up 0.5%
Market movers:
- Apple (+1.1%) launched 3 new iPhone models: 11, 11 Pro and 11 Pro Max. AAPL cut staring price for iPhone 11 by $50 to $699 and announced pricing for Apple Arcade and Apple TV+ at $4.99/m, with 1 year trial period for streaming service (with device purchase). Finally, the Co. announced new versions of iPad and Apple Watch. (https://apple.co/2lPiqYL)
- Bloomberg reported the FTC is conducting an inquiry into whether Amazon (-0.3%) abuses its market dominance. (https://bloom.bg/2m43BSi)
- Alphabet (+0.4%) has been ordered by state AGs to turn over an enormous amount of data and information about its search business. (https://bloom.bg/2kE7ehq)
- Zscaler (-20%) on underwhelming results. Total revs came in $86.1mn vs. est. $82.6mn w/ billings up 32% vs +55% last Q. EPS was 7c vs est. 1c. Sees next Y revs $395-405mn w/billings $490-500mn vs est. $402mn and EPS 12-15c vs est. 20c. (https://bit.ly/2kFx4BQ)
- Uber (-1.1%), Lyft (+0.7%) after California lawmakers approved a bill that requires treating contract workers as employees. (https://bloom.bg/2kbSG8C)
Macro:
- President Trump tweeted Fed should cut the policy rate to “zero, or less”, citing similar practices implemented by ECB and BoJ in the past. (https://bloom.bg/2lM0vlR)
- China started exempting certain US goods from 25% tariffs. The exemptions will take effect on 17 Sep. (https://bloom.bg/2lIIiFW)
- US Aug PPI +0.1% m/m vs flat est. and +0.2% in Jul. (https://reut.rs/2kGEHrz)
Commodities:
- WTI (+0.5%): US crude stockpiles fell 7.23mn bls last week: API.
- According to Iraq’s oil minister, OPEC+ will discuss further production cuts during the meeting on Thurs. (https://reut.rs/2kE9vsY)
Coming up:
- Central banks rate decisions: ECB on Thurs 9/12 and FOMC on Wed 9/18
- OPEC’s monthly oil market report is due Wed 9/18.