Recession fear, Gold up, Amazon, Airlines – Key factors for the market today (April 13th)

Today’s main global market news –

1. Today’s stock market: Facing recession fears, the Dow breaks its winning run after moderating gains.
2. A massive fire has destroyed several million-dollar houses that are under construction in Vaughan.
3. Steps to kick-start debt restructurings are agreed upon by sovereign debtors and creditors.
4. Dow futures are dropping as the Fed warns of a recession
5. Colorado adopts the nation’s first right-to-repair law for farmers.
6. Alibaba share held by SoftBank will be virtually sold off, according to the Financial Times.
7. According to a US SEC filing, Chevron paid its CEO $23.6 million in 2022.
8. To promote the rise of streaming, Warner Bros. Discovery releases an updated version of “Max.”
9. With a report on lower-than-expected inflation, U.S. markets were divided.
10. The Swiss parliament rejected the Credit Suisse bailout deal.
11. China’s Zeekr introduces an electric SUV that is aimed towards Europe
12. Senior bankers at JPMorgan are being urged to work five days a week, according to a letter.
13. American Airlines warns that growing labour and fuel expenses will reduce profits.
14. NPR will no longer use Twitter due to the new account’s deceptive title.
15. In order to boost ad performance, Snap hires a Google advertising expert.
16. To advance its automation drive, Emerson Electric will pay $8.2 billion to acquire NI Corp.
17. Delta hopes to sell more premium tickets to reduce the effects of the recession – Reuters
18. TESLA will reduce costs in Hong Kong by as much as 14.7%
19. The Bank of Canada maintains rates on hold and forecasts faster growth in 2023.
20. The bug bounty program from OpenAI will pay programmers for finding bugs.
21. Following CPI, traders increase their bets on Fed rate cuts by year’s end.
22. National CineMedia, a theatre marketer, seeks for bankruptcy protection
23. Oil Increases to a High in 2023 Due to Increasing Supply Indications
24. American Airlines’ stock drops in response to revised earnings projections.
25. After selling shares in both companies, Buffett praises BYD and TSMC
26. TCS Earnings Underperforms Expectations After Businesses Cut IT Spending
27. China Property Sales: Housing market recovery is lucky for distressed developers
28. China exports rise for first time in 6 months
29. Apple triples India iPhone output to $7 billion in China shift

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U.S. market today

Market Technical -by Gurmeet Sohi

Closed in Red but still above all 20 EMA 50 EMA and 200 EMA

Short term trend is up

Long term trend is also switched to uptrend  

Midterm trend remains sideways

Swing lows are around 32246 and this may act as a support now.

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MARKET MOVERS

STOCKS IN NEWS 

•  In weekly inventory data: The EIA reported a 597K rise in crude stockpiles for the previous week, compared to a consensus estimate of a 1.04M drop. Petrol stockpiles decreased by 330K vs. the average estimate of 1.63M. Against the consensus of 509K draw, distillates 606K draw. About E&P: Last night, Bloomberg reported that FANG is considering selling its Pecos County, Texas, holdings in the Delaware Basin.

• LVMH Moet Hennessy Louis Vuitton SE:- In the luxury retail sector, LVMH (LVMUY) announced stronger Q1 results as organic sales increased by 8% in the United States and by 14% in Asia, excluding 1Q fashion & leather organic sales, which exceeded Bloomberg est. of +9.85%. Shares of luxury/cosmetic names TPR, EL, RL, and CPRI moved in response.

• Tesco PLC TSCO:- They marginally increase the Q1 comp est. for TSCO to +5%. (but remain slightly above consensus). 

• Intel Corporation INTC :– In order to ensure that mobile phone chips and other products using Arm’s technology may be produced in Intel’s facilities, INTC stated its semiconductor contract manufacturing business will collaborate with U.K.-based chip designer Arm Ltd.

• Bank of America credit and debit card expenditure per household on credit cards (AXP, COF, MA, and V) fell further in March to 0.1% y/y, the weakest rate since February 2021. Sequentially, seasonally adjusted card expenditure per home decreased by 1.5% m/m.

• National Instruments Corp. NATI:-  EMR will pay $60 per share for NATI in a $8.2 billion acquisition deal, defeating FTV’s earlier 

  Triton International Ltd TRTN +31% will be purchased by BIP for $85 per share, which includes $16.50 in class A Brookfield Infrastructure shares and $68.50 in cash. 

• Cirrus Logic  Inc CRUS -9%; shares fell following a report by TF Int’l Securities analyst Ming-Chi Kuo said that the elimination of solid-state button design from two iPhone 15 Pro models has a negative impact on Cirrus Logic and AAC.

• Skillsoft (SKIL) reported a Q4 EPS loss of (-$0.33) vs the estimated loss of (-$0.22); Q4 sales of $140 million versus the estimated $123.97 million; 

• Triton International Ltd:-BIP will purchase TRTN for $85 per share, which includes $68.50 in cash and $16.50 in class A Brookfield Infrastructure shares.

• APOGEE ENTERTAINMENTS (APOG) Q4 adj EPS $0.86 vs. est. $0.83; Q4 revs $344M vs. est. $348.18M.

  Bed Bath & Beyond (BBBY) submits a selling request for 111.75 million shares of its ordinary stock.

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Economic Calendar for Today

• 07:00     OPEC Monthly Report 

   

• 08:30     Initial Jobless Claims

• 08:30      PPI (MoM) (Mar)

• 10:30     Natural Gas Storage

• 11:00     IMF Meetings  

• 11:30    4 & 8-Week Bill Auction

• 13:00    30-Year Bond Auction  

Major Events for upcoming week

Bank earnings:- On Friday, JPMorgan (JPM) and Citigroup (C) BlackRock (BLK) , Wells Fargo (WFC)  are expected to publish their bank profits.

EARNING CALENDAR

EARNING BEFORE THE  OPENING :

Infosys ADR (INFY), Fastenal (FAST), Tesco PLC (TSCDY), Delta Air Lines (DAL), Chr Hansen ADR (CHYHY), Corus Entertainment (CJREF), Hooker Furniture (HOFT), Northern Technologies (NTIC)

EARNING AFTER THE CLOSE:   

akeland Industries (LAKE),  Genfit (GNFT) 

Economic data

• CPI DATA :- Headline CPI for March was reported at +0.1% m/m vs. expected +0.2% (after +0.4% prior) while headline CPI for the year was up +5.0% vs. expected +5.2% (after +6% prior). On a core basis, such as food and energy, CPI increased in line with expectations by 0.4% (vs. prior month’s +0.5%) and by 6.6% (vs. prior month’s +5.5%) on a year-over-year basis. For the first time since September 2020, food costs at home decreased in March quarter over quarter, with proteins including meats, poultry, and eggs leading the way with a notable 10.9% monthly price decline.

•  U.S. March budget:- U.S. fiscal 2023 year-to-date deficit $1.101 trillion compared to comparable fiscal 2022 $668 billion deficit; March budget outlays $691 billion compared to $508 billion in March 2022; collections $313 billion compared to $315 billion y/y.

• U.S. mortgage market index rises According to the Mortgage Bankers Association’s weekly report for the week ending April 7, the U.S. mortgage market index increased 5.3% to 229.5. The average 30-year mortgage rate decreased by 10 basis points to 6.30% in the most recent week, while the refinancing index increased by 0.1%. 

Other Key Event:–

  China Exports, Imports and Trade Balance for March

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Indian Market Today 

FII AND DII 

On April 12, according to preliminary data from the National Stock Exchange, foreign institutional investors (FII) purchased shares worth Rs 1,907.95 crore while domestic institutional investors (DII) sold shares for Rs 225.22 crore.

NEWS 

• TCS Q4 results: Net profit rose 14.8% year over year to Rs 11,392 crore, while sales up 16.9%

• HDFC Bank Fourth Quarter Overview | HDFC Bank expected to post 22% increase in fourth-quarter profit on higher net interest income

• RBI Begins Evaluation of Potential Bidders to Acquire IDBI Bank: Report

• The PNB Housing Finance rights offering opens today. Stocks fall more than 5%

•  Infosys Q4 Results: Infosys shares 2.5% tank; important things to pay attention to

• Apple triples Indian iPhone production to $7 billion in China 
• Covid peak: India registers 10,158 new corona cases, 30% more than yesterday
• Covid spike: India logs 10,158 new corona cases, 30% more than yesterday

BULK DEALS

Bombay Dyeing & Manufacturing Company.

Bombay Dyeing & Manufacturing Company: At an average price of Rs 76.87 per share, foreign institutional investor Nexpact Ltd purchased 11 lakh equity shares, representing 0.53 percent of the firm..

Max Healthcare Institute

A trade involving 1.8 crore shares, or 1.85 percent of Max Healthcare Institute, was completed on the open market.The deal value increased to Rs 807.1 crore when the transaction was carried out at an average price of Rs 451.5 per share.

Today in Indian market  

MARKET MOVERS  

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