🍨 Daily Scoop: Thank You, Nobel Prize Winners
By Fri, Oct 11, 2019
Hi Scoopers,
Yo-yo, up, yo-yo, down…
That’s the story of the stock market these days. On Thursday, the yo-yo moved upward thanks to a positive tweet by the U.S. President. Contrary to the overall stock market, the fire season in California took its toll on one stock, and the streaming war has been dragging down another stock for the majority of 2019. Also, don’t forget to send your thank-you notes to the three Nobel Prize winners who came up with Lithium-Ion batteries. Technology investors have them to thank for a significant portion of their portfolio gains.
To learn more about those stories scroll down to the “Overall Market,” “What’s Up?” and “What’s Down?” section.
MARKETS
- U.S. markets:All three indices finished Thursday in the green. Scroll to the “Overall Market” section to learn more.
- Cryptocurrency: Bitcoin’s price continued to hover in mid $8,000 per coin range. However, Bitcoin futures contracts ramped up significantly in the newly launched Bakkt market. The futures market is something to monitor in the next few days to see whether the uptake there could have an impact on the Bitcoin price, itself.
SPONSOR
New Strategy from the #1 Options Trader on the Planet!
Learn how you can begin to leverage this strategy to radically boost your profit potential…
Do you have a 65% win/loss ratio?
If you answered no, then this webinar is for you. Learn from the Master of Volatility how to find and prosper from Volatility using options.
OVERALL MARKET
The trade talks are progressing.
What happened on Thursday?
All three indices continued their ascent on Thursday. The excitement came after a tweet by President Trump. It appears that the first day of the trade discussions between the U.S. and China went to the liking of the President.
What else to expect?
By now, we all know that the trade war news change by the minute. Today, we have made progress. Tomorrow, we are back to the drawing board.
For example, on Wednesday night, just after we wrapped The Daily Scoop, the news came out that the Chinese delegation was planning to leave the U.S. on Thursday and not to stay until Friday. That was enough to drag the stock market futures contracts down during the after-hours trading session. However, there was no confirmation of such news on Thursday. If history has anything to teach us, the trade talks will continue to drag the market up and down, and investors have limited control over it.
WHAT’S UP
Netflix finally got a break.
So, what happened?
Shares of Netflix (Ticker: NFLX) were up more than 5% on Thursday. The company is expected to announce its quarterly earnings report next week. It seems investors are buying the stock ahead of the earnings. The company hasn’t had a good year so far. The stock has underperformed the overall market, as the streaming war heated up in 2019. We need to wait a few more days to see, in spite of the competition from several other media companies, whether Netflix has been able to grow its user base again.
WHAT’S DOWN
The fire season is taking its toll on one stock.
So, what happened?
Shares of PG&E (Ticker: PCG) were down more than 28% on Thursday. The company is dealing with massive emergency operations during California’s fire season. Also, it looks like the fire season has more in the bag for the company. As a followup to the company’s bankruptcy procedure, a recent ruling by a judge puts PG&E’s bondholders in charge of the company’s restructuring. This means shareholders are going to have a limited say in the bankruptcy restructuring, and investors do not appreciate not having control over their stake in the company.
WATER COOLER
Send your thank you letters to three Nobel Prize winners.
So, what happened?
t’s rare to see the stock market investors appreciate anyone else rather than their own genius for their portfolio gains. However, three Chemistry Nobel Prize winners have been the subject of that applaud and appreciation across financial media.
The three scientists who won the recent Nobel Prize are the innovators behind ion batteries. From smartphones to electric cars, Lithium-Ion batteries have been responsible for the success of a myriad of technology companies and technology investors in the last few years.
So, let us join the standing ovation, and send our appreciation to these scientists that have made it possible for us to grow our portfolios by investing in several rapidly growing companies such as Apple (Ticker: AAPL) and Tesla (Ticker: TSLA) to name a few.
About the Author
The authors of this Scoop are the editorial team at Stock Card, led by Hoda Mehr. Hoda Mehr is CEO and Co-founder of Stock Card and the host of Renegade Investors podcast. She runs a community of 40,000 stock market investors and manages Stock Card's successful flagship portfolio, Roll with Our CEO, on Stock Card Portfolio Store. Hoda is an Economist with an MBA from Concordia, John Molson School of Business. She applies behavioral economics, data journalism, and storytelling to all aspects of her work. Before starting Stock Card, Hoda worked as a strategy and insights lead at technology companies including Symantec, Aimia and Sony. Create a free account to do your stock market research easily and mistake-free: Stock Card Stock Card
