Get The Daily Rip

The Weekend Rip: June 19, 2022

Happy Juneteenth and Father’s Day!

We hope you’re enjoying the three-day weekend. ๐Ÿ‘

Let’s recap and look to the week ahead.

What Happened?

โ˜๏ธ The Federal Reserve hiked rates by 75 bps after last week’s record inflation print.

๐Ÿ“ˆ Global bond yields reached new cycle highs as global central banks tightened policy further.

๐Ÿ”ป Risk assets like stocks and crypto fell to new cycle lowsย amid rising global recession fears.

โ‚ฟ Cryptocurrencies fell aggressively as insolvency fears rose following several firms pausing withdrawals due to “extreme market conditions.” Bitcoin broke below $20k, and Ethereum slipped below $1k. ๐Ÿ˜ฎ

๐Ÿ›ข๏ธ Energy stocks and commodities had their worst week of the yearย on concerns that a recession will cripple demand.

๐Ÿ’ฑ Adobe joined Microsoft and several other multinational companies in issuing softer guidance due to a stronger U.S. Dollar.

๐Ÿ“ˆ Several names were on the Stocktwits trending tab for a good portion of the week, including $RDBX, $AMC, $TSLA, $MULN, $DWAC, $BTC.X, and $ETH.X.

Those are the major stories from the week. And here are the final prints:

S&P 500 3,675 -5.79%
Nasdaq 10,798 -4.78%
Russell 2000 1,666 -7.48%
Dow Jones 29,889 -4.79%

Bullets

Bullets from the Weekend

โœˆ๏ธ U.S. considers actions to protect airline customers. Flight cancellations and overall air travel disruptions continued this week, even affecting Transportation Secretary Pete Buttigieg’s flight from Washington to New York. Airlines continue to struggle to meet travel demand after cutting staff and flight routes during the pandemic, leaving many frustrated passengers in their wake. Buttigieg says his department could take enforcement action against airlines that fail to meet consumer-protection standards. Politico has more.

๐ŸŽ Maryland Apple store forms the company’s first recognized union. Workers in the Towson Maryland Apple store have made history, becoming the first of many currently fighting for unionization to win formal recognition. The win came despite Apple and its law firm Littler Mendelson’s efforts to discourage workers. Given the tight labor market, unionization efforts continue to grow at companies ranging from Apple and Amazon to Starbucks and Trader Joe’s. TechCrunch has more.

โš–๏ธ U.S. contemplates legislative action to curb inflation. As inflation runs rampant, the current administration is reconsidering several Trump-era tariffs on China and potentially pausing the federal gas tax to help ease pricing pressures. However, bringing down inflation without sending the economy into a recession is a tightrope that monetary and fiscal policymakers continue to walk. Whether they can pull off this delicate balance remains to be seen. Read more from Reuters.


The Brief

Need a concise summary of what’s going on this week? Look no further.ย Here’s an overview of important earnings and economic data for the trading week ahead.

Economic Calendar

6/21ย Chicago Fed National Activity Index (8:30 AM ET)
6/21 Existing Home Sales (10:00 AM ET)
6/21 Fed Barkin Speech (3:30 PM ET)
6/22 Fed Chair Powell Testimony (9:30 AM ET)
6/22 Fed Evans Speech (12:50 PM ET)
6/22 Fed Harker Speech (1:30 PM ET)
6/23 Initial/Continuing Jobless Claims (8:30 AM ET)
6/23 S&P Global Manufacturing PMI Flash (8:45 AM ET)
6/23 Fed Chair Powell Testimony (10:00 AM ET)
6/23 EIA Crude Oil/Gasoline Stocksย  (11:00 AM ET)
6/23 Fed Bank Stress Test Results (4:30 PM ET)
6/24 New Home Sales (10:00 AM ET)
6/24 Michigan Consumer Sentiment (10:00 AM ET)

All ears will be listening to Fed member commentary after last week’s rate hike, but here’s a full list of economic releases.

Earnings This Week

This week is light on earnings announcements, with only 28 companies reporting. Some tickers you may recognize are $FDX, $LEN, $KBH, $BB, $RAD and $DRI.

Above is a quick summary. Check out the full Stocktwits earnings calendar to see the other names reporting this week.