Stocks and Securities

U.S. stocks futures, most notably the NASDAQ, are lower this morning following a disappointing quarterly report from Facebook (FB).

The one piece of good news which may lend support to the blue chip industrial sector comes from Washington DC after meeting with European Commission president Jean-Claude Juncker,  President Trump hosted a short press conference to highlight what transpired. There’s a new goal to eliminate tariffs on many goods traded between the two regions and to “resolve” Trump’s new tariffs on steel and aluminum imports. Europe pledged to buy more American energy and agricultural products. And the two giant economies will try to improve cooperation on technical standards, which could ultimately boost trade.

The last point Trump mentioned may be the most significant, however. Trump said the United States and Europe will work together to “address unfair trading practices,” including “forced technology transfer,” “theft of intellectual property” and “overcapacity.” Neither man mentioned China, but that’s exactly who they were talking about.

As a result we expect some blue chip industrials such as United Technologies (UTX), Caterpillar (CAT), and Boeing (BA) to show some resistance in moving lower today.

Notables: Amazon (NASDAQ:AMZN), Chipotle (NYSE:CMG), Under Armour (NYSE:UAA), Starbucks (NASDAQ:SBUX), Intel (NASDAQ:INTC), McDonald’s (NYSE:MCD), Mastercard (NYSE:MA) and PayPal (NASDAQ:PYPL) to report today.

Dow Industrial AverageS&P 500Nasdaq 100Russell 2000

 

 

 

 

 

 

 

 

 

 

 

 

[wpdatatable id=8 table_view=regular]

Notables: Amazon (NASDAQ:AMZN), Chipotle (NYSE:CMG), Under Armour (NYSE:UAA), Starbucks (NASDAQ:SBUX), Intel (NASDAQ:INTC), McDonald’s (NYSE:MCD), Mastercard (NYSE:MA) and PayPal (NASDAQ:PYPL)

 

[wpdatatable id=9 table_view=regular]

Notables: Twitter (NYSE:TWTR), ExxonMobil (NYSE:XOM), Chevron (NYSE:CVX) and Merck (NYSE:MRK)

 

So where do we look for the best opportunities?

If you recall our morning coffee report of two weeks ago, we went “all in” in the oil patch.

Oil ended higher on Wednesday, with the U.S. benchmark extending gains after a larger-than-expected drop in weekly inventories. West Texas Intermediate crude (WTI)  for September delivery on the New York Mercantile Exchange rose 78 cents, or 1.1%, to close at $69.30 a barrel. September Brent crude gained 49 cents, or 0.7%, to settle at $73.93 a barrel.

Crude oil WTI - Oil markets and oil pricesCrude oil Brent - oil markets and oil prices

 

 

 

 

 

 

The Energy Information Administration said oil stocks fell by 6.1 million barrels in the week ended July 20. Analysts surveyed by the Wall Street Journal had forecast a fall of 2.9 million barrels, while the American Petroleum Institute, an industry trade group, had on Wednesday reported a 4.2 million barrel decline. Data on refined products were also supportive for prices. Gasoline inventories dropped by 2.3 million barrels, while distillate stocks fell 100,000 barrels. Analysts had forecast gasoline inventories to fall 900,000 barrels and distillates, which include diesel fuel, to rise by 300,000 barrels. The tick higher in refining activity, in combination with a jump in crude exports and lower imports, has led to a solid draw to crude inventories.

Prices have also been buoyed this week in part by escalating tensions between the U.S. and Iran, which have reignited investor concerns that stricter American economic sanctions against the Islamic Republic could significantly disrupt its oil exports.

 

So what is our top stock pick?

Blockchain and Cryptocurrency

Bitcoin (BTC) and Ethereum (ETH) both had an interesting 24 hours. The price of Bitcoin (BTC)  settled up 0.77% to $8260, while Ethereum (ETH) up 1.9% trading at $480. Market capitalization increased from $297 USD to $302B USD which is a 1.7% increase in just 24 hours. This 24 hour volume of $14.7B is down more than $6B compared to yesterday. BTC dominance of 46.9% is unchanged compared to Yesterday as well. Yesterday, we wondered if Bitcoin (BTC) could surpass the $8000 level and it did. Does Bitcoin (BTC) have enough juice to make it to $9000 before the weekend?

Bitcoin price - BTC/USD chartEthereum (ETH) chart - ETH/USD

 

 

 

 

 

 

Read our recent post consisting of Technical Analysis for Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCC), Cardano (ADA), Stellar (XLM), Digibyte (DGB), NEO (NEO), EOS (EOS), and Nucleus.Vision (NCASH).

With recent numerous Bitcoin (BTC) ETF applications having been submitted, it appears that the SEC has decided that it needs more time to come to a decision. In a recent statement from the SEC regarding the Bitcoin (BTC) ETF, they mentioned the following,

“The Commission finds it appropriate to designate a longer period within which to issue an order approving or disapproving the proposed rule change so that it has sufficient time to consider this proposed rule change. Accordingly, the Commission, pursuant to Section 19(b)(2) of the Act,\10\ designates September 21, 2018, as the date by which the Commission shall either approve or disapprove the proposed rule change.”

It appears that Wall Street has begun to take Bitcoin as a serious investment vehicle as CME reported a record high number of Bitcoin (BTC) futures being traded on Tuesday’s Bull run. The reported a total of 12,878 contracts – equal to 64,390 Bitcoin (BTC) were traded. If you recall we mentioned on various occasions that our main concern with Bitcoin (BTC) and the cryptocurrency space has been the lack of volume. The recent surge of volume may just be what Bitcoin (BTC) needs to rally back up toward it’s all-time highs.

 

Stocks on the Radar

If you have not have the chance to look at our new segment – ETF ALPHA – please take the time to do so. There we have highlighted potential trades from 16 different ETFs. There are some great ETFs to buy in this week’s post. If you are unsure about the benefits of trading ETFs then please read our post here.

 

Below is our today’s list of cryptocurrency and stocks to buy or to invest in: