Stocks Gain on Trade News, Economic Data

A number of stocks took their cue from Apple's product unveil

Josh Selway
Sep 14, 2018 at 2:18 PM
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It was a positive week for stocks, mostly thanks to reports the U.S. and China are ready to restart trade talks. However, President Donald Trump did maintain his plans for another round of tariffs on $200 billion in Chinese goods. Still, the Dow Jones Industrial Average (DJI), S&P 500 Index (SPX), and Nasdaq Composite (IXIC) are all set to grab weekly wins, as traders also reacted to a number of notable economic reports. Namely, weak inflation data hit mid-week, and was followed up by a tepid rise in consumer prices, with disappointing August retail sales capping off the week.

Stocks Trade Around Apple Product Reveal

Apple's (AAPL) product unveil on Wednesday was another major highlight from the week. The tech giant announced three new iPhones, and a new Apple Watch. AAPL shares are set to finish the week only modestly higher, but the mid-week event turned out to be a major tailwind for another tech stock, along with LG Display (LPL). On the other hand, the latest Apple news crushed chipmaker Cirrus Logic (CRUS).

Oil Prices Fluctuate Amid Florence Headlines

Market headlines also centered around Hurricane Florence, resulting in a massive rise in oil prices early in the week due to predictions of devastating flooding. The price of oil did pull back some from its intra-week highs since Florence was downgraded to a Category 2 storm. Meanwhile, this oil stock could be due for more downside.

Tesla, Tilray Gain; Analyst Says Sell SNAP

It was another interesting week for Tesla (TSLA), with the stock set to close in positive territory. One analyst earlier in the week said to buy the dip on the electric automaker, lifting the shares, and they were later able to overcome news of another executive departure. Another popular name has been marijuana stock Tilray (TLRY), and it kept exploding higher this week, at least until a sell-off in Friday's trading. TLRY benefited from news the company was approved to export medical cannabis to Germany, which followed another upbeat announcement out of the U.K.

Looking at other noteworthy stock moves, long-time winner Twilio (TWLO) continued to see bullish attention, and another analyst said tech stock Immersion (IMMR) could jump 50%. On the bearish side, one of the biggest downgrades happened on Friday, when soaring Tandem Diabetes Care (TNDM) saw its rating cut at Baird. Another analyst said they were sick of Snapchat's excuses and screamed "sell" on Snap shares.

FedEx Earnings Due Out

Looking ahead, there are a number of stocks traders may want to target for profits similar to those we enjoyed from our CF Industries (CF) call trade. For example, this FAANG stock could be due to bounce, and more tailwinds could be coming for SeaWorld (SEAS). On the flip side, put traders may want to consider retailer Bed Bath & Beyond (BBBY).

As for specifics on next week's stock market schedule, earnings are set to slow down, but FedEx (FDX) will still draw attention with its Monday report. Overall, data is hinting at a sluggish end to the month, as traders gear up for the next Fed meeting.

 


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