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To gain an edge, this is what you need to know today.

No Landing

Please click here for an enlarged chart of American Express Company AXP.

Please click here for an enlarged chart of NVIDIA Corp NVDA.

Note the following:

• This article is about the big picture, not an individual stock. The charts of AXP and NVDA stocks are being used to illustrate the point.
• American Express CEO Stephen Squeri said that he sees “no landing” for the U.S. economy. In plain English, no landing means the economy continues to grow without a major slowdown. American Express has about 55M cardholders in the U.S. Spending on these cards provides a good data point.
• American Express CEO’s statement is another data point showing that the Fed spiked the punch with the 50 bps interest rate cut.
• The AXP chart shows a strong trendline.
• The AXP chart shows an RSI divergence. In plain English this means that as the price has moved higher, RSI is showing lower peaks. This indicates a lack of internal momentum. RSI divergence often leads to a pullback.
• AXP reported earnings better than the consensus but less than whisper numbers.
• The AXP chart shows that after spiking higher, AXP stock is pulling back.
• In the big picture, the data points from American Express earnings are important because they reflect 55M affluent consumers.
• The NVDA chart shows that NVDA stock moved higher in the resistance zone after blowout earnings from Taiwan Semiconductor Mfg. Co. Ltd. TSM. TSM manufactures Nvidia’s AI chips. TSM indicated the demand for AI chips is strong.
• The NVDA chart shows the resistance proved to be too strong for NVDA stock to breakout yesterday.
• Prudent investors should carefully watch to see if NVDA stock breaks out above the resistance zone. If NVDA breaks out above the resistance zone, it would be positive for the entire stock market, especially AI stocks. On the other hand, if this NVDA rally fails, it will be a negative for the entire stock market.

Housing Starts

Housing starts came roughly in line but building permits dropped. Building permits are a leading indicator.  Investors should focus on leading indicators. Here are the details:

• Housing starts came at 1.354M vs. 1.350M consensus.
• Building permits came at 1.428M vs. 1.455M consensus.

China

China Q3 GDP came at 0.9% quarter-over-quarter vs. 1.0% consensus.

In The Arora Report analysis, even though China’s GDP is slightly weaker than expected, it is not of concern because GDP is a lagging indicator. New stimulus measures that we have been writing about are designed to lift GDP going forward. 

Magnificent Seven Money Flows

In the early trade, money flows are positive in Amazon.com, Inc. AMZN, Alphabet Inc Class C GOOG, Meta Platforms Inc META, Apple Inc AAPL, and NVDA.

In the early trade, money flows are neutral in Microsoft Corp MSFT.

In the early trade, money flows are negative in Tesla Inc TSLA.

In the early trade, money flows are positive in SPDR S&P 500 ETF Trust SPY and Invesco QQQ Trust Series 1 QQQ.

Momo Crowd And Smart Money In Stocks

Investors can gain an edge by knowing money flows in SPY and QQQ. Investors can get a bigger edge by knowing when smart money is buying stocks, gold, and oil.  The most popular ETF for gold is SPDR Gold Trust GLD.  The most popular ETF for silver is iShares Silver Trust SLV. The most popular ETF for oil is United States Oil ETF USO.

Bitcoin

Bitcoin BTC/USD is range bound.

Protection Band And What To Do Now

It is important for investors to look ahead and not in the rearview mirror.

Consider continuing to hold good, very long term, existing positions. Based on individual risk preference, consider a protection band consisting of cash or Treasury bills or short-term tactical trades as well as short to medium term hedges and short term hedges. This is a good way to protect yourself and participate in the upside at the same time.

You can determine your protection bands by adding cash to hedges. The high band of the protection is appropriate for those who are older or conservative. The low band of the protection is appropriate for those who are younger or aggressive. If you do not hedge, the total cash level should be more than stated above but significantly less than cash plus hedges.

A protection band of 0% would be very bullish and would indicate full investment with 0% in cash. A protection band of 100% would be very bearish and would indicate a need for aggressive protection with cash and hedges or aggressive short selling.

It is worth reminding that you cannot take advantage of new upcoming opportunities if you are not holding enough cash.  When adjusting hedge levels, consider adjusting partial stop quantities for stock positions (non ETF); consider using wider stops on remaining quantities and also allowing more room for high beta stocks. High beta stocks are the ones that move more than the market.

Traditional 60/40 Portfolio

Probability based risk reward adjusted for inflation does not favor long duration strategic bond allocation at this time.

Those who want to stick to traditional 60% allocation to stocks and 40% to bonds may consider focusing on only high quality bonds and bonds of five year duration or less. Those willing to bring sophistication to their investing may consider using bond ETFs as tactical positions and not strategic positions at this time.

The Arora Report is known for its accurate calls. The Arora Report correctly called the big artificial intelligence rally before anyone else, the new bull market of 2023, the bear market of 2022, new stock market highs right after the virus low in 2020, the virus drop in 2020, the DJIA rally to 30,000 when it was trading at 16,000, the start of a mega bull market in 2009, and the financial crash of 2008. Please click here to sign up for a free forever Generate Wealth Newsletter.

NEW YORK, Oct. 18, 2024 (GLOBE NEWSWIRE) — The law firm of Kirby McInerney LLP reminds investors that a class action lawsuit has been filed in the U.S. District Court for the Eastern District of Michigan on behalf of those who acquired Domino’s Pizza, Inc. (“Domino’s” or the “Company”) DPZ securities during the period of December 7, 2023 to July 17, 2024, inclusive (“the Class Period”). Investors have until November 19, 2024, to apply to the Court to be appointed as lead plaintiff in the lawsuit.

[Click here to learn more about the class action]

On July 18, 2024, Domino’s issued a press release announcing its second quarter 2024 financial results. The Company disclosed challenges experienced by its master franchisees, Domino’s Pizza Enterprises (“DPE”), relating to both openings and closures. As a result, the Company stated that it expected to “fall 175 to 275 stores below its 2024 goal of 925+ net stores in international,” and “is temporarily suspending its guidance metric of 1,100+ global net stores until the full effect of DPE’s store opens and closures on international net store growth are known.” On an earnings call held that same day, the Company’s Chief Financial Officer Sandeep Reddy further revealed that the long-term guidance announced at the prior year’s 2023 Investor Day did not accurately reflect the extent of DPE’s challenges with respect to new store openings and closures of existing stores. On this news, the price of Domino’s shares declined by $64.23 per share, or approximately 13.6%, from $473.27 on July 17, 2024, to close at $409.04 per share on July 18, 2024.

The lawsuit alleges that Domino’s made false and/or misleading statements and/or failed to disclose that: (i) DPE, the Company’s largest master franchisee, was experiencing significant challenges with respect to both new store openings and closures of existing stores and(ii) as a result, Domino’s was unlikely to meet its own previously issued long-term guidance for annual global net store growth.

If you purchased or otherwise acquired Domino’s securities, have information, or would like to learn more about this investigation, please contact Thomas W. Elrod of Kirby McInerney LLP by email at investigations@kmllp.com, or by filling out this CONTACT FORM, to discuss your rights or interests with respect to these matters without any cost to you.

Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Contacts
Kirby McInerney LLP
Thomas W. Elrod, Esq.
212-699-1180
https://www.kmllp.com
investigations@kmllp.com

EDMONTON, AB, Oct. 18, 2024 /CNW/ – Today the federal government and Edmonton 2 Spirit (E2S) announced $6.84 million in funding for 24 supportive living homes for Indigenous 2SLGBTQI+ community members removing themselves from gender-based violence in greater Edmonton and surrounding Northern Alberta communities.

The project, owned and operated by E2S, will be developed into two, energy efficient buildings with 24 supportive living spaces, including transitional homes and shelter spaces, for all societies of Two Spirit peoples. These homes will cater to their unique needs including vulnerability to violence, trauma and further marginalization affecting their physical and mental health. Support programs and services will be available on-site through trained support staff, ensuring residents have the resources needed to heal and rebuild.

The federal government is dedicated to enabling Indigenous communities reach their housing goals through various programs and initiatives, including the Indigenous Shelter and Transitional Housing Initiative (ISTHI). A subsidy for ongoing operations and support will also be provided by Indigenous Services Canada (ISC). Construction will begin this fall and the first building is expected to be completed in 2025.

Total funding for this project is as follows: 

• $6.84 million from the federal government through the Indigenous Shelter and Transitional Housing Initiative, delivered by Canada Mortgage and Housing Corporation (CMHC)
• Subsidy from ISC for ongoing operations and support

“Indigenous 2SLGBTQI+ community members face steep housing and social obstacles across Canada – but especially in Alberta. They deserve a safe space to call home. So we’re delivering just that. Today, we’re investing $6.84 million in 24 supportive living homes right here in Edmonton. This means more homes for our Indigenous Queer neighbours, more affordability and one fewer obstacle for them to overcome.” – The Honourable Randy Boissonnault, Minister of Employment, Workforce Development and Official Languages

“Everyone deserves to live in safety and dignity. Our support for the Peyakôskân Centre is vital in addressing critical service gaps by establishing a dedicated space for Indigenous 2SLGBTQI+ and gender diverse individuals facing gender-based violence. This center will offer culturally appropriate programs, services, and resources to help them rebuild their lives and reclaim their identities. Today’s groundbreaking marks a significant step toward creating a more equitable Canada for all.” – The Honourable Patty Hajdu, Minister of Indigenous Services and Minister responsible of FedNor

“Our way as Indigenous People is to ensure that we have every opportunity walk in a healthy way, Physically, Mentally, Emotionally and Spiritually, and to support each other in that journey. With affordable and safe housing, 2 Spirit and gender diverse people have opportunity to find our balance, and live a healthy way after experiencing violence. We can then grow to support others as they walk their own journeys, our ways, Indigenous ways, 2 Spirit ways, because we are all related.” – Quinn Wade, Housing Manager of Edmonton 2 Spirit Society

Quick facts: 

• Canada’s National Housing Strategy (NHS) is a 10-year, $115+ billion plan that will give more Canadians a place to call home. 
• NHS is built on strong partnerships between the federal, provincial, and territorial governments, and continuous engagement with municipalities, Indigenous governments and organizations, and the social and private housing sectors. It was created after consultations with Canadians from all walks of life, including those who have experienced housing need. All NHS investments delivered by the federal, provincial and territorial governments will respect the key principles of NHS that support partnerships, people and communities.
• The $724.1 million Indigenous Shelter and Transitional Housing Initiative was launched in November 2021 to support the construction of additional shelters and transitional homes for Indigenous women, children, and 2SLGBTQQIA+ individuals fleeing gender-based violence, including in urban areas and in the North.
• The funding is part of the $724.1 million budget for a comprehensive Violence Prevention Strategy, as announced in the 2020 Fall Economic Statement, of which:

• • Canada Mortgage and Housing Corporation (CMHC) is allocating $420 million over 5 years to support the construction of new shelters and transitional housing.
  • Indigenous Services Canada (ISC) is investing $304.1 million over five years, and $96.6 million annually to support the operational costs of new shelters and transition homes and expand funding for culturally relevant violence prevention activities.
• CMHC and ISC sought input from Indigenous organizations and subject matter experts to form committees and develop the evaluation process
• Eligible applications are evaluated by Indigenous-led committees comprised of representatives from CMHC, ISC, Indigenous organizations, subject matter experts in shelters and housing delivery, as well as people with lived experience. This ensures selected projects are culturally appropriate and meet the needs of clients. The committees provide overall direction and prioritization, as well as review and score proposals.
• The Federal Pathway is Canada’s contribution to the broader 2021 Missing and Murdered Indigenous Women, Girls, and 2SLGBTQIA+ People National Action Plan developed in partnership with provincial and territorial governments, Indigenous Peoples, survivors, families, and Indigenous women’s organizations in response to the National Inquiry into Missing and Murdered Indigenous Women and Girls.
• Call for Justice 4.7, 16.19 and 18.25 of the Final Report of the National Inquiry into Missing and Murdered Indigenous Women and Girls call for all governments to support the establishment and funding of shelters, safe spaces, transition homes, second-stage housing, and services for Indigenous women, girls, and 2SLGBTQQIA+ people.
• The Missing and Murdered Indigenous Women and Girls Crisis Line is available to provide emotional support and crisis referral services to individuals impacted by the issue of Missing and Murdered Indigenous Women, Girls and 2SLGBTQI+ people. Call the toll-free Crisis Line at 1-844-413-6649. This service is available 24 hours a day, 7 days a week.

Associated Links: 

• Visit Canada.ca/housing for the most requested Government of Canada housing information.
• As Canada’s authority on housing, CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need, and offers unbiased housing research and advice to all levels of Canadian government, consumers and the housing industry. CMHC’s aim is that everyone in Canada has a home they can afford and that meets their needs. For more information, please visit cmhc.ca or follow us on X, Instagram, YouTube, LinkedIn and Facebook.
• To find out more about the National Housing Strategy, visit: www.placetocallhome.ca.
• More information about the Indigenous Shelter and Transitional Housing Initiative can be found here: ISTHI
• Visit Housing for Indigenous Peoples for more information on Programs and subsidies that support the building and management of housing for Indigenous Peoples
• Check out the National Housing Strategy Housing Funding Initiatives Map to see affordable housing projects that have been developed across Canada. Information on the Family Violence Prevention Program is available at: Family Violence Prevention Program (sac-isc.gc.ca)
• More information about the Government of Canada’s work with partners to end violence against Indigenous women, girls and 2SLGBTQI+ people can be found here:

SOURCE Government of Canada

View original content to download multimedia: http://www.newswire.ca/en/releases/archive/October2024/18/c9822.html

Flexsteel Industries FLXS will release its quarterly earnings report on Monday, 2024-10-21. Here’s a brief overview for investors ahead of the announcement.

Analysts anticipate Flexsteel Industries to report an earnings per share (EPS) of $0.62.

Anticipation surrounds Flexsteel Industries’s announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Here’s a look at Flexsteel Industries’s past performance and the resulting price change:

Tracking Flexsteel Industries’s Stock Performance

Shares of Flexsteel Industries were trading at $43.68 as of October 17. Over the last 52-week period, shares are up 118.49%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

To track all earnings releases for Flexsteel Industries visit their earnings calendar on our site.

This article was generated by Benzinga’s automated content engine and reviewed by an editor.

Wall Street is priming for a positive start on Friday after the major averages ended narrowly mixed in the previous session. Positive reaction to Netflix, Inc.’s NFLX earnings could provide a lift to the tech space, given earnings news flow from the sector will likely start in earnest next week. Earnings and speeches by Federal Reserve officials could set the tempo for Friday’s session. China’s third-quarter GDP rose slightly more than estimates, allaying the fears of traders. Gold continues to make record after record, while oil continues to have a volatile ride amid geopolitical tensions.

In premarket trading on Friday, the SPDR S&P 500 ETF Trust SPY rose 0.23% to $583.61 and the Invesco QQQ ETF QQQ jumped 0.51% to $493.75, according to Benzinga Pro data.

Cues From Last Session:

U.S. stocks closed narrowly mixed as traders digested a batch of mixed economic data as well as a flurry of earnings. After opening higher, the major indices experienced some volatility in the morning, although holding mostly above the unchanged line.

Stocks gave back most of their gains in late afternoon trading before finishing on a mixed note.

The Dow Industrials closed at fresh intraday and closing highs, thanks to a positive reaction to Travelers Companies, Inc.’s TRV earnings, while the S&P 500 Index hit an intraday high before squandering all the gains and closing marginally lower.

Insights From Analysts:

After separate reports showed strong September retail sales growth, jobless claims, which fell after Hurricane Helene’s impact wore off, and a decline in industrial production amid the Boeing Co. BA strike, Comerica Chief Economist Bill Adams said, “The economy is in pretty good shape.” “Since consumer spending fuels two-thirds of U.S. demand, the economy can’t be doing too bad as long as consumers still have their pocketbooks open,” he said.

The economist expects the Hurricanes that devastated swathes of the Southeast in late September and early October to be a big drag on releases for October. This will make it difficult to read the underlying trend accurately, he said.

Calling the headwinds temporary, Adams said, “With the Fed expected to continue lowering interest rates through the turn of the year, credit-sensitive sectors of the economy should perk up in coming quarters, sustaining the economic expansion into 2025.”

See Also: Best Futures Trading Strategies in 2024

Upcoming Economic Data:

• The Commerce Department will release the housing starts report for September at 8:30 a.m. EDT. Economists, on average, estimate housing starts to come in at a seasonally adjusted annual rate of 1.35 million units, slightly down from the 1.36-million-unit rate in August. Building permits, an indicator of future housing starts may have declined from 1.48 million units to 1.45 million units.
• Among the Fed speakers scheduled for the day are:
  • Atlanta Fed president Raphael Bostic: 9:30 a.m. EDT
  • Minneapolis Fed President Neel Kashkari: 10 a.m. EDT
  • Fed Governor Christopher Waller is due to speak at 12:10 p.m. EDT.
• The Atlanta Fed’s GDPNow data for the third quarter will be released at 10:30 a.m. EDT.

Stocks In Focus:

• Netflix climbed about 5.75% in premarket trading following the streaming giant’s quarterly results.
• Among the other stocks moving on earnings are Intuitive Surgical, Inc. ISRG (up nearly 7%), and Western Alliance Bancorporation WAL (down over 5.25%.
• Ally Financial Inc. ALLY, Autoliv, Inc. ALV, Fifth Third Bancorp FITB, Procter & Gamble Company PG, Regions Financial Corporation RF and Schlumberger Limited SLB and American Express Company AXP are among the noteworthy companies reporting ahead of the market opening.
• CVS Health Corporation CVS fell over 10% after the Wall Street Journal reported that the company is naming longtime executive David Joyner as its new chief, succeeding Karen Lynch.
• Coherent Corp. COHR fell over 6% on a negative analyst action.

Commodities, Bonds And Global Equity Markets:

Crude oil futures pulled back modestly but gold futures gained ground as they scaled a fresh record. Bitcoin BTC/USD added over 1.50% over the past 24 hours and traded just under the $68K mark.

The 10-year U.S. Treasury note yield was little changed at 4.097%.

Asian stocks closed mostly higher, led by China and Hong Kong, which rallied on the back of the Chinese third-quarter GDP data. The Japanese market benefited from the yen’s weakness. The European Central Bank’s rate cut also buoyed sentiment.

The European markets also advanced in early trading, although the U.K. market was experiencing some weakness.

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