{"id":62314,"date":"2022-07-01T09:02:12","date_gmt":"2022-07-01T13:02:12","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=62314"},"modified":"2022-07-01T09:02:12","modified_gmt":"2022-07-01T13:02:12","slug":"coffee-with-greta-stocks-continue-free-fall","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2022\/07\/01\/coffee-with-greta-stocks-continue-free-fall\/","title":{"rendered":"Coffee With Greta: Stocks Are Free… Free Fallin’"},"content":{"rendered":"

DJIA Futures: <\/b>-98 (-0.3%)<\/span><\/p>\n

SPX Futures: <\/b>-11 (-0.3%)<\/span><\/p>\n

NASDAQ Futures: <\/b>-46 (-0.4)<\/span><\/p>\n

Good morning friends!<\/span><\/p>\n

Futures are falling as traders gear up for the first day of Q3 after the worst first half in decades.\u00a0<\/span><\/p>\n

Let\u2019s get right to it!<\/span><\/p>\n

Worst First Half in 50+ Years<\/span><\/h2>\n

The <\/span>S&P 500 <\/b>logged its worst first half of a year since 1970.\u00a0<\/span><\/p>\n

And things are even worse for the <\/span>Dow<\/b>, which booked its worst first half since 1962.\u00a0<\/span><\/p>\n

Stocks are deep in a bear market as traders are focused on inflation and the possibility of a recession.<\/span><\/p>\n

Even though the Core PCE Price Index fell in May, it was still one of the hottest readings since the 1970s.<\/span><\/p>\n

Analysts say the dramatic drop in stocks was all due to the Fed getting behind on inflation.\u00a0<\/span><\/p>\n

Now the Fed is playing catch up, with a recession looming overhead.\u00a0<\/span><\/p>\n

If data later this month shows another GDP contraction in Q2, that will officially meet the criteria for a recession.\u00a0<\/span><\/p>\n

Bitcoin Logs Worst Month Ever<\/span><\/h2>\n

Crypto currencies are rising this morning after another tough session on Thursday.\u00a0<\/span><\/p>\n

Bitcoin is up about 1.7% in the past 24 hours at over $19,200 while Ethereum is up over 3% at about $1,050.<\/span><\/p>\n

Bitcoin suffered its worst month on record in June, losing more than 38% of its value last month.\u00a0<\/span><\/p>\n

Ethereum also plunged 47% in June.\u00a0<\/span><\/p>\n

More than $2 trillion has been wiped off the global crypto market cap in recent months.\u00a0<\/span><\/p>\n

Micron Slides on Weak Forecast<\/span><\/h2>\n

Micron <\/b>(MU) shares are down 4.7% ahead of the open despite beating fiscal Q3 expectations as traders focus on weak guidance.<\/span><\/p>\n

The chipmaker beat reported adjusted fiscal Q3 earnings of $2.59 per share on $8.64 billion in revenue.\u00a0<\/span><\/p>\n

That topped analysts\u2019 expectations for adjusted EPS of $2.43 on $8.64 billion in revenue.\u00a0<\/span><\/p>\n

But Micron released a grim forecast for fiscal Q4.\u00a0<\/span><\/p>\n

The company expects $7.2 billion in revenue this quarter, sharply missing Wall Street\u2019s estimate for $9.1 billion.<\/span><\/p>\n

Micron also announced it is slowing its expansion plans.\u00a0<\/span><\/p>\n

The CEO said, \u201cRecently, the industry demand environment has weakened, and we are taking action to moderate our supply growth in fiscal 2023. We are confident about the long-term secular demand for memory and storage and are well-positioned to deliver strong cross-cycle financial performance.\u201d<\/span><\/p>\n

Kohl\u2019s Tumbles After Ending Takeover Talks<\/span><\/h2>\n

Kohl\u2019s <\/b>(KSS) shares are plunging 18.6% in premarket trade after terminating sales talks with <\/span>Franchise Group <\/b>(FRG).<\/span><\/p>\n

The retailer announced today is was ending those talks and said the retail environment has significantly deteriorated since the beginning of the process.\u00a0<\/span><\/p>\n

Kohl\u2019s also slashed its fiscal Q2 outlook due to slowing consumer spending amid high inflation.\u00a0<\/span><\/p>\n

The company now expects its annual sales decline to be in the high-single digits vs its previous forecast for low-single digits.<\/span><\/p>\n

The Chair of the board said, \u201cDespite a concerted effort on both sides, the current financing and retail environment created significant obstacles to reaching an acceptable and fully executable agreement.\u201d<\/span><\/p>\n

Meta Slashes Hiring Plans, Warns About Economy<\/span><\/h2>\n

Meta Platforms <\/b>(META) shares are down just 0.6% ahead of the open despite slashing its hiring plans for engineers.\u00a0<\/span><\/p>\n

During a weekly employee Q&A on Thursday, CEO Mark Zuckerberg said the company has cut plans to hire engineers by at least 30% this year.\u00a0<\/span><\/p>\n

Zuckerberg also warned them to brace for a severe economic downturn saying, “If I had to bet, I'd say that this might be one of the worst downturns that we've seen in recent history.\u201d<\/span><\/p>\n

Meta originally planned to hire about 10,000 new engineers this year but has now lowered that target to around 6,000-7,000.<\/span><\/p>\n

Gas Prices Still Dropping<\/span><\/h2>\n

U.S. gas prices are still falling ahead of the 4th of July holiday weekend.<\/span><\/p>\n

AAA<\/span><\/a> shows the national average for regular gas fell to $4.842\/gal today.\u00a0<\/span><\/p>\n

That\u2019s down more than a cent overnight and more than 17 cents from the record high.<\/span><\/p>\n

Diesel also fell by more than a cent over night, down to $5.76\/gal.<\/span><\/p>\n

Oil Prices Rebound<\/span><\/h2>\n

Oil prices are rebounding today after falling on Thursday.\u00a0<\/span><\/p>\n

West Texas Intermediate crude futures are up 2.8% to just under $109 bbl while Brent crude futures are up 2.9% to over $112 bbl.<\/span><\/p>\n

Prices have been volatile as the market grapples with supply concerns against the possibility of a recession.\u00a0<\/span><\/p>\n

Libya\u2019s oil production has fallen sharply as more ports and oilfields have been shutdown due to protests.\u00a0<\/span><\/p>\n

Norway is expected to see shutdowns early next week with offshore workers planning to strike.<\/span>In Case You Missed It<\/span><\/p>\n