{"id":64529,"date":"2022-10-20T08:55:25","date_gmt":"2022-10-20T12:55:25","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=64529"},"modified":"2022-10-20T08:55:25","modified_gmt":"2022-10-20T12:55:25","slug":"coffee-with-greta-uks-truss-is-out","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2022\/10\/20\/coffee-with-greta-uks-truss-is-out\/","title":{"rendered":"Coffee With Greta: UK\u2019s Truss Is Out"},"content":{"rendered":"

DJIA Futures: <\/b>+60 (+0.2%)<\/span><\/p>\n

SPX Futures: <\/b>+1 (+0.01%)<\/span><\/p>\n

NASDAQ Futures: <\/b>-21 (-0.2%)<\/span><\/p>\n

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

Futures are mixed as traders digest the latest batch of Q3 earnings.<\/span><\/p>\n

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

U.K. Prime Minister Resigns<\/span><\/h2>\n

U.K. Prime Minister Liz Truss resigned from her position today after implementing a failed tax-cutting budget that rocked financial markets.\u00a0<\/span><\/p>\n

In a statement, Truss said, \u201cWe set out a vision for a low-tax, high-growth economy that would take advantage of Brexit. I recognize though, given the situation, I cannot deliver the mandate on which I was elected by the Conservative Party. I have therefore spoken to His Majesty the King to announce that I am resigning as leader of the Conservative Party.\u201d<\/span><\/p>\n

Truss had faced pressure from her own party to step down with reports saying more than 100 MPs had written letters of no confidence in the prime minister.\u00a0<\/span><\/p>\n

On September 23, her finance minister announced a \u201cmini-budget\u201d that included a series of unfunded tax cuts.\u00a0<\/span><\/p>\n

That plan caused extreme turmoil in the British bond market and imploded the value of the pound.\u00a0<\/span><\/p>\n

Most of the policies have since been reversed by the new finance minister.<\/span><\/p>\n

Tesla Slips As Q3 Revenue Falls Short<\/span><\/h2>\n

Tesla <\/b>(TSLA) shares are falling 5.7% ahead of the open after reporting mixed Q3 results.\u00a0<\/span><\/p>\n

Here\u2019s how the electric automaker\u2019s results compared to analysts\u2019 expectations:<\/span><\/p>\n

    \n
  • Adjusted EPS: $1.05 vs $0.99 expected<\/span><\/li>\n
  • Revenue: $21.45 billion vs $21.96 billion expected<\/span><\/li>\n<\/ul>\n

    Automotive gross margins were unchanged from Q2 at 27.9%.<\/span><\/p>\n

    CEO Elon Musk was upbeat about Tesla\u2019s future on the earnings call.\u00a0<\/span><\/p>\n

    He said, \u201cI can\u2019t emphasize enough we have excellent demand for Q4 and we expect to sell every car that we make for as far into the future as we can see. The factories are running at full speed and we\u2019re delivering every car we make, and keeping operating margins strong.\u201d<\/span><\/p>\n

    The automaker reiterated its previous guidance saying, \u201cOver a multi-year horizon, we expect to achieve 50% annual growth in vehicle deliveries.\u201d<\/span><\/p>\n

    IBM Tops Q3 Expectations<\/span><\/h2>\n

    IBM <\/b>(IBM) shares are up 4.2% in premarket trade after beating Q3 expectations on the top and bottom line.\u00a0<\/span><\/p>\n

    Here\u2019s how the tech company\u2019s results compared to analysts\u2019 expectations:<\/span><\/p>\n

      \n
    • Adjusted EPS: $1.81 vs $1.77 expected<\/span><\/li>\n
    • Revenue: $14.11 billion vs $13.51 billion expected<\/span><\/li>\n<\/ul>\n

      The company hiked its full-year revenue forecast following that beat.\u00a0<\/span><\/p>\n

      The CEO said, \u201cWith our year-to-date performance, we now expect full-year revenue growth above our mid-single digit model.\u201d<\/span><\/p>\n

      American Airlines Returns to Profitability<\/span><\/h2>\n

      American Airlines <\/b>(AAL) shares are up 1.4% ahead of the open after topping Q3 estimates.\u00a0<\/span><\/p>\n

      Here\u2019s how the airline\u2019s results compared to analysts\u2019 expectations:<\/span><\/p>\n

        \n
      • Adjusted EPS: $0.69 vs $0.56 expected<\/span><\/li>\n
      • Revenue: $13.46 billion vs $13.42 billion expected<\/span><\/li>\n<\/ul>\n

        Revenue hit a record-high during the quarter and was up 13% from 2019 levels.<\/span><\/p>\n

        That jump came even as American flew 10% less as travelers paid higher prices.\u00a0<\/span><\/p>\n

        The airline forecast total Q4 revenue will be up 13% compared to 2019 with adjusted EPS between $0.50 and $0.70.\u00a0<\/span><\/p>\n

        Weekly Jobless Claims Drop to 3-Week Low<\/span><\/h2>\n

        Weekly jobless claims dropped to a 3-week low last week as the impact of Hurricane Ian fades away.\u00a0<\/span><\/p>\n

        The Labor Department reported 214,000 Americans filed initial claims for unemployment benefits last week.\u00a0<\/span><\/p>\n

        That was down by 12,000 from the previous week and lower than economists\u2019 expectations for an increase to 230,000.\u00a0<\/span><\/p>\n

        Existing Home Sales Expected to Fall<\/span><\/h2>\n

        The National Association of Realtors reports existing home sales for September at 10:00 a.m. ET.\u00a0<\/span><\/p>\n

        Economists expect that report to show sales slowed last month to a seasonally adjusted annual rate of 4.70 million units from 4.80 million in August.\u00a0<\/span><\/p>\n

        The housing market has slowed rapidly in recent months as mortgage rates hit the highest levels seen in more than 20 years.\u00a0<\/span><\/p>\n

        Upcoming Earnings<\/span><\/h2>\n

        Here are the key companies set to report earnings after the market close today:<\/span><\/b><\/p>\n

          \n
        • Snap <\/b>(SNAP)<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"

          DJIA Futures: +60 (+0.2%) SPX Futures: +1 (+0.01%) NASDAQ Futures: -21 (-0.2%) Good morning friends! Futures are mixed as traders digest the latest batch of Q3 earnings. Let\u2019s get right to it! U.K. Prime Minister Resigns U.K. Prime Minister Liz Truss resigned from her position today after implementing a failed tax-cutting budget that rocked financial markets.\u00a0 In a statement, Truss said, \u201cWe set out a vision for a low-tax, high-growth economy that would take advantage of Brexit. I recognize though, given the situation, I cannot deliver the mandate on which I was elected by the Conservative Party. I have therefore spoken to His Majesty the King to announce that I am resigning as leader of the Conservative Party.\u201d Truss had faced pressure from her own party to step down with reports saying more than 100 MPs had written letters of no confidence in the prime minister.\u00a0 On September 23, her finance minister announced a \u201cmini-budget\u201d that included a series of unfunded tax cuts.\u00a0 That plan caused extreme turmoil in the British bond market and imploded the value of the pound.\u00a0 Most of the policies have since been reversed by the new finance minister. Tesla Slips As Q3 Revenue Falls Short Tesla (TSLA) shares are falling 5.7% ahead of the open after reporting mixed Q3 results.\u00a0 Here\u2019s how the electric automaker\u2019s results compared to analysts\u2019 expectations: Adjusted EPS: $1.05 vs $0.99 expected Revenue: $21.45 billion vs $21.96 billion expected Automotive gross margins were unchanged from Q2 at 27.9%. CEO Elon Musk was upbeat about Tesla\u2019s future on the earnings call.\u00a0 He said, \u201cI can\u2019t emphasize enough we have excellent demand for Q4 and we expect to sell every car that we make for as far into the future as we can see. The factories are running at full speed and we\u2019re delivering every car we make, and keeping operating margins strong.\u201d The automaker reiterated its previous guidance saying, \u201cOver a multi-year horizon, we expect to achieve 50% annual growth in vehicle deliveries.\u201d IBM Tops Q3 Expectations IBM (IBM) shares are up 4.2% in premarket trade after beating Q3 expectations on the top and bottom line.\u00a0 Here\u2019s how the tech company\u2019s results compared to analysts\u2019 expectations: Adjusted EPS: $1.81 vs $1.77 expected Revenue: $14.11 billion vs $13.51 billion expected The company hiked its full-year revenue forecast following that beat.\u00a0 The CEO said, \u201cWith our year-to-date performance, we now expect full-year revenue growth above our mid-single digit model.\u201d American Airlines Returns to Profitability American Airlines (AAL) shares are up 1.4% ahead of the open after topping Q3 estimates.\u00a0 Here\u2019s how the airline\u2019s results compared to analysts\u2019 expectations: Adjusted EPS: $0.69 vs $0.56 expected Revenue: $13.46 billion vs $13.42 billion expected Revenue hit a record-high during the quarter and was up 13% from 2019 levels. That jump came even as American flew 10% less as travelers paid higher prices.\u00a0 The airline forecast total Q4 revenue will be up 13% compared to 2019 with adjusted EPS between $0.50 and $0.70.\u00a0 Weekly Jobless Claims Drop to 3-Week Low Weekly jobless claims dropped to a 3-week low last week as the impact of Hurricane Ian fades away.\u00a0 The Labor Department reported 214,000 Americans filed initial claims for unemployment benefits last week.\u00a0 That was down by 12,000 from the previous week and lower than economists\u2019 expectations for an increase to 230,000.\u00a0 Existing Home Sales Expected to Fall The National Association of Realtors reports existing home sales for September at 10:00 a.m. ET.\u00a0 Economists expect that report to show sales slowed last month to a seasonally adjusted annual rate of 4.70 million units from 4.80 million in August.\u00a0 The housing market has slowed rapidly in recent months as mortgage rates hit the highest levels seen in more than 20 years.\u00a0 Upcoming Earnings Here are the key companies set to report earnings after the market close today: Snap (SNAP)<\/p>\n","protected":false},"author":41,"featured_media":64533,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[739],"tags":[],"class_list":["post-64529","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-coffee-with-greta"],"_links":{"self":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/64529","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/users\/41"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/comments?post=64529"}],"version-history":[{"count":2,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/64529\/revisions"}],"predecessor-version":[{"id":64535,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/64529\/revisions\/64535"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/64533"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=64529"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=64529"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=64529"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}