{"id":66075,"date":"2023-01-27T09:11:38","date_gmt":"2023-01-27T14:11:38","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=66075"},"modified":"2023-01-27T09:11:38","modified_gmt":"2023-01-27T14:11:38","slug":"coffee-with-greta-pce-inflation-cools","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2023\/01\/27\/coffee-with-greta-pce-inflation-cools\/","title":{"rendered":"Coffee With Greta: PCE Inflation Cools"},"content":{"rendered":"

DJIA Futures: <\/b>-24 (-0.1%)<\/span><\/p>\n

SPX Futures: <\/b>-16 (-0.4%)<\/span><\/p>\n

NASDAQ Futures: <\/b>-69 (-0.6%)<\/span><\/p>\n

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

Futures are slipping despite new data showing inflation pressures continued to cool at the end of 2022 as disappointing earnings weigh on the market.<\/span><\/p>\n

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

PCE Inflation Cools<\/span><\/h2>\n

The Fed\u2019s favorite inflation gauge continued to cool in December.\u00a0<\/span><\/p>\n

The Bureau of Economic Analysis\u2019 personal consumption expenditures price index rose 0.1% monthly and 5% year over year.\u00a0<\/span><\/p>\n

That was down from the 5.5% annual gain in November.\u00a0<\/span><\/p>\n

The core PCE price index, which excludes food, energy, and trade services, rose 0.3% monthly and 4.4% year over year.\u00a0<\/span><\/p>\n

That was also down from the 4.7% annual gain in November and in line with economists\u2019 expectations.\u00a0<\/span><\/p>\n

Intel Tumbles After Earnings Miss, Weak Guidance<\/span><\/h2>\n

Intel <\/b>(INTC) shares are tumbling 9.8% ahead of the open after missing Q4 expectations and issuing weak guidance.\u00a0<\/span><\/p>\n

Here\u2019s how the chipmaker\u2019s results compared to analysts\u2019 expectations:\u00a0<\/span><\/p>\n

    \n
  • Adjusted EPS: $0.10 vs $0.21 expected<\/span><\/li>\n
  • Revenue: $14.04 billion vs $14.49 billion expected<\/span><\/li>\n<\/ul>\n

    Intel missed its own prior forecast of EPS of $0.20 on $14 billion to $15 billion in revenue.\u00a0<\/span><\/p>\n

    The tech company forecast an adjusted loss of $0.15 per share on revenue of about $10.5 billion to $11.5 billion in Q1.\u00a0<\/span><\/p>\n

    Intel also expects gross margins of just 34.1% in the current quarter, far off from the 51% to 53% goal the company set last year and down from 55.1% in Q1 2022.\u00a0<\/span><\/p>\n

    The company blamed an inventory glut for the expected struggles this quarter as customers work through an oversupply of chips.<\/span><\/p>\n

    The CEO told investors, \u201cWhile we know this dynamic will reverse, predicting when is difficult.\u201d<\/span><\/p>\n

    Chevron Slips As Earnings Come Up Short<\/span><\/h2>\n

    Chevron <\/b>(CVX) shares are down 1.4% in premarket trade after missing Q4 profit expectations.\u00a0<\/span><\/p>\n

    Here\u2019s how the oil giant\u2019s results compared to analysts\u2019 expectations:\u00a0<\/span><\/p>\n

      \n
    • Adjusted EPS: $4.09 vs $4.33 expected<\/span><\/li>\n
    • Revenue: $56.47 billion vs $52.68 billion expected<\/span><\/li>\n<\/ul>\n

      For the full year, Chevron earned a record $36.5 billion in profit.<\/span><\/p>\n

      That was about $10 billion higher than its previous record set in 2011.\u00a0<\/span><\/p>\n

      The CEO said, \u201cWe delivered record earnings and cash flow in 2022, while increasing investments and growing U.S. production to a company record.\u201d<\/span><\/p>\n

      Bed Bath & Beyond Defaults On Credit Line<\/span><\/h2>\n

      Bed Bath & Beyond <\/b>(BBBY) shares are up 1.5% ahead of the open as potential bankruptcy hopes rise after the retailer defaulted on its credit line with JPMorgan.\u00a0<\/span><\/p>\n

      In an SEC filing, Bed Bath said it \u201cdoes not have sufficient resources to repay the amounts under the Credit Facilities and this will lead the Company to consider all strategic alternatives, including restructuring its debt under the U.S. Bankruptcy Code.\u201d<\/span><\/p>\n

      The company\u2019s debt load includes a $550 million asset-backed loan with JPMorgan, $375 million with lender Sixth Street, and nearly $1.2 billion in unsecured Treasury notes.\u00a0<\/span><\/p>\n

      In a separate filing today, Bed Bath said its Board has named restructuring expert Carol Flaton as an independent director.<\/span><\/p>\n

      Key Earnings Next Week<\/span><\/h2>\n

      Earnings season continues to pick up steam next week. Here\u2019s some of the major companies set to report:<\/span><\/b><\/p>\n

        \n
      • SoFi <\/b>(SOFI)<\/span><\/li>\n
      • Exxon Mobil <\/b>(XOM)<\/span><\/li>\n
      • Pfizer <\/b>(PFE)<\/span><\/li>\n
      • McDonald\u2019s <\/b>(MCD)<\/span><\/li>\n
      • UPS <\/b>(UPS)<\/span><\/li>\n
      • Caterpillar <\/b>(CAT)<\/span><\/li>\n
      • Advanced Micro Devices <\/b>(AMD)<\/span><\/li>\n
      • General Motors <\/b>(GM)<\/span><\/li>\n
      • Spotify <\/b>(SPOT)<\/span><\/li>\n
      • Snap <\/b>(SNAP)<\/span><\/li>\n
      • Meta Platforms <\/b>(META)<\/span><\/li>\n
      • Apple <\/b>(AAPL)<\/span><\/li>\n
      • Alphabet <\/b>(GOOGL)<\/span><\/li>\n
      • Amazon <\/b>(AMZN)<\/span><\/li>\n
      • Ford <\/b>(F)<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"

        DJIA Futures: -24 (-0.1%) SPX Futures: -16 (-0.4%) NASDAQ Futures: -69 (-0.6%) Good morning friends! Futures are slipping despite new data showing inflation pressures continued to cool at the end of 2022 as disappointing earnings weigh on the market. Let\u2019s get right to it! PCE Inflation Cools The Fed\u2019s favorite inflation gauge continued to cool in December.\u00a0 The Bureau of Economic Analysis\u2019 personal consumption expenditures price index rose 0.1% monthly and 5% year over year.\u00a0 That was down from the 5.5% annual gain in November.\u00a0 The core PCE price index, which excludes food, energy, and trade services, rose 0.3% monthly and 4.4% year over year.\u00a0 That was also down from the 4.7% annual gain in November and in line with economists\u2019 expectations.\u00a0 Intel Tumbles After Earnings Miss, Weak Guidance Intel (INTC) shares are tumbling 9.8% ahead of the open after missing Q4 expectations and issuing weak guidance.\u00a0 Here\u2019s how the chipmaker\u2019s results compared to analysts\u2019 expectations:\u00a0 Adjusted EPS: $0.10 vs $0.21 expected Revenue: $14.04 billion vs $14.49 billion expected Intel missed its own prior forecast of EPS of $0.20 on $14 billion to $15 billion in revenue.\u00a0 The tech company forecast an adjusted loss of $0.15 per share on revenue of about $10.5 billion to $11.5 billion in Q1.\u00a0 Intel also expects gross margins of just 34.1% in the current quarter, far off from the 51% to 53% goal the company set last year and down from 55.1% in Q1 2022.\u00a0 The company blamed an inventory glut for the expected struggles this quarter as customers work through an oversupply of chips. The CEO told investors, \u201cWhile we know this dynamic will reverse, predicting when is difficult.\u201d Chevron Slips As Earnings Come Up Short Chevron (CVX) shares are down 1.4% in premarket trade after missing Q4 profit expectations.\u00a0 Here\u2019s how the oil giant\u2019s results compared to analysts\u2019 expectations:\u00a0 Adjusted EPS: $4.09 vs $4.33 expected Revenue: $56.47 billion vs $52.68 billion expected For the full year, Chevron earned a record $36.5 billion in profit. That was about $10 billion higher than its previous record set in 2011.\u00a0 The CEO said, \u201cWe delivered record earnings and cash flow in 2022, while increasing investments and growing U.S. production to a company record.\u201d Bed Bath & Beyond Defaults On Credit Line Bed Bath & Beyond (BBBY) shares are up 1.5% ahead of the open as potential bankruptcy hopes rise after the retailer defaulted on its credit line with JPMorgan.\u00a0 In an SEC filing, Bed Bath said it \u201cdoes not have sufficient resources to repay the amounts under the Credit Facilities and this will lead the Company to consider all strategic alternatives, including restructuring its debt under the U.S. Bankruptcy Code.\u201d The company\u2019s debt load includes a $550 million asset-backed loan with JPMorgan, $375 million with lender Sixth Street, and nearly $1.2 billion in unsecured Treasury notes.\u00a0 In a separate filing today, Bed Bath said its Board has named restructuring expert Carol Flaton as an independent director. Key Earnings Next Week Earnings season continues to pick up steam next week. Here\u2019s some of the major companies set to report: SoFi (SOFI) Exxon Mobil (XOM) Pfizer (PFE) McDonald\u2019s (MCD) UPS (UPS) Caterpillar (CAT) Advanced Micro Devices (AMD) General Motors (GM) Spotify (SPOT) Snap (SNAP) Meta Platforms (META) Apple (AAPL) Alphabet (GOOGL) Amazon (AMZN) Ford (F)<\/p>\n","protected":false},"author":41,"featured_media":66078,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[739],"tags":[],"class_list":["post-66075","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\/66075","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=66075"}],"version-history":[{"count":1,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66075\/revisions"}],"predecessor-version":[{"id":66079,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/66075\/revisions\/66079"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/66078"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=66075"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=66075"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=66075"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}