{"id":71619,"date":"2023-10-12T09:02:47","date_gmt":"2023-10-12T13:02:47","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=71619"},"modified":"2023-10-12T09:02:47","modified_gmt":"2023-10-12T13:02:47","slug":"coffee-with-greta-market-shakes-off-hot-cpi","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2023\/10\/12\/coffee-with-greta-market-shakes-off-hot-cpi\/","title":{"rendered":"Coffee With Greta: Market Shakes Off Hot CPI"},"content":{"rendered":"

Register now<\/a> for next week's free trading Q&A on LinkedIn with David Prince!<\/b><\/p>\n

DJIA Futures: <\/b>+100 (+0.3%)<\/span><\/p>\n

SPX Futures: <\/b>+10 (+0.2%)<\/span><\/p>\n

NASDAQ Futures: <\/b>+21 (+0.1%)<\/span><\/p>\n

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

Futures are higher after the release of the September CPI.<\/span><\/p>\n

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

Rising Shelter Costs Drive Hot CPI<\/span><\/h2>\n

Headline inflation pressures rose slightly more than expected in September.\u00a0<\/span><\/p>\n

The Bureau of Labor Statistics\u2019 consumer price index rose 0.4% monthly and 3.7% year over year vs 0.3% monthly and 3.6% annually expected.\u00a0<\/span><\/p>\n

That was driven mostly by higher shelter costs which jumped 0.6% monthly and 7.2% annually.\u00a0<\/span><\/p>\n

Gas prices continued to rise as well, up 2.1% monthly and 3% from a year ago.\u00a0<\/span><\/p>\n

The core CPI, which excludes food and energy prices, rose 0.3% monthly and 4.1% annually, in line with expectations.\u00a0<\/span><\/p>\n

That was the lowest core reading since September 2021.<\/span><\/p>\n

Jobless Claims Flat<\/span><\/h2>\n

Weekly jobless claims were unchanged last week.\u00a0<\/span><\/p>\n

The Labor Department reported 209,000 Americans filed initial claims for unemployment benefits, lower than expectations for claims to rise by 3,000 to 210,000.\u00a0<\/span><\/p>\n

The previous week was revised higher by 2,000 to 209,000.\u00a0<\/span><\/p>\n

This is the fourth straight week claims have been under 210,000.<\/span><\/p>\n

Continuing claims rose by 30,000 to 1.702 million vs 1.676 million expected in the week ending September 30.<\/span><\/p>\n

Delta Jumps On Strong Summer Quarter<\/span><\/h2>\n

Delta Airlines <\/b>(DAL) shares are up 2.7% ahead of the open after beating Q3 profit expectations.<\/span><\/p>\n

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

    \n
  • Adjusted EPS: $2.03 vs $1.95 expected<\/span><\/li>\n
  • Revenue: $14.55 billion vs $14.56 billion expected<\/span><\/li>\n<\/ul>\n

    Revenue was up 13% year over year while profit surged 59%.\u00a0<\/span><\/p>\n

    Delta\u2019s flights were 88% full during the quarter, up 1% from a year ago.\u00a0<\/span><\/p>\n

    But unit revenue fell 1.5% due to lower airfares.\u00a0<\/span><\/p>\n

    Delta saw a surge in international travel demand during the quarter, with trans-Atlantic trip revenue up 34% year over year.\u00a0<\/span><\/p>\n

    For the fourth quarter, the airline estimated revenue will rise 9% to 12% with EPS between $1.05 and $1.30.\u00a0<\/span><\/p>\n

    Delta trimmed its full-year forecast, now expecting adjusted EPS of $6 to $6.25 vs $6 to $7 previously and free cash flow of $2 billion vs the prior $3 billion forecast.<\/span><\/p>\n

    Walgreens Rises Despite Earnings Miss<\/span><\/h2>\n

    Walgreens Boots Alliance <\/b>(WBA) shares are rising 1.7% in premarket trade despite missing fiscal Q4 profit expectations and issuing soft guidance.\u00a0<\/span><\/p>\n

    Here\u2019s how the retail pharmacy giant\u2019s results compared to analysts\u2019 estimates:\u00a0<\/span><\/p>\n

      \n
    • Adjusted EPS: $0.67 vs $0.69 expected<\/span><\/li>\n
    • Revenue: $35.42 billion vs $34.78 billion expected<\/span><\/li>\n<\/ul>\n

      Revenue rose roughly 9% year over year.\u00a0<\/span><\/p>\n

      Sales in the U.S. retail pharmacy segment rose 3.7%, pharmacy sales rose 6.4%, and international sales jumped 12%.<\/span><\/p>\n

      But total prescriptions filled fell by 0.5% and retail sales declined 4.3%.<\/span><\/p>\n

      Walgreens forecast adjusted EPS of $3.20 to $3.50 in the next fiscal year, below analysts\u2019 estimates of $3.72.<\/span><\/p>\n

      The company expects $141 billion to $145 billion in revenue vs $144 billion expected.<\/span><\/p>\n

      Ford Slips As UAW Expands Strike<\/span><\/h2>\n

      Ford <\/b>(F) shares are down 2.2% ahead of the open after the United Auto Workers Union expanded its strike against the automaker.\u00a0<\/span><\/p>\n

      UAW began its strike at the Kentucky Truck Plant at 6:30 p.m. ET on Wednesday.\u00a0<\/span><\/p>\n

      That plant is where Ford produces its Super Duty pickup trucks as well as Ford Expedition and Lincoln Navigator SUVs.<\/span><\/p>\n

      The plant employs 8,700 UAW members and is Ford\u2019s largest in terms of employment and revenue.\u00a0<\/span><\/p>\n

      In a press release, the union said, \u201cThe strike was called after Ford refused to make further movement in bargaining. The surprise move marks a new phase in the UAW\u2019s Stand Up Strike.\u201d<\/span><\/p>\n

      Ford said the \u201cdecision by the UAW to call a strike at Ford\u2019s Kentucky Truck Plant is grossly irresponsible but unsurprising given the union leadership\u2019s stated strategy of keeping the Detroit 3 wounded for months through \u2018reputational damage\u2019 and \u2018industrial chaos.\u2019\u201d\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

      Register now for next week’s free trading Q&A on LinkedIn with David Prince! DJIA Futures: +100 (+0.3%) SPX Futures: +10 (+0.2%) NASDAQ Futures: +21 (+0.1%) Good morning friends! Futures are higher after the release of the September CPI. Let\u2019s get right to it! Rising Shelter Costs Drive Hot CPI Headline inflation pressures rose slightly more than expected in September.\u00a0 The Bureau of Labor Statistics\u2019 consumer price index rose 0.4% monthly and 3.7% year over year vs 0.3% monthly and 3.6% annually expected.\u00a0 That was driven mostly by higher shelter costs which jumped 0.6% monthly and 7.2% annually.\u00a0 Gas prices continued to rise as well, up 2.1% monthly and 3% from a year ago.\u00a0 The core CPI, which excludes food and energy prices, rose 0.3% monthly and 4.1% annually, in line with expectations.\u00a0 That was the lowest core reading since September 2021. Jobless Claims Flat Weekly jobless claims were unchanged last week.\u00a0 The Labor Department reported 209,000 Americans filed initial claims for unemployment benefits, lower than expectations for claims to rise by 3,000 to 210,000.\u00a0 The previous week was revised higher by 2,000 to 209,000.\u00a0 This is the fourth straight week claims have been under 210,000. Continuing claims rose by 30,000 to 1.702 million vs 1.676 million expected in the week ending September 30. Delta Jumps On Strong Summer Quarter Delta Airlines (DAL) shares are up 2.7% ahead of the open after beating Q3 profit expectations. Here\u2019s how the airline\u2019s results compared to analysts\u2019 estimates:\u00a0 Adjusted EPS: $2.03 vs $1.95 expected Revenue: $14.55 billion vs $14.56 billion expected Revenue was up 13% year over year while profit surged 59%.\u00a0 Delta\u2019s flights were 88% full during the quarter, up 1% from a year ago.\u00a0 But unit revenue fell 1.5% due to lower airfares.\u00a0 Delta saw a surge in international travel demand during the quarter, with trans-Atlantic trip revenue up 34% year over year.\u00a0 For the fourth quarter, the airline estimated revenue will rise 9% to 12% with EPS between $1.05 and $1.30.\u00a0 Delta trimmed its full-year forecast, now expecting adjusted EPS of $6 to $6.25 vs $6 to $7 previously and free cash flow of $2 billion vs the prior $3 billion forecast. Walgreens Rises Despite Earnings Miss Walgreens Boots Alliance (WBA) shares are rising 1.7% in premarket trade despite missing fiscal Q4 profit expectations and issuing soft guidance.\u00a0 Here\u2019s how the retail pharmacy giant\u2019s results compared to analysts\u2019 estimates:\u00a0 Adjusted EPS: $0.67 vs $0.69 expected Revenue: $35.42 billion vs $34.78 billion expected Revenue rose roughly 9% year over year.\u00a0 Sales in the U.S. retail pharmacy segment rose 3.7%, pharmacy sales rose 6.4%, and international sales jumped 12%. But total prescriptions filled fell by 0.5% and retail sales declined 4.3%. Walgreens forecast adjusted EPS of $3.20 to $3.50 in the next fiscal year, below analysts\u2019 estimates of $3.72. The company expects $141 billion to $145 billion in revenue vs $144 billion expected. Ford Slips As UAW Expands Strike Ford (F) shares are down 2.2% ahead of the open after the United Auto Workers Union expanded its strike against the automaker.\u00a0 UAW began its strike at the Kentucky Truck Plant at 6:30 p.m. ET on Wednesday.\u00a0 That plant is where Ford produces its Super Duty pickup trucks as well as Ford Expedition and Lincoln Navigator SUVs. The plant employs 8,700 UAW members and is Ford\u2019s largest in terms of employment and revenue.\u00a0 In a press release, the union said, \u201cThe strike was called after Ford refused to make further movement in bargaining. The surprise move marks a new phase in the UAW\u2019s Stand Up Strike.\u201d Ford said the \u201cdecision by the UAW to call a strike at Ford\u2019s Kentucky Truck Plant is grossly irresponsible but unsurprising given the union leadership\u2019s stated strategy of keeping the Detroit 3 wounded for months through \u2018reputational damage\u2019 and \u2018industrial chaos.\u2019\u201d\u00a0<\/p>\n","protected":false},"author":41,"featured_media":71623,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[739],"tags":[],"class_list":["post-71619","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\/71619","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=71619"}],"version-history":[{"count":2,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/71619\/revisions"}],"predecessor-version":[{"id":71626,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/71619\/revisions\/71626"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/71623"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=71619"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=71619"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=71619"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}