{"id":71671,"date":"2023-10-19T08:45:02","date_gmt":"2023-10-19T12:45:02","guid":{"rendered":"https:\/\/blog.t3live.com\/?p=71671"},"modified":"2023-10-19T08:45:02","modified_gmt":"2023-10-19T12:45:02","slug":"coffee-with-greta-ahead-of-powell","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2023\/10\/19\/coffee-with-greta-ahead-of-powell\/","title":{"rendered":"Coffee With Greta: Ahead of Powell"},"content":{"rendered":"

DJIA Futures: <\/b>+9 (+0.03%)<\/span><\/p>\n

SPX Futures: <\/b>+4 (+0.1%)<\/span><\/p>\n

NASDAQ Futures: <\/b>+40 (+0.3%)<\/span><\/p>\n

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

Futures are rising as traders look ahead to a speech by the Fed Chair later today.<\/span><\/p>\n

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

Yields Surge Ahead of Powell<\/span><\/h2>\n

Treasury yields are surging as the market awaits comments from Fed Chair Jerome Powell.<\/span><\/p>\n

The 10-year yield is up 5 basis points at 4.95% after pushing closer to 5% earlier this morning.<\/span><\/p>\n

That yield crossed the 4.9% mark for the first time since 2007 on Wednesday.\u00a0<\/span><\/p>\n

Many analysts believe the recent surge in Treasury yields has done some of the Fed\u2019s job for them, removing the need for another rate hike this year.\u00a0<\/span><\/p>\n

All ears will be on Powell at 12:00 p.m. ET to see if he strikes a more dovish tone than he did in the press conference after the last meeting.\u00a0<\/span><\/p>\n

The Fed\u2019s next rate decision is on November 1.\u00a0<\/span><\/p>\n

Netflix Surges On Subscriber Beat\u00a0<\/span><\/h2>\n

Netflix <\/b>(NFLX) shares are surging 13.9% ahead of the open after beating Q3 expectations and reporting a strong jump in subscribers.\u00a0<\/span><\/p>\n

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

    \n
  • EPS: $3.73 vs $3.49 expected<\/span><\/li>\n
  • Revenue: $8.54 billion, as expected<\/span><\/li>\n
  • Subscribers: 247.15 million vs 243.88 million expected<\/span><\/li>\n<\/ul>\n

    The company added 8.76 million global subscribers during the quarter vs estimates for 5.49 million.<\/span><\/p>\n

    Netflix said its ad-tier memberships grew nearly 70% from the previous quarter.\u00a0<\/span><\/p>\n

    The company also announced price increases.\u00a0<\/span><\/p>\n

    The ad-tier plan will remain $6.99 per month, basic will increase to $11.99 from $9.99, premium will increase to $22.99 from $19.99, and the standard plan will remain at $15.49.\u00a0<\/span><\/p>\n

    Tesla Slumps After Earnings<\/span><\/h2>\n

    Tesla <\/b>(TSLA) shares are dropping 6.9% in premarket trade after missing Q3 expectations across the board.\u00a0<\/span><\/p>\n

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

      \n
    • Adjusted EPS: $0.66 vs $0.73 expected<\/span><\/li>\n
    • Revenue: $23.35 billion vs $24.1 billion expected<\/span><\/li>\n<\/ul>\n

      It was the first quarter Tesla has missed on both the top and bottom line since Q2 2019.\u00a0<\/span><\/p>\n

      Gross profit declined 22% year over year while the company\u2019s total operating margin came in at 7.6% vs 17.2% a year ago.<\/span><\/p>\n

      On X (Twitter), the company said, \u201cCybertruck production remains on track for later this year, with first deliveries scheduled for November 30th at Giga Texas.\u201d<\/span><\/p>\n

      But CEO Elon Musk warned during the conference call, \u201cIt is going to require immense work to reach volume production and be cashflow positive at a price that people can afford. I just want to temper expectations for Cybertruck. It\u2019s a great product, but financially, it will take a year to 18 months before it is a significant positive cash flow contributor.\u201d<\/span><\/p>\n

      American Airlines Earnings<\/span><\/h2>\n

      American Airlines <\/b>(AAL) shares are up 1.3% ahead of the open after beating Q3 earnings expectations.\u00a0<\/span><\/p>\n

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

        \n
      • Adjusted EPS: $0.38 vs $0.25 expected<\/span><\/li>\n
      • Revenue: $13.48 billion vs $13.52 billion expected<\/span><\/li>\n<\/ul>\n

        On a non adjusted basis, American lost $545 million during the quarter, its first loss since Q1 2022.\u00a0<\/span><\/p>\n

        Capacity rose 7% year over year but higher costs squeezed profit.\u00a0<\/span><\/p>\n

        American cut its full-year forecast, partly due to higher fuel prices.\u00a0<\/span><\/p>\n

        The airline now expects full-year adjusted EPS between $2.25 and $2.50 vs $4 to $3.75 previously.\u00a0<\/span><\/p>\n

        American expects a full-year adjusted operating margin of 7% vs 10% previously.\u00a0<\/span><\/p>\n

        Weekly Jobless Claims Beat<\/span><\/h2>\n

        Weekly jobless claims fell unexpectedly last week.\u00a0<\/span><\/p>\n

        The Labor Department reported 198,000 Americans filed initial claims for unemployment benefits.\u00a0<\/span><\/p>\n

        That was down by 13,000 from the previous week\u2019s revised level and lower than 210,000 expected.\u00a0<\/span><\/p>\n

        Continuing claims rose by 32,000 to 1.734 million vs 1.710 million expected in the week ending October 7.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

        DJIA Futures: +9 (+0.03%) SPX Futures: +4 (+0.1%) NASDAQ Futures: +40 (+0.3%) Good morning friends! Futures are rising as traders look ahead to a speech by the Fed Chair later today. Let\u2019s get right to it! Yields Surge Ahead of Powell Treasury yields are surging as the market awaits comments from Fed Chair Jerome Powell. The 10-year yield is up 5 basis points at 4.95% after pushing closer to 5% earlier this morning. That yield crossed the 4.9% mark for the first time since 2007 on Wednesday.\u00a0 Many analysts believe the recent surge in Treasury yields has done some of the Fed\u2019s job for them, removing the need for another rate hike this year.\u00a0 All ears will be on Powell at 12:00 p.m. ET to see if he strikes a more dovish tone than he did in the press conference after the last meeting.\u00a0 The Fed\u2019s next rate decision is on November 1.\u00a0 Netflix Surges On Subscriber Beat\u00a0 Netflix (NFLX) shares are surging 13.9% ahead of the open after beating Q3 expectations and reporting a strong jump in subscribers.\u00a0 Here\u2019s how the streaming giant\u2019s results compared to analysts\u2019 estimates:\u00a0 EPS: $3.73 vs $3.49 expected Revenue: $8.54 billion, as expected Subscribers: 247.15 million vs 243.88 million expected The company added 8.76 million global subscribers during the quarter vs estimates for 5.49 million. Netflix said its ad-tier memberships grew nearly 70% from the previous quarter.\u00a0 The company also announced price increases.\u00a0 The ad-tier plan will remain $6.99 per month, basic will increase to $11.99 from $9.99, premium will increase to $22.99 from $19.99, and the standard plan will remain at $15.49.\u00a0 Tesla Slumps After Earnings Tesla (TSLA) shares are dropping 6.9% in premarket trade after missing Q3 expectations across the board.\u00a0 Here\u2019s how the electric automaker\u2019s results compared to analysts\u2019 estimates:\u00a0 Adjusted EPS: $0.66 vs $0.73 expected Revenue: $23.35 billion vs $24.1 billion expected It was the first quarter Tesla has missed on both the top and bottom line since Q2 2019.\u00a0 Gross profit declined 22% year over year while the company\u2019s total operating margin came in at 7.6% vs 17.2% a year ago. On X (Twitter), the company said, \u201cCybertruck production remains on track for later this year, with first deliveries scheduled for November 30th at Giga Texas.\u201d But CEO Elon Musk warned during the conference call, \u201cIt is going to require immense work to reach volume production and be cashflow positive at a price that people can afford. I just want to temper expectations for Cybertruck. It\u2019s a great product, but financially, it will take a year to 18 months before it is a significant positive cash flow contributor.\u201d American Airlines Earnings American Airlines (AAL) shares are up 1.3% ahead of the open after beating Q3 earnings expectations.\u00a0 Here\u2019s how the airline\u2019s results compared to analysts\u2019 estimates:\u00a0 Adjusted EPS: $0.38 vs $0.25 expected Revenue: $13.48 billion vs $13.52 billion expected On a non adjusted basis, American lost $545 million during the quarter, its first loss since Q1 2022.\u00a0 Capacity rose 7% year over year but higher costs squeezed profit.\u00a0 American cut its full-year forecast, partly due to higher fuel prices.\u00a0 The airline now expects full-year adjusted EPS between $2.25 and $2.50 vs $4 to $3.75 previously.\u00a0 American expects a full-year adjusted operating margin of 7% vs 10% previously.\u00a0 Weekly Jobless Claims Beat Weekly jobless claims fell unexpectedly last week.\u00a0 The Labor Department reported 198,000 Americans filed initial claims for unemployment benefits.\u00a0 That was down by 13,000 from the previous week\u2019s revised level and lower than 210,000 expected.\u00a0 Continuing claims rose by 32,000 to 1.734 million vs 1.710 million expected in the week ending October 7.<\/p>\n","protected":false},"author":41,"featured_media":71677,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[739],"tags":[],"class_list":["post-71671","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\/71671","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=71671"}],"version-history":[{"count":2,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/71671\/revisions"}],"predecessor-version":[{"id":71678,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/71671\/revisions\/71678"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/71677"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=71671"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=71671"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=71671"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}