Daily Morning Market Update

Market futures are mixed with the Nasdaq and S&P 500 slightly up. Treasuries are mixed with the longer-term up and the short-term notes down. Oil and natural gas are both up again. Bitcoin is sitting at $40k.

Economic data being released today include retail numbers and these numbers are watched very closely. The consumer is currently considered to be pretty healthy with excess cash, the talking points of people that say the pandemic increased rifts of inequality are not supported by the data. Many Americans are in a better position financially, now than they were before the pandemic. That is not hard to believe if we consider that most people received free money from the government! Credit cards are paid off and many saved up for a vacation.

Today we are also awaiting news on the removal of subsidies or increase of tariffs for Boeing (BA), a questionable move when considering that Boeing is the largest US exporter and makes up about 1% of US GDP. It is not clear what exactly will happen, and I would not be surprised to see subsidies continue in some form. European airplane maker Airbus (EADSY) is also on the block for subsidy cuts, the company is heavily subsidized by the EU. Other things on the table as the G7 concludes are tariffs on steel. The US has voiced its commitment to improving infrastructure and to use American materials and labor to do so, this can only be done by Upholding Trump-era tariffs on Chinese steel.

There really is no individual name I am watching today because the positive market vibes are pretty broad, all sectors are in the green as the market is hovering at new record highs. Usually, we see this broken by unfavorable data because there is no earnings season going on. If the market sentiment continues to stay positive we will likely see a surge in the reopening stocks like the AirBnB's (ABNB) and MGM's (MGM) of the world, also the cruise lines.

Thanks for reading,

The Punkrock Capitalist