Wednesday, December 11, 2019Several news items this morning are worth paying attention to today, along with a Fed report this afternoon. At that time, 2pm ET, the Federal Budget will come out. Last time around, we saw the headline at -$205 billion. We also expect a new announcement that will keep interest rates steady at 1.75%, followed by a press conference for Fed Chair Jerome Powell at 2:30pm today.
Ahead of today’s open, November Consumer Price Index (CPI) numbers have been released: +0.3% is the new headline number, up 10 basis points from the +0.2% expected but down from October’s +0.4%. Stripping out food and energy costs — aka the “core” number — we see an in-line +0.2% with expectations and previously reported.
Year over year, headline CPI tallies 2.1%, slightly above expectations but 30 basis points ahead of October’s 1.8%. Core CPI, year over year, was an as-expected 2.3%. This is more of the steady — if tepid — growth we have gotten used to over the past several years. An inflation rate of 2.1% will send no one running for the hills; we can even go back to looking at these figures as somewhat “Goldilocks” — not too hot, not too cold.
The other side of the coin, Producer Price Index (PPI), hits the tape at this time tomorrow. As with November CPI, +0.2% is currently expected, following a +0.4% print for October.
Saudi Aramco marks its first day of public trading on the Riyadh (Saudi Arabia) stock exchange, at which time the stock grew 10% in value. The state-owned company now holds the honor of being the most highly-valued company on the face of the earth: $1.88 trillion in market cap. Capital raised on the company’s IPO surpassed the previous record, Alibaba (BABA - Free Report) , which had raised $25 billion on its IPO.
In unrelated news, but in the same integrated oil industry, Chevron (CVX - Free Report) has announced Tuesday afternoon it will take a writedown on between $10-11 billion for its Q4 earnings report, expected in late January. Shares are down only modestly on the news, as a “disciplined approach to capital allocation” is directing the decision.
Mark Vickery
Senior Editor
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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
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Wednesday, December 11, 2019
Several news items this morning are worth paying attention to today, along with a Fed report this afternoon. At that time, 2pm ET, the Federal Budget will come out. Last time around, we saw the headline at -$205 billion. We also expect a new announcement that will keep interest rates steady at 1.75%, followed by a press conference for Fed Chair Jerome Powell at 2:30pm today.
Ahead of today’s open, November Consumer Price Index (CPI) numbers have been released: +0.3% is the new headline number, up 10 basis points from the +0.2% expected but down from October’s +0.4%. Stripping out food and energy costs — aka the “core” number — we see an in-line +0.2% with expectations and previously reported.
Year over year, headline CPI tallies 2.1%, slightly above expectations but 30 basis points ahead of October’s 1.8%. Core CPI, year over year, was an as-expected 2.3%. This is more of the steady — if tepid — growth we have gotten used to over the past several years. An inflation rate of 2.1% will send no one running for the hills; we can even go back to looking at these figures as somewhat “Goldilocks” — not too hot, not too cold.
The other side of the coin, Producer Price Index (PPI), hits the tape at this time tomorrow. As with November CPI, +0.2% is currently expected, following a +0.4% print for October.
Saudi Aramco marks its first day of public trading on the Riyadh (Saudi Arabia) stock exchange, at which time the stock grew 10% in value. The state-owned company now holds the honor of being the most highly-valued company on the face of the earth: $1.88 trillion in market cap. Capital raised on the company’s IPO surpassed the previous record, Alibaba (BABA - Free Report) , which had raised $25 billion on its IPO.
In unrelated news, but in the same integrated oil industry, Chevron (CVX - Free Report) has announced Tuesday afternoon it will take a writedown on between $10-11 billion for its Q4 earnings report, expected in late January. Shares are down only modestly on the news, as a “disciplined approach to capital allocation” is directing the decision.
Mark Vickery
Senior Editor
Questions or comments about this article and/or its author? Click here>>
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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