It’s often said that loose lips sink ships.
President Trump’s loose lips to all sorts of characters — and the subsequent media coverage — could be steering the stock market right into a summer correction. Consider this. Over the past week, we have continued to get good, if not strong, reads on the U.S. economy. April industrial production blew it out of the water, signaling that manufacturers are seeing solid global demand. The Institute of Supply Management’s non-manufacturing index topped estimates, notching its 88th consecutive month of growth. The Nasdaq Composite has continued to rip to new heights, as investors remain star struck by what’s happening at tech giants such as Tesla (TSLA) , Apple (AAPL) , Amazon (AMZN) and Facebook (FB) .
Despite all of the upbeat headlines, the broader S&P 500 and Dow Jones Industrial Average have barely budged during the past five sessions. Further, stocks have taken to selling off on bad Trump related news, first with Comey (and now again with Comey) and then with the alleged comments made to a Russian diplomat. This reaction by stocks could indicate the first signs of investors losing confidence in what Trump could get accomplished. Remember, there is still a “Trump Trade” priced into so many sectors of the market.
Wonder what news will drop today…
Read This Or Lose Out
Target steps it up: After losing ground to a resurgent Walmart (WMT) for the past year and seeing its stock price react accordingly, Target (TGT) managed to share some decent news on Wednesday. The discount retailer crushed Wall Street’s first quarter profit estimates, sending the stock soaring. But as TheStreet reports, there is one glaring problem in the report Wall Street is loving.
Sad, but it’s about to happen: This weekend will mark the final shows for the Ringling Bros. circus. The final show will be Sunday in New York. You can thank gadget-loving millennials watching Netflix (NFLX) as one of the reasons why this national treasure it about to vanish. Hat to The Associated Press, which embedded itself with several performers ahead of the final act.
Here comes the heat: Many on the East Coast are bracing for the year’s first heatwave, which for the sake of Macy’s (M) and other apparel retailers will spur some sales. Temperatures in many cities will approach record levels, some dating back to the 1800s, points out USA Today.
— AccuWeather (@breakingweather) May 16, 2017
Sign me up for one of these: The Tesla (TSLA) killer has been unveiled (at least in terms of speed, not general popularity). A Swiss firm has taken the wraps off the Elextra electric supercar, reports Motor Authority. Personally, not fond of the styling. But the performance sounds insane. The car will allegedly go from 0 to 60 mph in 2.3 seconds — Tesla’s Model S P100 D needs to 2.4 seconds to pull that off.
Your childhood comes back to life: As part of a growing theme of ’90s sitcom revivals, ABC’s hit Roseanne will return by 2018, reports USA Today. Yes, the show will have the entire original cast. Can’t wait to see how Roseanne comments on Trump’s impact on her small, working class town…
This retail executive explains things perfectly: Hands down one of the best CFOs in the business, Carol Tome at Home Depot (HD) , talked at length with TheStreet about the current retail climate and how the improvement retailer is managing through it. In short, Tome gives a master class to all struggling retailers in this interview.