Is Investor Sentiment Getting Too Bullish?
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What’s in Today’s Report:
- Is Investor Sentiment Getting Too Bullish?
- Why the FOMC Minutes Weren’t Hawkish
- EIA Analysis and Oil Update
Futures are solidly higher following stronger than expected NVDA earnings and guidance.
NVDA results beat across the board as earnings, revenue and guidance all beat estimates while the company announced a 10:1 stock spilt and increased the dividend. NVDA is up 6% pre-open and pushing futures higher.
Economically, EU and UK May flash PMIs were mixed but both above 50, importantly signaling economic expansion.
Today focus will switch back to economic data and the key report today will be the May Flash PMI (E: 51.0). For now, investors still view “bad data as good for stocks” as it makes rate cuts more likely so a small miss vs. expectations should extend the early rally. We also get the latest Jobless Claims (E: 220K) and again a small miss will be welcomed by investors. Turning to the Fed, the surge of speakers subsides today as we only have one speaker, Bostic (3:00 p.m. ET) and he shouldn’t move markets.
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