Here are five things to know before Monday, January 25:
1.- Stock futures rise as investors assess incentives
Stock futures rallied modestly on Monday as hopes remained high that the Biden White House will provide another round of stimulus to the struggling US economy as investors prepare for a week of tech gains.
Contracts pegged to the Dow Jones Industrial Average were up 15 points, S&P 500 futures gained 13 points and Nasdaq futures were up 126 points.
President Joe Biden has pushed to pass a proposal for a $ 1.9 trillion pandemic, and officials in his administration on Sunday tried to allay Republican concerns that the package was too expensive, Reuters reported.
Lawmakers from both parties agreed that getting the Covid-19 vaccine to Americans should be a priority, Reuters reported, but some were targeting a smaller plan targeting vaccine distribution.
For example, Republican Senator Susan Collins said it “seems premature to consider a package of this size and scope.” She agreed that additional funding was needed for vaccine distribution, but in a “more limited” law, Reuters reported.
Shares ended Friday mixed as a spike in coronavirus infections and the possibility of tighter lockdowns offset expectations of more economic support from the Biden administration. The Nasdaq closed at a record high, up 0.09% to 13,543.
2. – This Week’s Calendar: Technical Income, Federal Reserve Meeting
Kimberly-Clark (KMB) – Request report announced revenues on Monday with companies like Tesla (TSLA) – Request report, Apple (AAPL) – Request report, Microsoft (MSFT) – Request report and Facebook (FB) – Request report reporting later this week.
Other heavyweights reporting this week include AT&T (T.) – Request report, Johnson & Johnson (JNJ) – Request report, Advanced micro-devices (AMD) – Request report, General Electric (TO GIVE) – Request report, Lockheed Martin (LMT) – Request report, Boeing (BA) – Request report, Starbucks (SBUX) – Request report, McDonald’s (MCD) – Request report, Chevron (CVX) – Request report, Caterpillar (CAT) – Request report and Eli Lilly (LLY) – Request report.
Apple and Tesla are among the top revenues in the coming week
Apple, Microsoft, Facebook, Advanced Micro Devices, Starbucks and Boeing are holdings in Jim Cramer’s Action Alerts PLUS member club. Want to be informed before Jim Cramer buys or sells the stock? Read more now.
The US economic calendar on Monday is light, but reports will come later in the week on consumer confidence, durable goods orders, unemployment requests and gross domestic product.
The Federal Reserve will meet on Tuesday and Wednesday, announcing expected interest rates at the end of the meeting. The central bank is not expected to change interest rates and has indicated that it will keep them close to zero until 2023.
3. – House speaker Nancy Pelosi buys Tesla options
Speaking of Tesla, Nancy Pelosi, the president of the US House of Representatives, and her husband Paul, a businessman and private investor, recently bought stock options in the electric vehicle company.
Pelosi bought 25 call options on Tesla on December 22, with an exercise price of $ 500 and an expiration date of March 18, 2022, according to a government filing. The transaction value was $ 500,001 to $ 1 million.
“Pelosi and her husband love to take long-term options,” wrote Davemanuel.com, who previously reported on the transaction and noted that Tesla closed at $ 640.34 on the day of purchase, “meaning the cost per contract is likely. in the $ 300- $ 330 per contract range, as Tesla’s options contain a very high amount of extrinsic value (time and volatility). ”
Telsa was added to the S&P 500 shortly before the purchase of Pelosi.
The stock is likely to benefit more from the country’s “blue wave”, according to a recent note by Wedbush analyst Dan Ives.
“A Biden White House and Blue Senate is a highly optimistic political backdrop and a potential game changer for Tesla and the general (electric car) sector in the US, with a more green-driven agenda now certainly in the cards for years to come. Ives wrote, adding that “ doubling ” tax credits for electric vehicles and other consumer incentives and government initiatives could help Tesla and General Motors. (GM) – Request report, Fisker (FSR) – Request report and other names.
Tesla rose 1.67% to $ 860.80 during Monday’s premarket trading. Analysts at Baird raised their target price for Tesla from $ 488 to $ 728 a share on Monday, saying “the stock bias is still positive.”
4. – Korean hedge fund ‘Less bullish’ on GameStop
Must Asset Management, the South Korean hedge fund that has made a bold bet on GameStop (GME) – Request report Nearly a year ago, the video game retailer’s stock has become less optimistic, Bloomberg reported.
Kim Doo-yong, CEO of Must Asset Management, said the stock’s high volatility and the increase of more than 10 times since his last interview with Bloomberg in March 2020 gave rise to his less rosy outlook.
“We have become less optimistic and more neutral on GameStop,” Kim said in an interview with Bloomberg on Monday. “This stock will remain highly volatile and unpredictable in the short term.”
Seoul-based Must Asset Management held a 4.7% stake in GameStop as of April 2020, according to Bloomberg data, making the Korean fund one of the largest investors in the company.
Kim declined to comment on Bloomberg about the fund’s current stake in GameStop, which rose more than 51% on Friday to a record high of $ 65.01. GameStop is a stock that has become a favorite of retail investors during the coronavirus pandemic, particularly Reddit-charged day traders, Bloomberg noted.
During Monday’s premarket trading, the stock rose another 49.22% to $ 97.01. The stock is up 245% so far.
5. – Tom Brady is set to play in his 10th Super Bowl
Tom Brady is on his way to his 10th Super Bowl, and his first with Tampa Bay, after the Buccaneers beat the Green Bay Packers 31-26 on Sunday in the NFC Championship game.
Brady has won six Super Bowl titles, all with the New England Patriots, the team he left last off-season.
Tom Brady’s Bucs season somehow contributed to a legacy that barely had room to top
Brady’s Buccaneers will play against Kansas City Chiefs in Super Bowl LV on February 7. The Chiefs defeated the Buffalo Bills, 38-24, in the AFC Championship.
The Super Bowl is played at Raymond James Stadium in Tampa, Florida, meaning the Buccaneers are the first team to play a Super Bowl at their home stadium.