ECONOMIC SILUET: Watch tech ETF winners, bank stocks on a rebound and Chevron in trading tomorrow

Kamis, 01 Desember 2022

Watch tech ETF winners, bank stocks on a rebound and Chevron in trading tomorrow

THU, DEC 01, 2022

The goal of this newsletter is to get you ahead of the next day of investing and trading. It's your first look at tomorrow and last look at today powered by the team of people who direct CNBC TV's stock market coverage.

Tomorrow's Top CNBC Stories Tonight

Tech winners if the Fed softens on policy

If the Federal Reserve is really slowing down, will the stocks and sectors that were most negatively affected as interest rates rose become benefactors?
Tech might fit into that scenario, but as CNBC's top newsman Dan Colarusso asked in a meeting Thursday, "Will the job cuts and supposed 'right sizing' make them more 'lean and mean?'"
While nobody knows the answer to those questions, it could be a hook to look at the pillars of the tech sector.

The Invesco QQQ ETF (QQQ) is down 15.4% since the rate hiking began in March.
The First Trust Nasdaq-100 Equal Weighted Index Fund (QQEW) is down 8.5% since March. Since this ETF represents the equal-weighted Nasdaq 100, it means Amazon and Apple count as much as Zoom and Splunk.
The ETFMG Prime Cyber Security ETF (HACK) focusing on cyber-defense stocks is down 18.5% since March.
The Global X Cloud Computing ETF (CLOU) is down 19% since March.
The SPDR S&P Software & Services ETF (XSW) is down 20.4% since March.
The VanEck Semiconductor ETF (SMH) is down 16% since March.
The Wedbush ETFMG Video Game Tech ETF (GAMR) is down 27% since March.
The Global X Social Media ETF (SOCL) down 31% since March.
Every ETF above is up this week, with SOCL leading the way up 5.8% in four days, CLOU up 5.3% in four days and XSW up 4% in four days.

Banks at the center of attention

CNBC will focus a bit on the banks Friday. Jim Cramer said Thursday night on "Mad Money" that financials are in a good position to get a boost, perhaps for a few reasons, but certainly because they're collecting customer money and they're able to invest it in higher yielding investments, such as bonds.
Financials fell Thursday, but they're up 5.6% over the past month.
Invesco gained about 25% over the past month, leading the S&P Financials. Franklin Resources added nearly 21%, and T. Rowe Price advanced 19%.

Goldman Sachs climbed 10% in a month. JPMorgan jumped more than 6% in that period, while Citigroup gained about 3.4%.
One bank that's not doing so great, as CNBC field producer Dawn Giel pointed out today, is Credit Suisse. Shares fell about 5.8% Thursday, hitting a new low. The stock is down 55% in six months and nearly 26% in a month.

Shedding light on Chevron shares versus oil

Mike Wirth, chairman and CEO of Chevron, is on "Squawk Box" in the 7 a.m. hour Friday, Eastern time.
His stock is pretty much right on par with the S&P Energy in almost every time period, including one month, three month, six month and year to date.
Shares are up 55% in 2022, compared to 63% for the Energy Select Sector SPDR Fund (XLE).

See what he has to say about high prices for energy stocks even as oil has dropped.
West Texas Intermediate crude and Brent crude are down about 8% over the past month, and the XLE is flat.
In the past two months oil is little changed, but the XLE and Chevron are up more than 26%. Wirth will shed some light on the divergence.

Charging a new industry

ChargePoint is down about 3% tonight after reporting quarterly numbers.
Revenue jumped 93% in the last quarter, but overall the company reported a net loss of $84.5 million.
These stocks are having a tough go over the past month. Volta is down 51.5%. EVgo fell nearly 17.3%. Wallbox slid 17%. ChargePoint tumbled 13.5%. Blink is nearly 5% off in the past month, but Beam Global gained 47% in that period due to optimism over the company's growth.