ECONOMIC SILUET: Watch these defense names, the PAVE ETF, and this dividend raiser in tomorrow’s trading

Rabu, 08 Maret 2023

Watch these defense names, the PAVE ETF, and this dividend raiser in tomorrow’s trading

WED, MAR 08, 2023

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

Defense stocks as President Biden releases the budget

As China increases its defense budget, the Pentagon has been pushing for an increase in the U.S.
We'll see more about President Joe Biden's plans Thursday.
Howmet Aerospace is up about 11% in 2023.
BWX Technologies is up 8% in 2023.
Elbit Systems is up nearly 8% in 2023.
The iShares US Aerospace & Defense ETF (ITA) is up close to 4% in 2023.
L3Harris, Lockheed Martin, Raytheon, Huntington Ingalls, General Dynamics, Leidos, Booz Allen and Northrop Grumman are all negative year to date. Northrop Grumman is down 14%, and Booz Allen is off by more than 11% this year.

The President's budget is also expected to drop subsidies for oil and gas companies

Energy was the top performing S&P Sector in 2022.
In 2023, it is 9th out of 11 for many reasons, including fears of a further global economic slowdown.
The top three performers in 2023 are Marathon Petroleum up nearly 10%. Baker Hughes is up 6.4%, and Valero is up 4.7%.
The bottom three stocks are APA which is down 17.5% in 2023, Devon Energy is down 11.4% this year, and Pioneer Natural Resources is down 10.5%.

GE's Larry Culp live and exclusive on CNBC at 6:45 a.m. ET

The stock one of the leaders in the industrials so far this year.
GE is up 33% so far in 2023.
It hit a new 52-week high yesterday.

PAVE, the infrastructure ETF

CNBC's data team guru Gina Francolla noted that this ETF is just off the high, up 0.5% today.
Year to date, the Global X US Infrastructure Development ETF (PAVE) is up 11.7%.
The top components in PAVE in 2023 are Century Aluminum, up 47.7%. ATI is up 40%, and Terex up 38.6%.
The worst performers are Greenbrier Companies down 4.7% in 2023. Valmont is down nearly 4%, and Sempra Energy is down 3.8%.

American Express approves repurchase program and hikes dividend

The dividend hike is 15% from current levels.
The company is buying back 120 million shares.
American Express is the second top-performing stock in the Dow 30 so far this year up 18.3% (Salesforce is the top performer).
American Express has cooled in the last month, down 2.3%.
The stock pays a 52 cent per share dividend, equaling 1.19%.

Buy now, pay later

CNBC reporter Kristina Partsinevelos has new information on the "buy now, pay later" stocks.
That allows consumers to pay for goods in installments, without a price hike, assuming they pay on time.
Affirm and Block are both up roughly 25% in 2023. PayPal is up 6.5% this year.

Twilio

This communication software company is up almost 50% in 2023.
CNBC's Nick Wells reports that the CEO has confidence in the stock: Jeff Lawson bought 160,000 shares last month.