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Of the few significant trends driving investor—and Wall Street—interest today is
the race for electric vehicle (E.V.) domination. Like technology stocks in their
own race for artificial intelligence (AI) breakthroughs, investors need to be
extra picky about which names to back and why. While it can be a wild guess as
to which company could win the race, one trend is as clear as shooting fish in a
barrel. Whether it is Tesla Inc. (NASDAQ: TSLA) or BYD Company Ltd. (OTCMKTS:
BYDDF) that takes over most of the EV market share, both would need the help of
two critical components to rise to the top. Copper and lithium are fundamental
materials in making batteries to make these EVs work, where two mining stocks
come into play as indispensable. .
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YOUR EVENING RECAP FOR FRIDAY, APRIL 12TH

Equity markets rebounded on Thursday after softer-than-expected PPI data took
the sting out of Wednesday's CPI report. Because the PPI is a leading indicator
of consumer prices, market participants believed the data points to decelerating
inflation, keeping the FOMC on track to cut rates this year. The caveat is that
the CPI was largely driven by gas and energy prices, which are up significantly
from recent lows and $10 or 13% above 2023's average price. With this situation
underpinning the economy, inflation should be expected to persist for the
foreseeable future.

Next week's focus will be on earnings. The banks usher in the CQ1 earnings
reporting season today, which is expected to show earnings growth accelerate
from the prior quarter. The risk is that results, guidance, or both will be less
than anticipated, undercutting the outlook for full-year results. Inflation and
interest rates aside, a deteriorating outlook for earnings is a powerful
headwind for the S&P 500 that it may be unable to overcome. Add in the growing
possibility that there will be no interest rate cuts this summer, and the odds
of a major S&P 500 correction before or over the summer grow to a near
certainty.

Featured: A.I. Pioneer Issues Urgent Warning to Americans (TradeSmith)


3 KEY STOCKS HELPING TO DRIVE THE EV RACE

Of the few significant trends driving investor—and Wall Street—interest today is
the race for electric vehicle (E.V.) domination. Like technology stocks in their
own race for artificial intelligence (AI) breakthroughs, investors need to be
extra picky about which names to back and why. While it can be a wild guess as
to which company could win the race, one trend is as clear as shooting fish in a
barrel. Whether it is Tesla Inc. (NASDAQ: TSLA) or BYD Company Ltd. (OTCMKTS:
BYDDF) that takes over most of the EV market share, both would need the help of
two critical components to rise to the top. Copper and lithium are fundamental
materials in making batteries to make these EVs work, where two mining stocks
come into play as indispensable.

Read The Full Story >



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BIG BANKS WARN OF UNCERTAIN YEAR AHEAD AFTER MIXED FINANCIAL PERFORMANCES IN THE
FIRST QUARTER

Big banks warned of an uncertain year ahead after mixed financial results during
the first quarter in an environment of stubbornly high inflation and
geopolitical clashes in Europe, the Middle East and elsewhere

Read The Full Story >



5 SEMICONDUCTOR GIANTS: NAVIGATING THE RECENT PULLBACK

Amidst the recent correction and pullback across the semiconductor sector, a
sector that has long been a powerhouse driving market growth, investors find
themselves at a pivotal juncture. After a period of remarkable performance both
year-to-date and over the previous year, the sector has encountered a
significant pullback. This pullback, however, might unveil a compelling buy
opportunity for savvy investors. The semiconductor industry, spearheaded by
giants such as NVDA, AMD, TSMC, INTC, and SMCI, has propelled the overall market
to new heights. Led by innovators like Nvidia, the sector had witnessed an
unprecedented surge, fueled by burgeoning demand for its products thanks to
Artificial Intelligence (AI).

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EX-FED CHAIR BEN BERNANKE FINDS 'SIGNIFICANT SHORTCOMINGS' IN BANK OF ENGLAND'S
ECONOMIC FORECASTING

A review of the Bank of England’s economic forecasting undertaken by the former
chair of the U.S. Federal Reserve has found “significant shortcomings” that
should be addressed to better inform future interest rate decisions

Read The Full Story >



BREAKOUT ALERT: COINBASE'S CONSOLIDATION IS ABOUT TO END

There's no denying that equities are a strong market right now. The benchmark
S&P 500 index has been powering to high after high since before Christmas, and
there are increasing signs of the Fed beating inflation.  With such a risk-on
sentiment sweeping markets, many stocks that did so before the 2022 crash are
back in vogue. One such stock in particular is Coinbase Global, Inc. (NASDAQ:
COIN), the digital cryptocurrency exchange. Its shares have been recovering for
over a year now, but even with a 700% rally, they're still nowhere near the
highs of its 2021 IPO.  Links with Bitcoin That's just to give some context on
how hard some of these growth-focused tech stocks were hit and how much
potential some of them still hold.

Read The Full Story >



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FACED WITH POSSIBLY PAYING FOR NEWS, GOOGLE REMOVES LINKS TO CALIFORNIA NEWS
SITES FOR SOME USERS

Google on Friday began removing California news websites from some people's
search results, a test that acted as a threat should the state Legislature pass
a law requiring the search giant to pay media companies for linking to their
content. Google announced the move in a blog post on Friday, calling it a
"short-term test for a small percentage of users ... to measure the impact of
the legislation on our product experience.” The company said it also would pause
new investments in the California news industry, including the partnership
initiative with news organizations and its product licensing program.“By helping
people find news stories, we help publishers of all sizes grow their audiences
at no cost to them.

Read The Full Story >



DIVIDEND ARISTOCRAT FASTENAL GOES ON SALE: BUY IT WHILE IT’S DOWN

Dividend Aristocrat Fastenal (NASDAQ: FAST) fell about 5% after its Q1 release
and may fall further. Not because the business is flagging but because the
valuation has run up to unsustainable levels. This stock rose nearly 100% over
the last two years, recently peaking at an all-time high, and correction is due.
Much of the gains for this construction stock were made this year, about
3600bps, since January when the stock was included in the Dividend Aristocrats
index, another factor in today's decline. Because of indexing, inclusion in the
Dividend Aristocrat index is responsible for this year's price run-up.

Read The Full Story >



US CONSUMER SENTIMENT FALLS SLIGHTLY AS OUTLOOK FOR INFLATION WORSENS

Consumer sentiment about the U.S. economy has ticked down but remains near a
recent high, with Americans' outlook largely unchanged this year. The University
of Michigan’s consumer sentiment index, released Friday in a preliminary
version, slipped to 77.9 this month, down from March's figure of 79.4. Sentiment
is about halfway between its all-time low, reached in June 2022 when inflation
peaked, and its pre-pandemic averages. The survey has been conducted since 1980.
“Consumers are reserving judgment about the economy in light of the upcoming
election, which, in the view of many consumers, could have a substantial impact
on the trajectory of the economy,” said Joanne Hsu, director of the consumer
survey.

Read The Full Story >


The Night Owl is an evening newsletter published by The Early Bird and powered
by MarketBeat. The Night Owl covers top stories on the stock market and outlook
on interesting stocks. If you give a hoot about the market, read your copy every
Tuesday, Thursday, and Sunday evening.


 
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