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Fed Chair Powell told Congress that the government needs to continue to support the economy, as the market ends mixed.
The market closed today with a mix of red and green, but only barely. The DOW and S&P 500 both took gains, as the NASDAQ dropped by the end of the session.
Federal Reserve Chair Jerome Powell spoke in front of Congress today about the Fed’s view on monetary policy. He told Congress that the economy was still off from what the central bank would like to see before easing its favorable policies. This response resulted in a mixed close for the 3 major market indices, as investors aren't sure how keeping favorable policies could address the rising inflation. GET THE DAILY MARKET RECAP
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Levi Strauss & Co (LEVI) stock continues to run up after last week’s great earnings report.
While browsing the list of winning companies today on Stock Card, Levi Strauss & Co (LEVI) caught my eye. The stock closed up more than 4% today. Looking at the chart, this is part of a run that has been going for days. Levi’s second-quarter earnings report, put out last Thursday, was quite impressive. The company is revising its financial forecast for the remainder of the year, expecting to see numbers even higher than before the pandemic.
If you go to the company's Stock Card, under the sales growth section, you'd see the retail clothing veteran increased its net revenue by 156% over last year’s second quarter, as the company swiftly reopened stores. It has even been harnessing AI to predict demand for individual outlets and stores, stocking the correct clothing lines ahead of time. This has brought inventory down 12%, while the company continues to raise profits. It’s no wonder that the company has a green rating in Profitability on its Stock Card. The management appears very confident that the growth isn’t over, and that denim demand will continue to see a resurgence. While it’s tough to bet on a company’s success that changes with fashion trends, this is one you could have faith in to use your investment well. Before I cover today’s loser stock, it’s worth noting that Netflix (NFLX) has entered into the podcast market and is eyeing the gaming industry too. I noticed the Netflix Podcast website, and IGN, a video game media company, reported Netflix hiring an ex-EA executive. This tells us that Netflix management believes there is not much growth left in video streaming and the company is looking for its next big bet. Let's watch this development for a while. Could be the path for Netflix to become much bigger, although both markets are quite competitive. WHAT'S DOWN?
Upwork (UPWK) stock falls -17% after gaining ground all month, should you buy the dip?
Today, Upwork (UPWK) stock took a -17% plunge by closing time. This is a reversal of a nice run the stock had been on since the end of June. While it seemed that investors had a lot of faith in the stock with its gradual growth, they may be getting weary of the upcoming earnings report at the end of July. The last earnings report in May showed a 41% growth in the volume of services since last year, but still registered a net loss per share.
While the company got a boost in volume due to the work from home trend, it is still expanding its services. With the recent addition of Work Marketplace, there’s now a more complete service with tools for organizations to streamline the hiring and management process, and for freelancers to get in contact with employers. While the company isn't profitable, it's a free cash flow generating stock. I'm monitoring the stock to see why the price has been dropping steadily in the last few days. Perhaps it's a buy-the-dip opportunity. We just need to make sure there are no operational challenges before jumping in. Most likely, I'll wait for the next earnings report. WANT TO RECIEVE THIS DAILY STOCK MARKET RECAP IN YOUR MAILBOX?Comments are closed.
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