Market Overview

The following is a partial recap of the market analysis shared during today’s morning Discord call.

We start the day in a sea of red as expectations of interest rate hikes by the Fed soar, with Citadel Securities, one of America’s top firms, expecting an increase of 25 basis points by the end of the week. Meanwhile, the situation in the Middle East fails to improve, as neither side commits to serious negotiations, making the oil market even more unpredictable.

Software

Yesterday we saw a rotation into the software sector, as it saw a 3% growth, while the semis and the market as a whole took a downturn. But we see a general upward trend in the sector, as it continues to make higher lows, with $96 as the main level to watch on the iShares Expanded Tech-Software Sector ETF (IGV). Regarding individual stocks, ServiceNow (NOW) seems to have broken the flag yesterday, most likely due to the company’s good earnings figures coming through. SoFi (SOFI) is another interesting stock, which has been going sideways for some time now, and with earnings scheduled for tomorrow, it’s likely to move in one direction or the other.

From left to right: iShares Expanded Tech-Software Sector ETF (IGV), ServiceNow (NOW), and SoFi Technologies (SOFI).

Local Stocks

Boxer (BOX)

Boxer released a trading statement in the morning, with a mixed bag of results. While the company is suffering from a deflationary environment, it has shown decent volume growth and market share gain. The margins are also holding steady, and new stores are opening. As the stock is currently on a downward turn, we recommend keeping an eye out for when it consolidates. To that end, we see the previous consolidations at R70 and R74 as the levels to look out for.

Platinum Group Metals

Platinum group metals are currently at a low point, but with a possible resurgence of internal combustion automobile manufacturing on the horizon (following the end of the wars in the Middle East and Ukraine), and increasing industrial demand, metals like platinum, palladium and rhodium make for a good long-term investment.

From left to right: Valterra Platinum (VAL), Sibanye Stillwater (SSW), and Northam Platinum (NPH).

Earnings & Economic Data

Pre-Market Earnings

Boeing (BA)

Boeing is an American multinational and the world’s largest manufacturer of aircraft, both civilian and military. The company also deals with missiles, satellites and more.

PayPal (PYPL)

PayPal is a U.S. based multinational fintech that handles online money transfers.

United Parcel Service (UPS)

UPS is one of the world’s largest international shipping and courier companies.

Coca Cola (KO)

Coca-Cola is the world’s largest brand of cold drink, and just like the previously mentioned PayPal (PYPL), its performance can be used to gauge the state of the consumer market.

After-Market Earnings

Visa (V)

Visa is an American multinational card and payment processor, and the second largest in the world, behind Mastercard (MA).

Seagate Technology (STX)

Seagate is an American data storage company, manufacturing products like hard drives, flash drives and more.

Ford (F)

Ford is a famous American car manufacturer, mainly producing pick-up trucks, SUVs and sports cars.

Economic Data

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