Yesterday’s inflation data came out higher than expected as the monthly CPI rose to 0.4% with the year’s inflation back up to 5.4% from the slight descent that we got last month coming down to 5.3%. The result is that investors shifted to a risk on approach as the dollar weakened during the course of the day.
- Plug Power Inc (PLUG) was up 12.79% on the back of a Morgan Stanley upgrade
- XPeng Inc (XPEV) was up 5.78%
- Delta Air Lines Inc (DAL) was down 5.77% as they stated higher fuel prices in their earnings report
- Pinduoduo (PDD) was up 4.34%
Stocks to watch
As the US economy recovers with the unemployment rate on the decline and consumer spending on the rise a lot of e-commerce and retail vendors have started offering discounts in the leadup to Black Friday sooner than expected to try and stretch out holiday spending.
Bank of America has stated that e-commerce remains a top growth industry, with traditional retailers like Target and Walmart making considerable leeway in their online support efforts to drive higher online sales.
The previous quarter’s earnings and revenue beat expectations, with considerable value in the retail sector in the leadup to Back Friday and holiday season shopping sprees more potential upside should be expected with the third-quarter earnings due in the latter part of November.
Technically the retail stock is gearing up for a change in trend as we got a break of the falling trend line as momentum starts to shift, a break of $240 should be the confirmation of the continuation of the rally.