Eyes are on Earnings

Author

Faro Capital
October 27, 2024

Hello everyone,

 It’s been a while but I’m now continuing to produce this newsletter every Sunday. Let’s get started. 

The S&P 500 closed relatively flat on Friday. The Dow dropped 259 points while the Nasdaq rose 0.56% as bank stocks declined & tech stocks rose. The financial sector was mainly affected by New York Community Bancorp, which saw its shares drop 8% after negative guidance. Other banks that declined:

Bank of America -1.7%

Wells Fargo -1.3%

Morgan Stanley & Goldman Sachs - 2%.

On the other hand, major tech companies such as Meta, Microsoft, Alphabet, and Amazon gained. 

The S&P/TSX Composite Index fell on Friday, as the market evaluated the latest corporate earnings & policy expectations from the Bank of Canada.

The Ibovespa dropped slightly on Friday. Declines from stocks like Ambev, WEG, Eletrobras, Itaú, Banco Bradesco,and B3, ranged between 1% to 3%. Suzano rose with an earnings beat.

Markets:

Source: Koyfin

Source: Koyfin

Source: Koyfin

Canada

  • Federal government posts $9.8-billion deficit for April-to-August period (BNN)

  •  Rate cuts lead to prime rate to drop to 5.95% (BNN)

  • Retail sales are up but miss expectations (FP)

  • Immigration numbers to come down (FP)

  •  Lundin family heirs bet on Argentina copper (FP)

  • Luxury condo sales drop in Toronto (FP)

  • Montreal dockworkers plan 24hr strike (WSJ)

U.S.

  • E. Coli outbreak affects McDonalds (CNBC)

  •  Spirit airlines to sell planes and cut jobs (CNBC)

  •  David Einhorn thinks Peloton is undervalued (CNBC)

  •  TKO to acquire three sports related business (CNBC)

  •  Yum Brands & Burger King to get rid of onions due to E. Coli outbreak (CNBC)

  •  Germany warns of retaliations if trade war starts (CNBC)

  •  Home sales drop to levels not seen since 2010 (CNBC)

  • Delta sues CrowdStrike over July mishap (WSJ)

  • Disney to name successor in early 2026 (WSJ)

Argentina

  • Government to sell off more than 400 properties across Argentina (BAT)

  •  Bond prices rose as country looks for $2.7B repo line (BAT)

  •  Argentina escapes money laundering grey list (BAT)

  • State owned Trenes Argentinos Cargas to be priviatized (BAT)

Brazil

  • Itaipava makes impact in billion dollar cocktail market (RIO)

  • Suzano Q3 profits soar to R$ 3.24B, beating estimates (RIO)

  • Steelmaker Gerdau face ownership changes (RIO)

  • BYD expands Brazil factory (RIO)

  • Agribusiness bankruptcies double during Q2 (Valor)

  • Orange shortage drop juice exports (Valor)

  • TCU approves Guarulhos Airport contract extension (Valor)

  • BBVA looks to expand in Brazil (Valor)

Colombia

  • Avianca to open new route between Cuba and Colombia (Port)

  • Government announces measures to protect steel industry (Port)

  • Top 10 careers to study in Colombia (Port)

  • Petro assures his administration will not sign new deals with oil companies (Port)

  • Cargill says Colombia could be a top exporter of chicken to the world (Port)

Chile

  • Santiago Metropolitan Region registers 79% of manufacturing and 60% of employment (DF)

Dominican Republic

  • DR has a trade deficit of $5.9B in 2023 (ELD)

  • 38.4% of Dominican homes are rented (ELD)

  •  79.3% of investments in free trade zones are from outside the country, with the U.S leading (ELD)

Panama

  • Government increases 2025 budget by more then $3B (ES)

  •  Tocumen S.A. hits total debt of $1.85B (LAE)

  •  There’s 40% decrease in the number of companies established in Panama (LAE) 

Peru

  • Lexus sales increase 16% (ELC)

  • Credicorp receive permission to open Tenpo Bank Chile (ELC)

  • Hudbay starts $100M worth of projects (ELC)

  • Agricultural products to Asia can be worth about $53B (ELC)

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DISCLAIMER: The above is not financial advice or solicitation to buy/trade any financial product/security. This newsletter is for educational purposes only. Any action/decision made by any reader is made of their own free will. Financial markets are full of risk, so be careful