DHUnplugged #301: Groundhog Day, Again…

philMarkets are still contending with cross currents and the free-fall in commodity prices. The most recent earnings from Apple (AAPL) and Google (GOOG) are pushing and pulling investors in different directions.

We delve into the recent move by the Bank of Japan, earnings and the latest news that are shaping the investment climate. Plus, we reveal the winning entry from our 300th Anniversary show.

Plus, we take a look at negative interest rates and the potential for the Fed to restart QE.

Click HERE for Show Notes and Links

Results from the DHFed - No one got it exactly right - but close... (Scroll to bottom)

The Bank of Japan shocked markets last Friday with the announcement that they are moving toward negative rates. (Only for new money deposited at the BOJ and will not hurt bank profits) Yen drop 2% on the news after initially soaring. Negative rates are a really bad experiment.

Tonight, in response to the selloff in US and oil hitting $29.45 (down 23% YTD), Japan markets down 3%, Hang Seng down 3%, and futures running lower)
* Tomorrow may be ugly.... However, probably a good amount of potential bounce opportunity ahead of Friday. **

Crude oil now back to $30... Nasty fall after big move up.  markets following step-by-step. DJIA dropped 300 points today and NAZ and S&P ugly. Where to next?

Google/Alphabet (GOOG) unseats Apple (AAPL) as the most valuable company in the world. With the recent earnings announcement, Google's market cap is larger than Apple. WOW!

- Google had more paid clicks at a lower cost per click and beat by a wide margin.

Yahoo! laying off 2,500 employees. But, is Marissa Mayer one of them .. NO!
WAIT!!! 3:30pm, some chatter about yahoo! looking for.... "Strategic Alternatives" - stock ramps (smells like desperation).

Yahoo! also announced that they are going to explain a major restructuring after the earnings announcement tonight - that led me to believe that there is the potential for a significant miss in their quarterly report. (There is also some discussion out there are lawsuits against Yahoo! regarding their stacking process for employee reduction)

Natural gas getting whacked! Below $2.00 now and off by 14% YTD, 13% in Feb. Maybe because Punxsutawney Phil sees no shadow, predicts early spring??

The 10-year Treasury is 1.87% now, the recent low was 1.5% in 2012 when the Fed was pressing rates. Does this mean that markets do not believe that the Fed will be raising rates again AND may be moving toward additional stimulus? Or something else under the surface...

BANKS: This is bad..Click to see recent performance

Click For Bank Performance

Iowa Caucus - Clinton and Cruz. WOW... Trump must be pissed.

What is with this Zika virus - really picking up steam. WHO now calling this a global emergency. (LINK)
-- Report that the first spread through sexual contact in the US just hit the wires.

Comcast - Xfinity - I have service and they opened up their WiFi so wherever I am it picks it up, piggybacking off of others Wifi. Is this right?

It is starting.... Exxon Mobil profits down 58%, BP down 90% or so..... The longer oil stays here the worse it will get (Junk bonds continue to show distressed status)

Flint Michigan - how bad is this? (LINK)

Eagles trained in Netherlands to take down drones (LINK)


Chipotle (CMG) - CDC has ended its investigation of the food chain and found nothing... Really? Also, earnings after the close tonight...
Earnings - company beas on EPS but misses on revenue. Part of the beat on earnings was the fact that there was a major reduction in non-cash stock compensations.

Remarkable - German jobless rate falls to the lowest on record. We will be looking this week to the ADP private payroll report on Wednesday (190k is consensus) as well as the big BLS employment report on Friday. (Estimates are for 183k and 5% unemployment rate)

- Will there be a surprise waiting? A much worse number? Remember, the December number was juiced because of annual adjustments and thee was some thought that the actual number was closer to only 11k jobs added.

Here is how you cash out.... Ferrari (RACE) came public in October 2015.. Stock went to $60+, now at $34 after missing earnings and complaining about slow sales. Push the crap to the little guy....

Ketamine, popularly known as the psychedelic club drug Special K, is a staple anesthetic in emergency rooms, regularly used for children when they come in with broken bones and dislocated shoulders. It’s an important tool in burn centers and veterinary medicine, as well as a notorious date-rape drug, known for its power to quickly numb and render someone immobile. Now being used to treat severe depression... (LINK)

Dude: Legal Marijuana Sales Projected to Reach $6.7 Billion in 2016

Seriously? Amazon (AMZN) is planning to open hundreds of physical bookstores according to a large mall CEO who spoke to Dow Jones.

Rule 48, which the NYSE declares on volatile days with the goal of ensuring orderly trading. But it may have backfired on Aug. 24 by leaving traders in the dark about prices. Now they want to scrap it. (LINK)

For the 300th DHUnplugged Show - We have a Giveaway! Guess how much money is in the picture below and the winner gets $100 Amazon Gift Card. (Entries open through 11:59 pm (ET), Sunday February 7, 2016)

Guess the Amount of Money In This Image

Take a look at the  image in the above link and then guess the amount. The winner will be announced next show. (First entry with exact amount will be the winner - one entry per person, earliest entry is the only one that counts - no funny stuff. An email will be sent to you to confirm your entry.)  * Note: Login/Register required to access and view the entry form.

Registered Users Only - Please Register/Login to view

See this week’s stock picks HERE

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