MARKET WRAP

The Nasdaq finally touched a new record high today for the first time since July.

This comes as Tesla’s post-earnings rally continued. The stock another 3% following its gained another 3% following more than 20% rise yesterday.

All of the Mag 7 stocks were higher today ahead of big earnings from Alphabet, Meta, Microsoft, Apple and Amazon next week.

Tech was the top sector of the day followed by Communication Services.

MRKT MATRIX: October 25, 2024

Today’s Top Stories:

• Nasdaq touches new record, but rest of market struggles Friday (CNBC)

• Wall Street braces for a big week ahead of the election, with megacap tech earnings, key data on tap (CNBC)

• S&P 500 Earnings Season Update (FactSet)

• A look at how the stock market does the week before a presidential election (CNBC)

• Citigroup Takes Profits on Some Trump Trades as Investors Favor Republican Candidate (Bloomberg)

• US Consumer Sentiment Rises to Six-Month High on Rate Relief (Bloomberg)

• CDC says 75 people affected in E. coli outbreak linked to McDonald’s Quarter Pounders (CNBC)

• KeyBanc downgrades Apple to underweight, citing iPhone sale concerns (CNBC)

• New ‘Call of Duty’ Tests Microsoft’s $75 Billion Bet on Future of Video Games (WSJ)

• Microsoft CEO Nadella asked for pay reduction after security slip, but total comp still rose 63% (CNBC)

• Arm CEO Sees AI Transforming the World Much Faster Than the Internet (Bloomberg)

• Alphabet’s self-driving unit Waymo closes $5..6 billion funding round as robotaxi race heats up in the U.S. (CNBC)

Today’s On The Tape is Presented by CME Group and iConnections

Tesla Sparks Mag7 Earnings Season with Stuart Sopp

Dan Nathan and Guy Adami tackle the latest market trends and economic indicators, the bond market's reaction to the Fed's rate cuts and the resilience of mega-cap tech stocks are also explored. The discussion shifts to McDonald's handling of an E. coli outbreak, and its comparison to Chipotle's 2015 crisis, alongside broader market volatility and upcoming earnings reports from major corporations like Apple, Google, and AMD. They delve into the competitive landscape of AI, noting the struggles of AMD against Nvidia and the performance of tech giants amid regulatory and advertising challenges. The episode highlights significant earnings reports, the potential upgrade cycle for Apple driven by AI developments, and Tesla's recent earnings performance. Additionally, the guys touch on the gold market trends amid a strengthening dollar

After the break (32:00), Dan Nathan and Stuart Sopp, CEO of Current, explore a range of crucial economic topics. They begin with the implications of the Federal Reserve's recent interest rate cuts and delve into economic indicators like inflation and employment data, linking them to market sentiment ahead of the elections. They discuss market rotations from leading tech stocks to small caps, and commodities, highlighting the emerging significance of generative AI and its impact on industries like logistics, biotech, and financial services. With insights from Q3 earnings, the conversation covers the financial sector's performance and future trajectories for tech giants and market trends.

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