Welcome Back,

Market Headlines 👀 

• US new home sales for the month of January came in at 661k.

• Apple (AAPL) company is exploring new wearable devices which could include AirPods with cameras or smart-glasses.

• Palo Alto Networks (PANW) stock jumps as Nancy Pelosi trade details report this is her latest buy.

• Microsoft (MSFT) announces a partnership with Europe’s Mistral AI to continue to build its generative AI applications.

• Bitcoin (BTC) crytocurrency rally continues as Bitcoin crosses $54k for the first time since December 2021.

Earnings 💸

• Dominoes Pizza (DPZ)

  • EPS: $4.48 beats (exp. $4.40)

  • Revenue: $1.4b beats (exp. $1.3b)

• Zoom (ZM)

  • EPS: $1.42 beats (exp. $1.15)

  • Revenue: $1.15b beats (exp. $1.13b)

• Workday (WDAY)

  • EPS: $1.57 beats (exp. $1.47)

  • Revenue: $1.99b beats (exp. $1.92b)

SPX Heatmap 🔥 

Recap Around the Street 🧠

However, now that we are seeing further evidence of a recovery in cyclical data and challenges to the

disinflation narrative, we are wondering if this current pricing of the Fed, and the Fed’s own language will be pulled to be more hawkish.

We repeat two assertions from our piece two weeks ago with additional data: first, there is little urgency for the Fed to act at this time; second, in the past 35 years the Fed has never began cutting in an accelerating PMI environment.

On the first point, we add the current state of financial conditions, which are now back to 2021 levels of easiness using the Bloomberg measure (which includes equity prices, credit spreads, yields, volatility, and more). Easy financial conditions are considered to be stimulative to/supportive of growth. At these easy levels, and with the potential for percolating price pressures, it is hard to see the Fed desiring an even greater loosening of financial conditions.(Contributed by Cameron Dawson, CIO at NewEdge Wealth.)

Market Preview 🎞️

• Tuesday, February 27th: Conference Board consumer confidence

• Tuesday earnings: Lowes (LOW), LendingTree (TREE), Beyond Meat (BYND), and Norweigian Cruise lines (NLCH)

• Wednesday, February 28th: MBA mortgage applications; Q4 US GDP; G-20 finance ministers and central bank chiefs meeting

• Wednesday earnings: Snowflake (SNOW), Salesforce (CRM), AMC Entertainment (AMC), c3.Ai (AI), Okta (OKTA) and Duolingo (DUOL)

• Thursday, February 29th: Weekly jobless claims; US PCE data

• Thursday earnings: Zscaler (ZS), Best Buy (BBY), Ginkgo Bioworks (DNA), Dell (DELL), and Celsius (CELH)

Enjoy reading?👇

That’s all for today, folks! We’ll be back around the same time Thursday with a curated list of important news, economic data and market highlights. 

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