hat it would stop accepting reservations for the all-electric GMC Hummer pickup and GMC Hummer SUV, according to a CNBC report.What Happened: General Motors saw over 90,000 reservations for both pickup and SUV. This demand has led to the Hummer EV reservations being fully booked. As a result, the company said it plans to close reservations from Thursday.The automaker will attempt to fill the current list of reserved automobiles, which extends at least through 2024.According to the report, Duncan Aldred, the global head of GMC, said while speaking to CNBC at the Detroit car show last week that for the Hummer EV — SUV and pickup — next year will be “big.”“We knew it would be a slow ramp. But next year, when you look at the calendar year, I think you’ll see a normalized year,” Aldred told CNBC.Why It’s Important: The number of reservations is noteworthy given that the vehicles' starting pricing range from $85,000 to $110,000.GM’s decision follows Ford Motor Company shutting down reservations for its F-150 Lightning electric pickup after hitting roughly 200,000 units in December 2021. According to an earlier CNBC report, Ford Chief Executive Jim Farley said, “We had to stop taking reservations because we had so many.”He added that Ford originally installed production capacity for 70,000-80,000 Lightnings a year and aims to double that over the next two years.
Unusual Whales has submitted a proposal to list two ETFs that would track the activity of lawmakers and their related parties.The ETFs drew inspiration from the successful trading of Nancy Pelosi and Ted Cruz.One ETF would track the activity of Democrats, while the other would track the activity of Republicans.Speaker of the House Nancy Pelosi is well-known for making profitable and timely trades. However, it isn’t just Pelosi who has made unusually profitable trades in the past few years. Quiver Quant’s U.S. House Long-Short strategy has returned 12.75% in the past year, outperforming the S&P 500’s one-year loss of almost 12%. The strategy takes a long position in stocks that have been sold by members of the House and a short position in stocks that have been sold. Meanwhile, the Congress Long-Short strategy has returned 17.5% in the past year and operates in a similar fashion as the House strategy.Now, investors may soon be able to invest in an exchange-traded fund (ETF) that follows the trading activity of lawmakers, their spouses, and their dependent children. The Unusual Whales Subversive Democratic Trading ETF seeks to follow the trades of Democratic lawmakers, while the Unusual Whales Subversive Republican Trading ETF seeks to follow the activity of Republican lawmakers. Let’s get into the details.Seven Things to Know About the NANC and KRUZ ETFThe Democratic ETF tracker would have the ticker NANC, while the Republican ETF would have the ticker KRUZ. These tickers reflect Pelosi and Texas Senator Ted Cruz.According to Unusual Whales, Pelosi currently owns 15 companies in her portfolio, including Tesla and Visa Last year, the Speaker made an estimated $12 million in purchases.On the other hand, Cruz has only made an estimated two trades in the past three years and has considered introducing a bill that would ban Congressional trading.A ban on Congressional trading is “not going to happen” before November’s midterm elections, according to Oregon Senator Jeff Merkley.In total, Congress transacted about $355 million of trades last year. Members of Congress are required to disclose any trade over $1,000 within 45 days of the trade.The two ETFs would each have between 500 and 600 positions. If a politician sells out a position, the ETFs would follow along. Furthermore, the ETFs will have an expense ratio of 1%.Still, a study conducted in 2020 showed that Senators are just as bad as picking stocks as retail traders. Another study showed that House members and Senators have “mediocre” stock picking skills.source：InvestorPlace
With US stock futures trading lower this morning on Tuesday, some of the stocks that may grab investor focus today are as follows:Wall Street expects Apogee Enterprises, Inc. to report quarterly earnings at $0.83 per share on revenue of $344.64 million before the opening bell. Apogee Enterprises shares gained 1.7% to $40.00 in after-hours trading.Ford Motor Company previewed the effect of parts shortages on the company in the third-quarter and said inflation-related supplier costs during the third quarter will run about $1.0 billion higher than originally expected. The company also projects to have about 40,000 to 45,000 vehicles in inventory at end of third quarter lacking certain parts presently in short supply. Ford shares dropped 4.6% to $14.25 in the pre-market trading session.O2Micro International Limited shares surged in after-hours trading after the company announced receipt of a revised preliminary non-binding proposal to acquire the company. O2Micro shares climbed 6.8% to $3.15 in the pre-market trading session.President Joe Biden has declared that "the pandemic is over". Moderna's shares sank 1% to 126.6 after the president's comments.Valneva SE and IDT Biologika announced they have agreed to terminate their collaboration following the delivery of inactivated COVID-19 bulk vaccine to Valneva, and considering the current order levels and existing inventories. Valneva shares declined another 8% in premarket trading Tuesday.
Markets face another hefty interest rate hike in the week ahead as policymakers continue their fight against stubborn inflation.Investors will be squarely focused on theFederal Reserve’s two-day meeting on Sept. 20-21, with officials expected to deliver a third-straight 75-basis-point increase to their benchmark policy rate after discussions Wednesday at 2:00 p.m. ET.Wall Street will also take its cue from Fed Chair Jerome Powell’s speech in the aftermath of the event, along with economic projections of U.S. central bank members and the latest dot plot showing each official’s forecast for the central bank's key short-term interest rate.“In the updated projections, we look for revisions in the direction of less growth, higher unemployment, and a higher terminal rate – yet, we expect the inflation path to remain largely unchanged,” analysts at Bank of America led by Michael Gapen wrote in a note Friday. “To our eyes, this would suggest risks of a hard landing are rising, though we expect the median member to forecast a soft landing.”The readout of Federal Reserve expectations may determine whether markets get relief from a recent sell-off or extend sharp declines. On Friday, all three major averages logged their worst week since June. The benchmark S&P 500 shed 4.7% in the week ended Sept. 16, the Dow Jones Industrial Average fell 4.1%, and the tech-heavy Nasdaq Composite tumbled 5.5%.Hotter-than-expected inflation data earlier this month sparked a new wave of pessimism about the U.S. central bank’s rate-hiking campaign and its potential to significantly stunt economic growth.The Consumer Price Index (CPI) in August reflected an 8.3% increase over last year and a 0.1% increase over the prior month, the Bureau of Labor Statistics reported Tuesday. Economists had expected prices to rise 8.1% over last year and fall 0.1% over last month, according to estimates from Bloomberg.Wall Street heavyweights including Bank of America, Goldman Sachs, and Nomura have all lifted their interest rate projections immediately after the reading while raising expectations for a hard landing — a sharp downturn following a period of rapid growth.Goldman Sachs warned on Thursday that the stock market may plunge another 26% if the Fed’s rate-hiking campaign triggered a recession."If only a severe recession — and a sharper Fed response to deliver it — will tame inflation, then the downside to both equities and government bonds could still be substantial, even after the damage that we have already seen," Goldman said.Elsewhere in the coming week, a lineup of housing data is on the docket, with gauges on building permits, housing starts, and existing home sales all set to be closely watched. Releases will come after mortgage rates surged past 6% last week, the highest level since November 2008, exacerbating already rampant concerns around affordability.On the earnings calendar, results are due out from headliners including FedEx (FDX), Lennar (LEN), General Mills (GIS), Costco (COST), and Darden Restaurants (DRI).Shares of FedEx plunged 21% on Friday –wiping out $11 billion in market value for the shipping giant in its worst single-day drop on record after the company warned of a global recession in an ugly earnings pre-announcement. FedEx also withdrew its full-year guidance, citing macroeconomic trends that have "significantly worsened."The logistic giant's messaging could be a sign of what’s to come as investors inch closer toward the next earnings season, with many strategists sounding the alarm on earnings expectations for the remainder of this year.According to data from FactSet Research, earnings growth expectations for the S&P 500 stand at an increase of 3.7% for the third quarter, down sharply from expectations of 9.8% growth at the end of June. Analysts have cut Q3 earnings expectations over the last 2-3 months for every sector in the S&P 500 except energy, and seven out of 11 sectors in the index are now expected to show outright year-over-year declines in earnings, compared to only three in the second quarter.In a note on Friday, Bank of America’s Michael Hartnett said earnings per share recession shock could be the catalyst for new market lows, pointing to FedEx’s message.—Economic CalendarMonday: NAHB Housing Market Index, September (47 expected, 49 during prior month)Tuesday: Building permits, August (1.605 million expected, 1.674 million during prior month, revised to 1.685 million); Building permits, month-over-month, August (-4.8% expected, -1.3% during prior month, revised to -0.6%); Housing Starts, August (1.450 million expected, 1.446 during prior month); Housing Starts, month-over-month, August (0.3% expected, -9.6% during prior month)Wednesday: MBA Mortgage Applications, week ended August 12 (0.2% during prior week); Existing Home Sales, August (4.70 million expected, 4.81 million during prior month); Existing Home Sales, month-over-month, August (-2.3% expected, -5.9% during prior month); FOMC Rate Decision(Lower Bound), September 21 (3.00% expected, 2.25% during prior month); FOMC Rate Decision(Upper Bound), September 21 (3.25% expected, 2.50% during prior month); Interest on Reserve Balances Due, September 22 (3.15% expected, 2.40% during prior month)Thursday: Current Account Balance, Q2 (-$260.8 billion expected, -$291.4 billion during prior quarter); Initial jobless claims, week ended September 17 (217,000 expected, 213,000 during prior week); Continuing claims, week ended September 10 (1.398 expected, 1.403 during prior week); Leading Index, August (-0.1% expected, -0.14% during prior month); Kansas City Fed. Manufacturing Activity, September (5 expected, 3 during prior month)Friday: S&P Global U.S. Manufacturing PMI, September Preliminary (51.3 expected, 51.5 during prior month); S&P Global U.S. Services PMI, September Preliminary (45.5 expected, 43.7 during prior month); S&P Global U.S. Manufacturing PMI, September Preliminary (46.0 expected, 44.6 during prior month)—Earnings CalendarMonday: AutoZone(AZO)Tuesday: Stitch Fix(SFIX)Wednesday:FedEx(FDX),Lennar(LEN),General Mills(GIS),KB Home(KBH),Trip.com(TCOM)Thursday: Costco(COST),Darden Restaurants(DRI),FactSet(FDS)Friday: Carnival(CCL)
Uber shares slid 5% after probing hacker’s claim to have penetrated internal databases.Uber Technologies Inc. has shut down internal Slack messaging as it investigates a cybersecurity breach by a hacker claiming to have accessed the company’s data.Employees on Thursday received a Slack message from an unknown person claiming “I am a hacker,” according to one person with knowledge of the matter. The perpetrator co-opted a staff member’s account and claimed to have gained access also to internal databases, the person said.The company, which said on Twitter it’s contacted law enforcement, froze all Slack communications while it investigates the hacker’s claims. Uber’s ride-hailing and food delivery services appeared to be operating normally across the world, the people said.Uber has run afoul of hackers before. It paid $148 million to settle claims related to a large-scale data breach that exposed the personal information of more than 25 million of its US users in 2016. The New York Times reported the latest hack earlier on Thursday.An Uber representative confirmed a breach had occurred but declined to elaborate.
Sometimes timing is everything. And Deutsche Bank believes now is the time to buy beaten up shares of Chinese electric vehicle maker XPeng.Tuesday, analyst Edison Yu placed a "catalyst Buy call" on American depositary receipts.A catalyst call is used by some brokers to demonstrate a sense of urgency because they expect the stock to move soon and for identifiable reasons.In the case of XPeng, Yu is looking at the launch of the G9, a new SUV unveiled this Summer. XPeng took in more than 22,000 reservations the hour after the launch. Pricing is due this month and deliveries are due to start in October.Yu expects the SUV price to come in around 400,000 yuan, or about $58,000. The G9 SUV will offer the company's latest computing platform and driver-assistance software. What's more, it will be able to charge fast enough to get more than 100 miles of range in about 5 minutes -- as long as the charger can deliver the electricity quickly enough. Yu expects the SUV to be a strong seller for two or three quarters.The G9 is a reason to buy the stock now, but Yu has been an XPeng fan for a while -- he's had a Buy rating on the ADRs since launching coverage back in 2020.. He has a $33 price target.XPeng stock looks like it needs a catalyst. Coming into Tuesday trading, ADRs are down about 68% year to date. XPeng has delivered more than 90,000 vehicles in 2022, through August. That's up from about 46,000 vehicles delivered in the first eight months of 2021. Growth looks solid, but higher interest rates, Covid-19 lockdowns in China, and Chinese/American geopolitical tensions have all weight on investors sentiment.The declines have left XPeng ADRs trading for roughly 2.7 times estimated 2023 sales. NIO ( NIO) ADRs, for comparison, trade for about 2.1 times sales, and Li Auto $(LI)$ ADRs trade for about 1.5 times sales. (The three Chinese EV makers aren't consistently profitable yet.)XPeng ADRs are off 2.4% in early Tuesday trading. The entire market is lower after an inflation report came in hotter than expected. The S&P 500 and Nasdaq Composite are off 2.3% and 3%, respectively.