July 8, 2019 7:45am

The middle of the year might be a time for investors to “dress” their portfolios.

Looming inconsistencies in LPS (loss-per-share) quarterly results will soon undermine share pricing

Pre-open Indications:  any which way is the expectation

Framing the non-headlines … perception usually becomes reality!

 

We crave explanations because they give us an illusion of control.

 

Dow futures are DOWN -0.21% (-56 points), S&P futures are DOWN -0.18% (-6 points) and NASDAQ futures are DOWN -0.39% (-30 points)

 

Futures are trading lower as strong jobs data dampened expectations that the Fed will cut interest rates anytime soon;

European markets are mixed with Stoxx 600 little changed while sectors and major bourses pointed in opposite directions;

Asia Pacific markets declined as Japan and South Korea argued over WW2 reparations and multiple Chinese markets watched another round of HK protests;

 

Data docket: consumer credit figures are due at 3 p.m. ET.

 

Henry’omics:

With all the heat of quarterly results creating anticipation in the sector; hydrate tour portfolio to flush out those that elevate your anxiety of the lack of real catalysts or overdue milestones.

Traders had been betting heavily on the prospect of a Federal Reserve interest rate cut at the central bank’s next policy meeting, amid fears of a slowdown in global economic growth. At its last meeting, the Fed said it would “act as appropriate” to maintain the current U.S. economic expansion, which is the longest in history <CNBC>.

Trade issues still undermine confidence in this market – as the path and timing to an agreement is unclear.

Let us hope that “creative or deferred” accounting is NOT an issue in Q2 results!

 

From Friday’s post “the session that should have not been … after Thursday’s July 4th and the weekend following. I didn’t expect much from the week punctured by a holiday on Thursday where most companies are closed on Friday and traders were bathing at the pool or beach and investors were getting as far away as possible. Sector need: sunscreen before it gets further burned as Q2 results are about to be exposed.”

  • The NASDAQ was down -8.44 points or -0.10% to 8,161.79
  • The range of the 19 upside was +0.06% (BLFS +$0.01) to +13.17% (KJOOL +$0.39) while the 23 downside ranged from -0.62% (ALNY) to -6.65% (BOLD);
  • 8 out of the 19 upside had higher than the 3 month average volume;
  • 2 out of the 22 downside had higher than the 3 month average volume;
  • The iShares NASDAQ Biotechnology (IBB) indicator: Friday closed down -1.54% following Thursday’s holiday;

 

Q3/19 so far:

  • there were 1 positive, 1 holiday and 3 negative closes;

 

Companies in my headlights – It’s your decision; I provide an idea and context: post earnings release:

Your GUESS is as good as mine, some equities will rise and many will fall

 

Opinions expressed are those of the author and are subject to change, and not intended to be a forecast of future events, a guarantee of future results, nor investment advice.

Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.  All investments are subject to risks. Investors should consider investment objectives.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.