Two Nasdaq earning reports to watch in October

Mark O’Donnell Blackbull Markets Limited

It’s that time of year again; earning session for US stocks. With so many other variables contributing to volatility in the US markets (e.g., inflation, Fed rate hikes, recession, oil prices, quantitative easing), anything out of the ordinary can result in huge moves in stock prices. This has already been witnessed in an early report from Nike (NYSE: NKE) last week, where it missed on some metrics and was punished with a -12.8% fall in its stock price.

So, with this in mind, here are two earning reports to watch this October.

Advanced Micro Devices (Nasdaq: AMD)

AMD updates the market with its earnings on Tuesday October 25, alongside some of the other major companies on the NASDAQ, including Microsoft (NASDAQ: MSFT) and Alphabet (NASDAQ: GOOG).

Nasdaq: AMD 1D

AMD shares fell +23% in September, partly impacted by the weak report from sector compatriot Micron Technology (NASDAQ: MU). It is the weak demand outlook that Micron painted for personal-computer products that makes AMD’s upcoming announcement one to watch.

Similarly, Taiwan Semiconductor (NYSE: TSM) is reporting on October 13, which could serve as another barometer for the industry before AMD delivers its report.

Netflix (Nasdaq: NFLX)

It may be a make-or-break earnings report for Netflix on Tuesday 18 October.

Netflix shares climbed +8.4% over September, and over +30% since its last market update in June, where it reported a loss of almost 1 million subscribers. In fact, Netflix was one of the top S&P 500 performers last month, where the broader market index fell by -8.0%.

Nasdaq: NFLX 1D

In the upcoming announcement, investors will be looking out for more details concerning the company’s plan to diversify its revenue base with ad-tier subscription and its heretofore mild penetration into the gaming space.

Some surveys point to almost half of Netflix’s subscribers considering a switch to the company’s ad-tier plans, which would mean that Netflix would have to fill that subscriber revenue gap by selling $5.4 billion worth of ad space.

Author

Mark O’Donnell

Blackbull Markets Limited

Mark O’Donnell is a Research Analyst with BlackBull Markets in Auckland, New Zealand.

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold clings to gains just above $5,000/oz

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The precious metal’s move higher is also underpinned by the slight pullback in the US Dollar and declining US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.