E Market Briefing For Thursday, Dec. 10

They don't ring a bell - to signal a market top (or in this case NASDAQ and a slew of S&P components that are of the super-cap variety). It's too obvious to conclude that Doordash's IPO today was that Bell, though it makes sense, it's also too obvious that Goldman's Tesla recommendation recently, worried me, as being an overvaluation situation that seemed 'odd' after-the-fact. Even Apple is in the overgrowth category for the moment, and evokes jitters.

JP Morgan (JPM) came out and said Tesla (TSLA) is overvalued, there were downgrades of Zoom (ZM) and other (somewhat COVID-related) stocks, and the focus returns to 'value' stocks, which I don't disagree with, but point-out we don't get from here to post-COVID, as quickly as we would all like, and that might be the ingredient that is missing on the surface of this.

It's really centering around COVID 'relief', with not just 'stimulus' to everyone of course, but emergency help to people that risk being hungry and homeless in a matter of weeks. Hence it's not political, it's essential and needs to happen.

Executive Summary:

  • An upward extension does have psychological resistance, but can be overcome especially if we get a solid (and quick) Stimulus Bill.
  • That's important and more so than money drained to get into IPO's, and I call it a 'relief' bill as that's what indeed is really needed for now.
  • AirBnB pricing is underway, and I smile as I see some of the rationales as to why they're said to be doing so well during the pandemic.
  • So this 'hot' IPO following Doordash will be the focus on traders, though there's more.
  • Notice that Sorrento got FDA go-ahead today for STI-2020 Phase 1, and I'll write about it a bit, then the shares got hit, and came up somewhat late in the session, ideally they'll work slowly higher despite resistance.
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William K. 1 month ago Member's comment

If there is something worthwhile to convey, PLEASE put in a text format instead of a talky video! Informative presentations deliver far more value when they can be consumed at the rate that they can be followed.

For those without an attention span great enough to read a whole article, too bad for them! They can do without the good information, and perhaps natural selection will thin the herd a bit.

And the general level of turbulence will continue to affect the markets, as exesss emotions have done for many years. Just a bit more now than before.