Next Day Prep: Trade Shockwave Tariff Tsunami Hits Markets
A quick analysis of today’s market outlook and key trading opportunities to start your day.
Intro & Market Mood
Welcome to Next Day Prep – What We Are Watching Tomorrow! Today’s market was a rollercoaster ride driven by trade tensions and disappointing retail guidance, leading to risk-off sentiment.
Overnight Headlines
- Apple facing potential tariffs on U.S.-bound iPhones.
- Proposed 50% tariff on the EU rattled markets.
- 10-year & 30-year Treasury yields dropped sharply.
- Equity futures turned risk-off, VIX spiked to 25.53.
Economic Announcements
New home sales surged in April, but March’s numbers were revised downwards. Overseas markets were mostly red, with commodities seeing mixed movements.
Earnings Highlights
- Autodesk (ADSK) and Intuit (INTU) beat expectations.
- Deckers Outdoor (DECK) and Ross Stores (ROST) dropped on weak guidance.
- HOKA and UGG sales under pressure due to growth concerns and tariff impact.
Top Movers
Defensive sectors like utilities outperformed while mega-caps like Apple faced selling pressure. Market breadth favored decliners, and year-to-date performance showed mixed results.
Quick Trade Ideas
CYBR: Consider entry near $379, target $386.
QBTX: Look for entry near $123, target $133.
Key Takeaway
Traders should remain cautious with a mixed-to-bearish sentiment. Focus on confirmed momentum, tight stops, and monitor volume for sustained movements.