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The upcoming US Presidential election presents various scenarios impacting the economy and markets. A Republican Sweep could lead to significant fiscal expansion and potential inflationary pressures, while a Harris win with divided government may maintain the status quo, resulting in neutral fiscal impulses. Regardless of the outcome, a healthy macro backdrop suggests that global equities are likely to perform well into 2024, with emerging markets potentially benefiting from reduced tariff risks.
Tesla investors are increasingly concerned about CEO Elon Musk's political activities, particularly his support for Donald Trump, which some believe may be harming the company's sales and brand integrity. Questions have arisen regarding the board's role in mitigating potential impacts on shareholder value, as Musk's political commentary has reportedly affected delivery numbers. Meanwhile, Tesla's brand value has declined, and shares are down 14% this year, reflecting broader market challenges and Musk's controversial engagement in politics.
Ripple CEO Brad Garlinghouse will address the ongoing legal battle with the SEC and the upcoming presidential election at DC Fintech Week in Washington, D.C. His discussion will cover Ripple's recent partial victory in the lawsuit, the SEC's appeal, and the company's entry into the stablecoin market with Ripple USD (RLUSD). Garlinghouse will also highlight his contributions to the Fairshake pro-crypto political action committee, emphasizing Ripple's influence on U.S. crypto regulation.
UBS has maintained a neutral stance on Apple Inc., setting a price target of $236, with expectations for September sales of $94 billion and EPS of $1.58. Despite a flat year-on-year forecast for iPhone sales at 46 million units, there is potential for positive surprises from the iPad segment. Additionally, Apple faces challenges with its Vision Pro headset production due to slow sales and high costs, while a recent meeting between CEO Tim Cook and China's Minister of Industry highlights the importance of the Chinese market.
Bitcoin's price has dipped below $66,000 as market nervousness grows ahead of the upcoming US presidential election, with uncertainty surrounding the formation of the next government. Profit-taking is anticipated post-election, despite Republican candidate Trump's promises to support the crypto community. Key economic indicators, including the "Beige Book" and purchasing managers' data, will be closely monitored for insights into US monetary policy, with expectations of potential interest rate cuts in the near future.
IG
In October, the Fed and China's Politburo shifted focus to stimulate economic growth, with the Fed initiating a 50 basis point rate cut and China announcing fiscal support for consumers and the housing market. This change signals potential for cyclicals to outperform defensives, as both economies aim to counter recession risks and bolster market confidence. Despite lingering uncertainties, the renewed commitment to growth could reshape investment strategies across asset classes.
Currency traders in Mexico are preparing for significant fluctuations in the peso following the upcoming US election, with the outcome between Kamala Harris and Donald Trump appearing uncertain. The peso's one-month implied volatility recently spiked above 22.43%, marking its highest level since April 2020. Having already declined 15% this year, the peso is particularly vulnerable to potential tariffs from Trump.
Tesla is set to report its third-quarter earnings, with analysts expecting earnings per share of 58 cents and revenue of $25.37 billion. Despite a 6% year-over-year increase in vehicle deliveries to 462,890, the figures fell short of expectations, prompting concerns over margins due to ongoing discounts. CEO Elon Musk's political activism and the competitive landscape, particularly from Chinese automakers and U.S. legacy manufacturers, add to investor uncertainty, as Tesla's stock has declined 13% this year. Shareholders are eager for updates on robotaxi development and the Cybertruck's performance amid quality issues.
Tastyfx has rebranded as a forex-centric platform for U.S. customers, offering zero commissions and fast technology. The U.S. retail forex market grew by 6% in 2023, driven by traders seeking exposure to global economic changes. In a significant move, IG Group acquired Tastylive and gustosotrade for $1 billion in 2021, with tastytrade committing $600,000 to the Greenwood Project to support black and Latino college students in finance careers through enhanced learning opportunities and mentorship.
CFO Joseph L. Brennan sold 4,012 shares of Fluor stock on October 4th for $200,640.12, reducing his ownership to 53,527 shares valued at approximately $2,676,885.27. Insiders have sold 44,261 shares worth $2,156,604 in the last 90 days, while hedge funds hold 88.07% of the stock. Fluor, which provides engineering and construction services, has a "Moderate Buy" rating, but top analysts recommend five other stocks over Fluor.

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