Hi All - Happy Monday, we hope you had a wonderful weekend. Believe it or not, it’s almost August, which means that our two-month trial of “The Midday Trade” is coming to an end.

First of all, I want to thank you for allowing us to test new products with you. You’re an incredibly receptive audience, which means the world to us. All we want to do is build a newsletter that you can’t wait to open every day.

With that said, we’ll be pausing Midday Trade next week in order to discuss it internally, but before we do that, we need your input. Here’s a poll, please let us know what you think:

Moving on, here’s what you missed this morning:

• 🟩 | Market Snapshot: The Nasdaq Composite and S&P 500 rose this morning ahead of a busy week filled with corporate earnings.

• 🧐 | In focus: The Fed’s Open Markets Committee is meeting on Tuesday and Wednesday. Despite signs of cooling inflation, investors don’t expect a rate cut just yet. According to the CME Fed Watch tool, 96% of traders believe the Fed will hold rates steady at the FOMC meeting.

• 🗞️ | Noteworthy: Brace yourselves, this week is packed with some major earnings reports. We’ll be watching Microsoft, Starbucks, Meta, Apple, Boeing, Amazon, and a variety of other big names closely.

• 🦘 | The Midday Trade: Betting on a Bounceback. Scroll down for more.

Plus, today’s partner has a financial wake-up call for all Americans…

TOGETHER WITH INVESTORPLACE

A Financial Wake-Up Call

Can you feel it? The growing unrest in communities across America? There are strikes over basic needs and rising feelings of despair and confusion about money. The nation is facing significant challenges.

And it’s not just the everyday mom and pops that are facing challenges. Even wealthy Americans may be unprepared for sudden financial upheaval. 

Concern for the future is widespread, and proactive measures are essential to safeguard financial well-being. This is uncharted territory, and action is needed before it's too late.

Watch the video to learn about the steps being taken to prepare for what lies ahead.

STREET STATS

MORNING MOVERS

Revvity, Tesla, & Guardant Health

RVTY: Shares of life sciences company Revvity surged after posting Q2 results that beat expectations, with EPS of $1.22 compared to the projected $1.12 (MB)

TSLA: Tesla’s stock rose after Morgan Stanley analyst Adam Jonas crowned the EV maker as his top US auto stock pick (CNBC)

STLA: Shares of Stellantis tumbled after Deutsche Bank downgraded it from Buy to Hold, claiming the automaker’s guidance could be at risk (MS)

DIS: Disney’s stock rose after “Deadpool & Wolverine” made a record debut as an R-rated film for its opening weekend (SR)

GH: Guardant Health’s stock rose after US regulators approved its blood test for colorectal cancer as a primary screening tool (Bloomberg)

TOP CALLS

WisdomTree: Oppenheimer Maintains Outperform on WisdomTree, Raises Price Target to $13 (Trade It)

Stellar Bancorp: Piper Sandler Maintains Neutral on Stellar Bancorp, Raises Price Target to $27 (Trade It)

Wesbanco: DA Davidson Maintains Buy on Wesbanco, Raises Price Target to $42 (Trade It)

Builders FirstSource: Oppenheimer Reiterates Outperform on Builders FirstSource, Lowers Price Target to $230 (Trade It)

Shyft Group: DA Davidson Upgrades Shyft Group to Buy, Raises Price Target to $18 (Trade It)

Newell Brands: Canaccord Genuity Maintains Buy on Newell Brands, Raises Price Target to $12 (Trade It)

THE MIDDAY TRADE

Betting on a Bounceback

Buying the Dip

Tesla (TSLA) and CrowdStrike (CRWD) both saw dips last week, albeit for very different reasons. Ark Invest’s Cathie Wood saw it as a perfect buying opportunity, scooping up tens of thousands of shares of both companies.

These moves came as Wood is seeing investors pull their assets out of her funds due to underperformance. Her flagship fund, the Ark Innovation ETF (ARKK), has dropped nearly 10% YTD. In a letter to clients, she reiterated her belief in innovation stocks, citing cooling inflation and potential rate drops.

Tesla

Wood added 33,143 shares of Tesla to her ARK Next Generation Internet ETF (ARKW). She made the move after the stock dropped 12% following its disappointing earnings report.

Wood has been bullish on Tesla for years and believes the stock will trade at $2,600 per share by 2029, an $8 trillion market cap. A big reason for this price target is her excitement surrounding its robotaxi business that has the potential to account for half of its revenue by 2026.

CrowdStrike

Like many of the world’s computers, CrowdStrike’s stock crashed last week. Wood seized the opportunity and purchased 38,595 shares of the stock on Friday. When the stock dropped again on Monday, she purchased another 20,219 shares, bringing the total to 58,814 shares of the cybersecurity company.

Wood has seemingly fully embraced the “buy the dip” mentality, and if it pays off, investors in her funds could see significant growth.

TOGETHER WITH INVESTORPLACE

A Financial Wake-Up Call

Can you feel it? The growing unrest in communities across America? There are strikes over basic needs and rising feelings of despair and confusion about money. The nation is facing significant challenges.

And it’s not just the everyday mom and pops that are facing challenges. Even wealthy Americans may be unprepared for sudden financial upheaval. 

Concern for the future is widespread, and proactive measures are essential to safeguard financial well-being. This is uncharted territory, and action is needed before it's too late.

Watch the video to learn about the steps being taken to prepare for what lies ahead.

SURVEY THE STREET

McDonald’s reported second-quarter results this morning, and it wasn’t a “Happy Meal.”

The fast-food titan reported a triple miss, with profit, revenue, and comparable sales falling below analyst expectations.

McDonald’s woes can be primarily traced back to inflation, as Americans no longer see fast food as a good deal. Foot traffic fell during the quarter, and same-store sales decreased by nearly 1%.

With all that being said, the worst of inflation does seem to be behind us. The Commerce Department reported last Friday that the PCE price index rose 0.1% in June at a 2.5% YoY increase.

Inflation is finally closing in on the Fed’s 2% annual target, meaning consumers may start feeling some relief and start “splurging” on fast food again.

Plus, Yesterday’s Poll + Results:

How do you rate CrowdStrike?

🟩🟩🟩🟩🟩🟩 Buy

🟨🟨🟨⬜️⬜️⬜️ Hold

🟨🟨🟨⬜️⬜️⬜️ Sell

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