Fixed Income Finds & AI-Driven Market Insights

For our beach investors… drink a Michelada and get paid. 1M today could be an extra 50k in one year with less risk than trading.

These are the best rates you can find in the fixed-income markets:

• CDs (New Issues): 1yr - 5.30%

• U.S. Treasury: 6mo - 5.39%

• U.S. Treasury Zeros: 9mo - 5.06%

• Agency/GSE: 3yr - 5.51%

• Corporate (Aaa/AAA): 10yr - 5.14%

• Corporate (Aa/AA): 1yr - 5.45%

• Corporate (A/A): 5yr - 6.50%

• Corporate (Baa/BBB): 3mo - 15.76%

• Municipal (Aaa/AAA): 10yr - 4.20%

• Municipal (Aa/AA): 20yr - 4.83%

• Municipal (A/A): 30yr+ - 4.75%

• Taxable Municipal: 30yr+ - 5.94%

For our street investors… face the wall with AI sentiment analysis and adjust your trading for Today (May 24, 2023):

Major concerns today are surrounding the ongoing U.S. debt ceiling talks, which have caused a dip in futures for the Dow, S&P 500, and Nasdaq. This impasse is clearly putting a damper on market sentiment. We notice investor caution reflected in the CNN Money Fear and Greed index, suggesting a drop in overall sentiment among U.S. investors. Allianz's chief economic adviser, Mohamed El-Erian, has pointed out the potential global consequences of this debt ceiling saga, suggesting that it's giving world economies an excuse to derisk from the U.S.

Popular stocks in the Reddit subforum Wallstreetbets were mostly down premarket, including Palantir Technologies which slipped 1.7%. On the other hand, MicroVision seems to be on an upward trend. It's important to note that these stocks can often be subject to high volatility due to the high retail interest.

U.S. treasury yields are tracking upward in the bond market, reflecting the prolonged U.S. debt ceiling talks. Japanese government bond yields are following a similar trend. The rise in treasury yields might shift investor focus from equities to bonds, which could add additional pressure to the stock market.

China's stock market continues its slump due to a combination of domestic issues and geopolitical risks. This slump could potentially affect U.S.-listed Chinese stocks, and it's worth monitoring how this might spill over into the broader global and U.S. markets.

U.S. mortgage applications fell by 4.6% due to concerns that the Federal Reserve will need to tighten monetary policy further. This suggests anticipation of rising interest rates, which could slow the housing market and potentially impact related sectors.

In terms of specific stocks to watch, Analog Devices and Nvidia are on the radar, with the expectation of Analog Devices' quarterly earnings report today.

Given the ongoing debt ceiling talks and their influence on market sentiment, volatility could be expected. We will closely monitor $SPY and $VIX throughout the trading session. Given the current uncertainty and potential for market fluctuation, an increase in the $VIX might be expected.

The external influences driving today's market seem to be leading toward a cautious opening with the possibility of increased volatility. Given these circumstances, a defensive stance might be a prudent approach in the near term. As always, staying informed and maintaining a diversified portfolio is key.

Today’s company news. Anything to keep an eye out for? This is not financial advice, just a tracker for you to go into more details. Picks are selected using #AI models.

1. Minerva Surgical (UTRS): Minerva seems to be on a significant rally. However, given the substantial price increase already, it may not be an attractive investment at the moment as it could be overvalued due to the sudden surge.

2. Arbor Metals Corp. (ABRMF): Arbor Metals backing Ford's lithium plans could be a potential opportunity, given the increasing demand for lithium in the production of electric vehicle batteries. This endorsement might lead to more interest in their shares and should be watched closely for a potential investment opportunity.

3. Abbott Laboratories (ABT): It's facing an FTC probe over alleged bid collusion, which could negatively impact the stock price. We might want to monitor this situation closely before making an investment decision.

4. Hillenbrand Inc (HI): Their acquisition of Schenck could lead to improved business diversification and potential revenue growth. This seems like an interesting opportunity to look into.

5. Abercrombie & Fitch (ANF): The company raising its annual sales forecast suggests a positive outlook, making it a potential investment opportunity.

6. Panasonic (PCRFF): Despite geopolitical risks, their continued prioritization of China suggests a potentially bullish outlook on the Chinese market.

7. Novo Nordisk (NVO): Collaboration to develop gene-editing therapies targeting rare genetic disorders could be a potential growth driver for the company, making this a potential investment opportunity to look into.

8. Infosys (INFY): Their collaboration with Adobe to enhance the digital workforce seems like a potential growth opportunity.

9. XPeng (XPEV): Their Q1 non-GAAP loss widening and revenue falling could be concerning. An investment here would require close monitoring of the company's financial performance in the upcoming quarters

Note: Please note that these analyses are brief and preliminary, and should not be solely relied upon for making investment decisions. You should conduct a thorough analysis or consult with a financial advisor before investing in these or any other securities.

Events

Earning reports: Aftermarket - Snowflake, Nvidia

Federal Reserve: FOMC Minutes. Meeting of May 2-3