Beat the street: PCE; GDP; Powell; Oil; Gold; Home Depot

Home Depot says it will buy SRS Distribution in an $18.25 billion deal including debt. Gold heads for best month in more than one year.

(AI Video Summary)

PCE and Q1 gains

In this video, host Angeline Ong welcomes viewers to "Beat the street", which provides important information for traders before the Wall Street Open. She starts by talking about the PCE and Q1 gains, which have caught the attention of traders who are waiting for inflation data. She also mentions that investors are eager to hear Federal Reserve Chair, Jerome Powell's, comments, which will be released soon. After two days of decline, crude oil prices have stabilized because of the focus on OPEC+ and inventories.

Jeremy Naylor's Q1 and Q2 overview

Ong then introduces Jeremy Naylor from IG, who gives an overview of the first quarter and looks forward to the second quarter. Naylor says that the market is anxiously waiting for the reality check on interest rate moves. He explains that the upcoming earnings cycle, starting with major banks like JPMorgan Chase, Citigroup, and Wells Fargo, will provide valuable information for the market.

Naylor emphasises that interest rate meetings from central banks, like the Federal Reserve and European Central Bank, are crucial factors that can influence the market. Many traders are hoping for an interest rate cut, with expectations set around 60% for a quarter point cut in June. Naylor believes that the next quarter will be important in determining market movements based on interest rates and fundamental news.

Stock market news

Ong then discusses the revival of initial public offerings (IPOs) in the market. She mentions Home Depot's acquisition of SRS Distribution and talks between International Paper and DS Smith. The IPO revival is expected to gain momentum in the second quarter. She also mentions a technical analysis pattern on Home Depot's daily chart called "three black crows" and its reversal signal.

Ong also provides updates on other stocks, including Walgreens Boots Alliance, which is facing a $5.8 billion charge, and Tesla, which expects slower deliveries in the first quarter.

She also mentions the rise in gold prices, which has positively affected top gold miners like Newmont and Barrick Gold. Additionally, Ong talks about the OPEC+ meeting and upcoming inventory numbers, which have influenced crude oil prices.

The video concludes with a final look at the market, particularly the Dow Jones, which have given back some initial gains.