AirTags for All My Friends | The Daily Peel | 7/20/22

Market Snapshot

Futures again pointed towards green Tuesday morning. ETH and BTC showed a little spirit, and WTI crude closed back above $104. The dollar weakened slightly, potentially fueling the day’s big rally. The ten-year remained above 3%, and markets tested key technical levels.

Yesterday’s rally was something, to say the least. The VIX has been all over the place, unable to pick a direction for the last couple of weeks. Everyone got in on the party, from DeFi to Oil to equities; it was a soiree for everyone.

At the closing bell, the Dow was up 2.42%, the S&P climbed 2.75%, and the Nasdaq was up 3.11%.

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What's Ripe

Meta Platforms, Inc ($META) — Big news hit the Street yesterday, and that was about a fat lawsuit by Amazon. However, this lawsuit was not some esoteric antitrust suit or anticompetitive practices in data sharing.

Amazon is suing 10,000 Facebook groups, more or less, for propagating falsified reviews that hurt $AMZN’s business. Meta investors were happy that it wasn’t a lawsuit directed at $META as a company.

Shares of $META climbed 5.11%.

Boeing ($BA) — For a beat-down aerospace name, Boeing had a great day yesterday.

After receiving a fat order of 737 MAX jets from a major airline, it has entered another agreement with two aircraft leasing companies. Not only are these deals profitable, but they’re also another feather in the cap of the 787 Dreamliner, Boeing’s flagship over-the-horizon aircraft.

Shares of $BA jumped 5.67%.

What's Rotten

Johnson & Johnson ($JNJ) — Even after beating on both the top and bottom lines, shares of $JNJ pulled back yesterday following the company’s quarterly earnings report.

Their leadership adjusted the rest of the year’s guidance downward, but only a handful of perfect for both overall EPS and total revenues. That probably explains why the share price didn’t take a 10% $hit. $JNJ closed lower yesterday, down 1.45%.

Signature Bank ($SBNY) — Shares of Signature Bank traded as much as 8.5% lower yesterday after reporting their annual results, down 4.51% at the closing bell.

Both the company’s EPS and revenue numbers more or less matched analyst estimates; the reason for the decline can likely be attributed to a $5.3Bn pullback in non-interest-bearing deposits.

Thought Banana

Travel Is Fun, Getting There Sucks — Summer travel season is here. There are loads of people out of the office using their PTO.

Turning off your cell phone and not checking your email while actually taking some PTO is the ultimate flex. Don’t believe me? Live your life married to your iPhone while constantly working late night PLZ FIXes for your boss for a decade, and then come talk to me.

The world is finally wide open to travel, and getting away for an experience or just some lazy days on the beach sound like a great way to recharge the ol’ batteries.

But between canceled flights, inflated ticket and hotel prices, no Ubers, and a new aversion for some to be anywhere near strangers in public, is it worth it?

The global airline industry is struggling in a few areas. At times, just boarding and taking off on time seems like an impossible ask.

July has been one of the worst months for checked bags. Airlines are losing bags left and right. To combat this challenge, travelers are using Air Tags and tile trackers to help track their bags, giving themselves at times more situational awareness of their bags’ ETA than the actual airline has.

These ultra-wideband data link-enabled tracking devices can help you go straight to the baggage desk instead of having to wait until the baggage claim carousel is fully unloaded. You’ll know more or less with an acceptable precision where your bag is.

Things are so bad that some airlines have sent airplanes full of luggage and not passengers between two locales in a non-revenue generating flight to transport just lost luggage. If you’re a shareholder in one of the big airlines, that probably makes you mad.

Travel agents, a service that lots of boomers use, so I’m told, are giving out advice to potential vacation seekers: book your travel well in advance of any sort of event you’re attending. If you’re going to a wedding, don’t show up the night before – give yourself an extra day or two.

This advice is kind of elitist, as it assumes that everyone is rich enough to afford an extra couple of days away from home and away from their jobs. But I don’t know a lot of younger people who actually use a travel agent, so maybe the boomers have the stacks to enable themselves to adhere to this advice.

Hopefully, the rest of the summer is less eventful than the first half, but I’m not betting on it.

Wise Investor Says