Good morning, OP family! Here’s everything you need to know before the bell rings.
Market Overview
U.S. stock futures are trading slightly higher this morning as investors digest President Trump’s initial trade policy moves and brace for a busy earnings week. As of 03:42 ET (08:42 GMT):
– Dow Futures: +59 points (+0.1%)
– S&P 500 Futures: +24 points (+0.4%)
– Nasdaq 100 Futures: +169 points (+0.8%)
Yesterday, markets closed higher after Trump avoided imposing day-one import tariffs, though threats remain for Mexico, Canada, the EU, and China. His comments have sparked debates on potential inflationary pressures and the Federal Reserve’s next steps, with rates expected to stay unchanged in the upcoming meeting.
Trump’s Trade Policy & Energy Focus
President Trump’s trade rhetoric is causing ripples across markets.
– EU & China Tariffs: Trump labeled the EU “very bad” for its trade surplus with the U.S. and hinted at tariffs to create “fairness.” China could face a 10% levy on all imports by February 1, aligning with similar threats to Mexico and Canada.
– Energy Sector Boost: Trump declared a national energy emergency, rolling back environmental protections and exiting the Paris climate accord. While U.S. energy production surges, oil prices have slipped slightly this morning:
– WTI Crude: -0.4% to $75.50
– Brent Crude: -0.3% to $79.03
Memecoins and Trump
Trump’s $TRUMP memecoin continues to make headlines, skyrocketing to a $14 billion market cap shortly after launch. When pressed on his multi-billion-dollar gains, Trump dismissed it as “peanuts” while promoting a new $500 billion AI infrastructure initiative called Project Stargate. NVIDIA (NVDA), Microsoft (MSFT), and Oracle (ORCL) are among the tech heavyweights involved in the project.
Earnings Highlights
It’s a big week for corporate earnings. Key takeaways:
– Netflix (NFLX): Shares jumped 14% after smashing Q4 expectations with $4.27 EPS on $10.25B revenue, driven by 18.9M new subscribers.
– Oracle (ORCL): Gained 8.7% following its inclusion in Project Stargate, marking a $500 billion AI investment.
– Tesla (TSLA): Wedbush raised its price target to $550, citing confidence in Trump’s fast-tracking of autonomous and AI initiatives, which could push Tesla’s market cap to $2 trillion by 2025.
– Disney (DIS): Citi resumed coverage with a Buy rating and a $125 price target, highlighting attractive risk/reward potential.
Other movers include:
– Procter & Gamble (PG): +3.3% after strong U.S. sales.
– Johnson & Johnson (JNJ): -1.5% due to weaker Stelara sales despite beating Q4 expectations.
– United Airlines (UAL): +4% after issuing a bullish earnings outlook.
TikTok Sale Buzz
MrBeast (Jimmy Donaldson) is among investors vying to purchase TikTok’s U.S. operations amid regulatory pressures. Competing social media stocks like Meta (META), Snap (SNAP), and Alphabet’s YouTube (GOOGL) may see volatility as the story develops.
OptionsPlayers Updates
Yesterday’s AAPL LEAPS alert is already paying off! Apple remains a hot pick, historically performing well after holiday quarters. With strong iPhone 15 sales and a booming services segment, AAPL is poised for another solid earnings report.
Don’t forget—today is Secret Sauce LIVE STREAM Day! Join Greg about an hour after the opening bell to uncover the latest strategies. Check your email or reach out to Steve@optionsplayers.com to ensure you’re enrolled.
Let’s stack those gains! See you all in chat.
— The OP Team
If you want to get the plays of the day then signup for Gold, and get a FREE TRIAL
Responses