G'day folks and welcome to another trading day with your friendly, neighbourhood CMC Market Analyst!
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Azeem Sheriff - @Azeem__Sheriff
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Trading Idea of the Day
NYSE:AXP - American Express Company - BULLISH BIAS
- Key levels on the chart - consider taking trades from key support/resistance zones.
- Performance in the most recent quarter remained strong, with record levels of revenue and cardholder spending, a reflection of the growing customer base. Cardholder spending was up 30% from a year prior on an FX-adjusted basis, spearheaded by increases in travel and entertainment spending, which surpassed pre-pandemic spending for the first time in April.
- Quarterly revenues were up 31% on a year-on-year basis, reaching US$13.4 Billion yet quarterly EPS was down $0.23 to $2.57 off the back of increased customer engagement costs and operating expenses.
- American Express added 3.2 million new proprietary cards in the quarter, driven by heightened demand for their premium product offerings. Card numbers for their U.S. Consumer Platinum, Gold and Delta co-brand Cards each reached all-time highs in the quarter.
- American Express recently boasted of ‘exceptional’ credit performance, with delinquencies and write-offs near historical lows, but it is yet to be seen if they’ll experience a reversal of fortunes as households are plunged into hardship due to the rising cost of living.
ASX & Economic Key Events
ASX Key Events Calendar (TODAY)
Economic Key Events (TODAY)
Economic Key Events (YESTERDAY)
OPTO For Investors Research
Article of the Day: European lithium miner valued close to $1bn to merge with SPAC
Podcast of the Day: Portfolio manager Caroline Cai’s take on an emerging markets’ debt crisis
APAC Daily Report
Click here to access our daily APAC report, prepared by my fellow market analyst @TinaTeng_CMC
Market Snapshot & Highlights as of 7:30am AEDT
EXPECTATIONS: Energy LOWER (lower oil prices) & Materials LOWER on overall lower base metal prices.
Global Markets Headlines
EU urges Russia to revoke Ukraine Black Sea grain deal suspension (CNBC)
Twitter is now owned by Elon Musk — here’s a brief history from its founding in 2006 to the present (CNBC)
Asia would be the biggest loser if the global economy splits up, IMF warns (CNBC)
Big Tech falters on dreary earnings and forecasts — Meta has worst week ever, Amazon tumbles 13% (CNBC)
Key inflation gauge for the Fed rose 0.5% in September, in line with expectations (CNBC)
U.S. pending home sales fell 10% in September, much worse than expected (CNBC)
Cash-Rich Consumers Could Mean Higher Interest Rates for Longer (WSJ)
(All news & data sourced from AFR / The Australian / Bloomberg / Reuters / CNBC / Wall Street Journal / Morningstar / OPTO / Trading Economics)
