Premarket Update: Dollar Dips, Election Pacing, and My Watch List

[image] Dear Aspiring Investor, One of the most fascinating parts of this week was watching the Chinese Yuan crash on Tuesday evening. At one point, the currency cratered on anticipation that Trump would run away with the election. However, late gains by Biden and his move toward 270 electoral votes have had a significant impact on the Yuan and the dollar. The Yuan is back to 28-month highs. Markets expect that Biden will move to improve relations and reverse the impact of a recent trade war. Meanwhile, the U.S. dollar is flirting with yearly lows. I had said that the dollar might get a boost from a flight to safety if election uncertainty carried on into November. It doesn’t appear that this will be likely. Yesterday, the Federal Reserve committed to short-term interest rates near zero. Although Fed Chair Jerome Powell said that the economy is growing, he again called for more fiscal stimulus. The commitment of trillions in monetary policy moves and fiscal spending is weighing on the dollar’s strength. With the U.S. jobs report coming out this morning, I’ll be closely watching the impact on interest rates. The dollar could have a lot more downside if it’s unable to attract foreign investors due to concerns about negative real returns. Before we dig into premarket news and my Watchlist, let's look at what happened in the markets Tuesday. - The Dow Jone added 1.95%, or 542 points. - S&P 500 gained 1.95%, or 67 points. - Nasdaq finished up 2.59%, or another 300 points. The Rundown: Today’s Top Market Stories Today’s Outlook Friday’s trading will largely center around one number. The U.S. Labor Department will release the October jobs report. Data will reportedly show a slowdown in hiring across the nation. Since the pandemic hit in March, about half of the 22 million jobs lost have returned. However, these gains have been sluggish in recent months. Economists have been calling on Congress to provide additional stimulus to boost the economy. Senate Majority Leader Mitch McConnell has said this is a priority in November. Still, the longer that Congress takes to provide aid, the deeper the hole will be that we need to escape. Election Update We’re still no closer to an answer on the 2020 Election. Former Vice President Joe Biden sits with 253 Electoral Votes. The latest numbers show that Biden has taken the lead in Georgia. We may have a final count completed by Sunday in states like Pennsylvania, Georgia, Arizona, and Nevada. The key story here is this: Although Biden may come out on tap, he hasn’t been handed a mandate. It appears that the GOP will not only hold the Senate, but the party also appears to have picked up strong gains in the House of Representatives. Markets rallied this week on the prospect of a divided government. However, that wouldn’t be great news for alternative energy, cannabis, and other sectors that would have seen a boost in revenue due to anticipated policies of a Biden administration. My Biggest Announcement Yet Today, I'll my top stock pick for November. I’m tapping into the gaming trend with one incredible company. The way that other companies in its space have boomed in 2020, I expect this stock to run higher. This will be one of the busiest days ever for my Family Portfolio service. [Join today](. I’ll be live in just a few hours. Today’s Top Stock Tickers V: This is a big story. The U.S. Justice Department has filed a federal lawsuit aimed at stopping Visa from purchasing fintech giant Plaid for $5.3 billion. Plaid is an app that lets consumers connect their bank account to different financial applications. The lawsuit claims that Visa is attempting to “eliminate a nascent competitive threat” through this deal. CVS: CVS Health rallied another 3% this morning after a strong quarterly earnings report. More importantly, the company raised its 2020 guidance and provided an update on its transformation. The company is continually shifting from a drugstore outlet to a health service organization. It’s a strong company with a solid 3.2% dividend and should continue to perform well in 2020. Consensus on Wall Street is a Buy rating with a price target of $78.40. ALTM: What the heck was that? Shares of Altus Midstream surged more than 200% on Thursday after the company announced plans to start a policy on dividends. Management said it will start paying a $6.00 in an annual dividend. Given the low float and concentration of ownership, short-sellers had to pay through the nose to cover their positions. MY WEDNESDAY STOCK WATCH LIST CINF: Another day, another bank. This time, Cincinnati Financial is sliding under the radar. The company’s President and CEO just bought about 8,000 shares for a total of $272,000. The stock is still well below its 52-week high and there is some uncertainty around the broader U.S. banking system. However, I expect two things: 1) The Fed will continue to support the banks by any means necessary. 2) Consolidation will accelerate in the banking space, making CINF a potential takeover target. BLFS: BioLife Solutions is a good lesson from my conversation Thursday. Bloggers are bullish. The technicals are positive. Momentum appears strong, and hedge fund buying is rising. These are all positive Buy indicators, right? Then why is one of the company’s largest owners - with more than 10% of the stock - dumping millions in shares? If BLFS were to pop up on your Buy screen and insider selling is prominent, it’s best to move on to the next opportunity. CHNG: Change Healthcare received several Buy reiterations on Friday morning. Most of the upside was concentrated around +20% forecasts. But one analyst at Raymond James said it has $22.50 upside. There’s something interesting about this one. OTHERS TICKERS TO WATCH: UBER, AYX, SRTS, Z, PTON Enjoy your day, [image] Jeff Bishop  [Unsubscribe]( DISCLAIMER: To more fully understand any Ragingbull.com, LLC (“RagingBull”) subscription, website, application or other service (“Services”), please review our full disclaimer located at . FOR EDUCATIONAL AND INFORMATION PURPOSES ONLY; NOT INVESTMENT ADVICE. Any RagingBull Service offered is for educational and informational purposes only and should NOT be construed as a securities-related offer or solicitation, or be relied upon as personalized investment advice. RagingBull strongly recommends you consult a licensed or registered professional before making any investment decision. RESULTS PRESENTED NOT TYPICAL OR VERIFIED. 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