WANT Overview

Market Overview: Wall Street faced significant losses, with the Dow Jones dropping nearly 500 points and the Nasdaq Composite falling by 2.4%, driven by negative economic sentiment.

AutoZone's Performance: Despite the market downturn, AutoZone's stock rose by 1% to an all-time high, reflecting strong analyst ratings and resilience, with a notable increase of 15.4% over the past year.

Tesla's Stock Performance: Tesla shares have entered oversold territory with a Relative Strength Index (RSI) of 28.12, indicating potential undervaluation and possible buying opportunities for traders as the stock trades around $271.63.

Comparison with Other Tech Giants: Tesla joins Alphabet and Amazon in oversold conditions, marking significant declines in their stock values, with Tesla reaching its lowest trading level since November at $261.84.

Market Performance and Economic Indicators: Last week, Wall Street showed mixed results with the S&P 500 down 0.6% and the Dow Jones down 1.8%, while consumer inflation rose to an annual rate of 2.7%. Despite this, the market anticipates a 25-basis point rate cut, with consumer optimism reaching its highest level since before the COVID-19 pandemic.

Notable Stock Performances: Tesla's stock surged 9.6% after record sales, Alphabet's shares rose 8.7% following the announcement of a new quantum computing chip, and Broadcom experienced a remarkable 24.4% increase in one day due to strong earnings and revenue growth, including a significant rise in AI-related revenue.

Market Performance: Wall Street experienced mixed results last week, with the S&P 500 down 0.6%, Dow Jones down 1.8%, and Nasdaq up 0.3%. Key inflation reports indicated a rise in consumer prices, leading to increased expectations for a rate cut by the Federal Reserve.

Top Performing ETFs: Tesla's stock surged 9.6% after hitting an all-time high, while Broadcom reported record earnings, causing its shares to jump 24.4%. Other notable ETFs included those tracking Alphabet and consumer discretionary sectors, reflecting strong investor confidence and optimism in the market.

Federal Reserve Interest Rate Cuts: The Federal Reserve has cut interest rates by 50 basis points to 4.75%-5% for the first time since 2020, indicating confidence in sustainable inflation reduction and aiming to stimulate economic growth without causing a recession.

Investment Opportunities in ETFs: Investors are encouraged to consider leveraged ETFs that provide exposure to rate-sensitive sectors like real estate and consumer discretionary, as these sectors may benefit from lower borrowing costs due to the Fed's rate cuts.

Automobile Manufacturers Shifting Focus:

• Ford and General Motors are redirecting investments away from electric vehicles due to high costs and reduced demand, opting to produce gas-powered trucks instead.

Impact on EV Market:

• Even Tesla is scaling back on battery-powered vehicle plans, reflecting a slowdown in EV sales and delaying the projected capacity of over 1 million EVs annually by mid-decade.