The Dow Jones, S&P 500 and Nasdaq all had a losing week, down over 3%, 4% and 6% respectively. Analysts suggest that while a hard economic landing is unlikely, economic growth could slow significantly. This week, the market will watch closely for August’s consumer and producer price reports, which could influence the Fed’s next policy move. CPI is expected to ease to 2.6% year-over-year, and PPI is anticipated to fall to 1.7%.
BOEING
Boeing’s Starliner spacecraft undocked from the International Space Station on September 6, later than planned and without its crew of two NASA astronauts, who will return on a SpaceX Dragon in February. The capsule landed in New Mexico on September 7 after a six-hour descent. The mission, initially expected to last about nine days, extended to three months due to issues with the spacecraft’s thrusters. NASA decided to return the Starliner empty to investigate these problems further. This delay impacts Boeing’s progress and may affect its future in NASA’s Commercial Crew Program, where it competes with SpaceX.
BA (Daily). Looking at the bearish projection line (blue), Boeing has declined by 40% over 177 trading days. The price often consolidates around 177.00, indicating a fair value for the stock. This could be a good opportunity to buy.
PALANTIR
Dell and Palantir saw about a 7% rise in after-hours trading on Friday after being added to the S&P 500 index. Palantir will replace American Airlines, and Dell will take the spot of Etsy. Palantir, which went public in 2020 after being a venture-backed startup for over 15 years, began reporting profits in Q4 2022. By Q2 2024, its net income had risen to $135.6 million, up significantly from $27.9 million a year earlier, with revenue growth accelerating for four consecutive quarters. CEO Alex Karp is known for promoting the use of technology in government and military data management, describing Palantir's work as "the finding of hidden things."
PLTR (Daily). Since last year, Palantir has formed a bullish projection channel with dynamic support and resistance levels. After touching the upper band, the stock is expected to pull back to the region between 22.00 and 27.50 before resuming its bullish momentum.
APPLE
Analysts are generally optimistic about Apple but do not expect the upcoming product launches to boost the stock significantly. Ahead of Apple’s September 9 event, where the iPhone 16 and AI capabilities are anticipated, analysts have maintained neutral ratings. Goldman Sachs is more optimistic long-term, with a buy rating and a $276 price target, but also does not expect the event to be a major stock catalyst. Historically, Apple’s stock has shown average declines in September, despite gains earlier in the summer. UBS’s David Vogt and Piper Sandler’s Matt Farrell both see limited immediate impact from the event on the stock, with Vogt noting the AI features might not drive substantial demand due to existing competitive and regulatory pressures. Farrell is cautious but hopeful about potential long-term benefits from AI innovations.
AAPL (H4). Over the past 4 months, Apple has shown a liquidity zone at around 218.00. When the price fails to break this level, it tends to reverse. Currently, the price is near this level again and may present us with a buying opportunity.
Fullerton Markets Research Team
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