QQQs -2.5% with a rough day led lower by semis and large cap (META -4%; MSFT -6%). The semi weakness we saw yesterday became more pronounced as key AI leaders broke the levels we called out in our EOD wrap yesterday. Still unclear to me if this is part of a bigger pullback or semis just taking a breather, but we need to reclaim those previous 52wk high levels I called out yesterday in NVDA, MRVL, AVGO, TSM to get more excited about risk on environment here. Maybe just some de-risking ahead of the election? We’ll digest and see what happens tomorrow then have more thoughts over the weekend.
BTC -4%; China flat; yields down 1-3bps across the curve.
Let’s get to the recap…
Internet
META -4% — print seemed pretty down the fairway to me but expects were very high going in and stock most crowded in Internet so a -4% reaction on a day when QQQs dn 2.5% not a totally unsurprising result
RBLX +20% on a big Q3 bookings beat on the back of mixed 3p data/sentiment (short reports etc.) going into the print. DAUs and engagement also very strong. Let’s see if stock can finally hold $50 - the advertising narrative finally gaining some steam as we head into 2025
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